What is staking?

Staking is a way to put your crypto to work and earn rewards on it.

If you’re a crypto investor, staking is a concept you’ll hear about often. Staking is the way many crypto currencies verify their transactions, and it allows participants to earn rewards on their holdings.

But what is crypto staking? Staking crypto currencies is a process that involves committing your crypto assets to support a block chain network and confirm transactions.

It’s available with crypto currencies that use the proof-of-stake model to process payments. This is a more energy-efficient alternative to the original proof-of-work model. Proof of work requires mining devices that use computing power to solve mathematical equations.

Staking can be a great way to use your crypto to generate passive income, especially because some cryptocurrencies offer high interest rates for staking. But before you get started, it’s important to fully understand how crypto staking works.