What is Staking?

In blockchain networks with a Proof-of-Stake consensus algorithm, staking means locking a significant amount of native tokens to get the right to create blocks and validate transactions for rewards.

In simple words, staking is like a lottery. You put your money into a deposit to receive tickets, and if your ticket won, you are assigned to do a high-paying task. 

In most PoS blockchains staking is the most popular source of passive income, as it is the blockchain protocol itself paying the rewards and yields can’t be more robust than that.

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