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Staking has an important place in the crypto money market. For many investors, it stands out as a way to earn rewards for holding certain cryptocurrencies. There are some information you need to know before staking. In this article, you can learn which cryptocurrencies allow staking and how the process works. What is Staking? Stake is the process of holding cryptocurrencies in a wallet within a certain time, which examines the support of all operations in the crypto money market. No transfer should be made, and it should remain in the stable wallet for the staking process. It is important that cryptocurrencies are kept safe, in the wallet, in order not to experience big losses. In the shortest and simplest terms, staking means locking cryptocurrencies in wallets.Staking is a term that entered the cryptocurrency market with the Proof of Stake (POS) mechanism. The biggest benefit to the system is to prevent excessive processing power from being wasted. It also helps in maintaining the supply-demand balance as it limits the circulation of cryptocurrencies. How Does Staking Work? In order for you to be able to staking, your current cryptocurrency must allow it. Tezos, Cosmos and Ethereum are cryptocurrencies that allow staking. The reason you earn rewardsif you stake your cryptocurrency balance is that the blockchain make profits thanks to your digital money. Thus, the system gives you a reward from that profit. You can liken this to future fiat currency bank accounts. When you keep your money in banks for a certain period of time without withdrawing, the bank sends a certain amount of money to your account balance. Cryptocurrencies that enable staking benefit from a &#39;reconciliation mechanism&#39; called Proof of Stake. This mechanism can be expressed as a wayto verify and secure all transactions without an intermediary such as a bank or payment processor. If you prefer staking, your cryptocurrency will be accepted as part of this process.For staking, your current cryptocurrency must allow it. You also need to have a certain amount of crypto money for this transaction. When you meet the requirements, you must transfer your balance to the staking pool. What are the Advantages of Staking? If you prefer holding in your cryptocurrency investments. Staking can be an extra way of earning for you. Because the majority of investors who hold do not make any transactions in their balances for a long time. We can say that not taking any action is also the rule of staking. If you are not going to exchange or trade withyour crypto asset, why not give you extra income?The PoS process is simpler than mining operations in PoW networks. In addition, less resources are spent. In general, it is sufficient to transfer money from your digital wallet to the staking pool. You can even transfer your coins from your exchange wallet on some platforms.With staking, the blockchain becomes more protected against attacks. At the same time, the ability of the blockchain to perform transactions is strengthened.It does not cause any extra cost for the investor.What Are the Risks of Staking? The basis of staking is that crypto currencies are locked for a certain period of time, regardless of it. This period can be 15 days, or it can also be a year. During this period, you cannot make any transactions on sudden value increases or decreases. For example, when you make a one-year stake, the reward you will receive is 5%, but you cannot take advantage of the sudden increase in the interlude.How Can You Start Staking?Staking is open to every investor in general. Despite this, in order to be a complete verifier, you need to have a minimum amount of crypto money. You also need some technical knowledge and a computer that will provide 24-hour continuous verifications.However, thanks to the internet technology that is developing today, thanks to exchange platforms, you can also join the staking pool without being burdened too much.

What is Staking?

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