What is crypto staking?

In some ways, staking is similar to depositing cash in a high-yield savings account. Banks lend out your deposits, and you earn interest on your account balance. In theory, staking isn’t too different from the bank deposit model, but the analogy only goes so far. Here’s what you need to know about crypto staking.

What is crypto & how does it work?

Crypto are digital assets —they have no tangible form. Cryptocurrencies exist and operate on a public ledger called a blockchain, which records all crypto transactions. Blockchain encryption is designed to make all transactions immutable and secure from tampering, counterfeit, and other forms of fraudulent transactions.

How to make money in crypto?

There are other ways to make money in crypto, like staking. With staking, you can put your digital assets to work and earn passive income without selling them. In some ways, staking is similar to depositing cash in a high-yield savings account. Banks lend out your deposits, and you earn interest on your account balance.

How to stake cryptocurrency?

Staking cryptocurrency may seem a little confusing the first time around, but it's a simple process once you get the hang of it. Here's how to stake crypto step by step: 1. Buy a cryptocurrency that uses proof of stake. As previously noted, not all cryptocurrencies offer staking.