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Staking

Staking is the act of keeping funds in a suitable wallet. Staking allows anyone to perform various network functions in return for staking rewards such as adding funds to a staking pool. Staking produces and validates new blocks in a chain and involves validators who lock up their coins so they can be randomly selected by the protocol at specific internals to create a block. Participants who stake larger amounts have a higher chance of being chosen as the next block validator and receiving a staking reward since instead of competing for the next block through computational work, proof of stake validators are selected based on the number of coins they are staking. The coin holding is what incentivizes validators to maintain network security.

Actualizado el agosto 3, 2021
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