Staking — Earning Passive Income with Newscrypto
Staking is a very common term in the crypto space these days. Almost every crypto enthusiast or newbie is trying out one staking program or the other. The rise in the adoption of decentralized finance (DeFi) and how it is replacing traditional and centralized finance has played a major role in the prominence that staking has accrued over the years. You go to cryptocurrency platforms and you see people staking their digital assets (cryptocurrencies or NFTs) to earn rewards and it leaves you wondering how this whole process works. You begin to wonder if it is the same thing as mining or you begin to find ways to decipher what sets them apart. This article will go a long way to helping you understand what staking is and how you can join in staking on the Newscrypto platform.
What is staking?
In simple terms, staking is simply the act of locking the currencies of crypto projects such that the tokens are used for maintaining certain operations within the project’s blockchain system. It usually works within the Proof-of-Stake (PoS) network and users who stake are eligible to earn massive rewards depending on the APY set by the projects. We need to know what proof of stake actually means and how it differs from the Proof-of-Work mechanism.
Proof of stake
To better understand how the Proof-of-Stake works, let’s take a little dive into the Proof-of-Work mechanism that Bitcoin works on. With Proof-of-Work, transactions are gathered into blocks which are then linked together to form a blockchain. Miners usually race against themselves to solve a mathematical puzzle such that the winner of this race gets to be the one to add the next block to the growing chain in the blockchain. Miners are incentivized for doing this. For the Proof-of-Stake, it is a different ball game. There is no race to solve a hash. The aim here is for the users to lock their stake (usually the coins) and wait to be picked by the protocol as the candidate to validate the next block. It is a game of numbers. Someone who stakes 1000 coins would have a greater chance of being picked than someone who stakes 20 coins. With the Proof-of-Stake, quantity outweighs speed as your rewards are based on how much you are staking, not how fast you solve a hash or puzzle. In clear terms, you are incentivized for helping to maintain operations within the blockchain. Most projects basically give out rewards in the coin being staked why some form a two-coin system where you stake coin A to earn rewards in coin B. Many projects just allow you to stake directly on their wallets. A big example is the Atomic wallet project with a section of the app where you can stake your AWC tokens to earn rewards in a AWC. Some other projects will basically allow you to just hold the coin in your wallet without special staking functions. This mechanism has been carried out by the SafePal Wallet in recent days. First, users or SafePal owners were required to hold various tokens in their wallets for a 7-day duration to earn a share of the SFP tokens that were later distributed. Most recently SafePal users were also asked to hold SFP and BNB in their wallets over a 7-day period to receive TKO as rewards. Some others just require you to add your funds to the staking pool to earn rewards. Whichever way you look at it, staking is a very lucrative venture with minimal risk and high rewards.
Where can you stake?
It is not enough to know what staking is. After the knowledge comes the actual use of what you’ve learnt. You might be asking after the article; “where can I stake?”. There are lots of staking options all over the crypto space. Staking is a form of passive income. All you do is stake your assets and your assets work for you to generate other tangible assets for you. You’re basically earning while you sleep. One of the best places to stake on is in Éxchanges. Big exchanges like Binance offer some of the best options for staking. In recent times, Binance have completed the DODO launchpool where users were expected to stake BNB, BUSD or some other tokens to earn rewards in DODO. Currently, the ALICE launch is ongoing with stakers having to stake BNB, BUSD or CHR to earn ALICE as rewards. Another place to stake for rewards is on a private wallet. Examples have been stated with the NewsCrypto Wallet, SafePal wallet and Atomic wallet examples. Another avenue is to take on platforms built primarily for staking. One example is taking on MyContainer.
Staking on Newscrypto
With all these in mind, you can join the NWC staking program on Newscrypto now you know how to maximize your earnings. Newscrypto is your user-friendly project where the welfare of the community is our utmost priority. We help make sure that the NWC user and holder is satisfied properly and so, rewards are being lined up for users who stake their NWC tokens on the Newscrypto platform.
All you have to do is Go to newscrypto.io/staking-program
You can earn rewards
1. Locking your NWC for a period of time
2. Free subscriptions on Newscrypto based on the chosen staking package.
You can also decide to stake for three months or a year depending on your specific choice.
Let’s get started and be on your way to a much more viable and efficient passive income generator by staking on the Newscrypto platform.
Newscrypto is a blockchain portal where traders are provided with a large set of effective tools to aid them trade crypto efficiently. With some sophisticated features like advanced market indicators, tutorial center, trading tools and a segment for price analysis. It’s your one-stop portal for money making decisions. For more details, check here: https://www.newscrypto.io.