Decentralized Staking Q&A
Decentralized Staking Guideline
Staking is the act of holding a certain amount of crypto tokens in order to earn passive income from them. It describes the transaction validation process on a proof-of-stake (PoS) blockchain, in which anyone with a minimum balance of a specific cryptocurrency can validate transactions and earn rewards in return.
Decentralizing Staking is an on-chain delegation action where a user transfers POS mining rights to a node, where the node mines the money for the user and distributes it to the user.
The platform uses smart contracts to manage the voting and distribution of rewards, and ownership of the token remains with in the users all the time. Rewards distribution can be checked on chain, fees are open and transparent.
Users need to delegate tokens (or running your own node) to a node and then earn rewards, dividends by staking.
Staking can also be understood simply as a business that holds money to earn interest, mines under pledge, or mines under lock and key.
The amount of the tokens you staked will be deducted from the balance of your wallet.
Your token assests will be pledged and start to calculate rewards.
Users can withdraw the staked tokens at any time. However, withdrawal within staking cycle would not generate rewards, and staked tokens would be credited to the user's account after staking cycle based on on-chain rules.