👉Staking in crypto refers to the process of holding or locking up cryptocurrency in a digital wallet to support the operations of a blockchain network and earn rewards in return.
👉When you stake your cryptocurrency, you essentially help to secure the network by participating in its consensus mechanism. In some cases, staking may involve validating transactions, creating new blocks, or verifying the correctness of data on the blockchain. By doing so, you contribute to the network's security, speed, and scalability.
👍In return for your contribution, you may receive rewards in the form of additional cryptocurrency. The number of rewards you receive depends on the amount of cryptocurrency you have staked and the specific rules of the blockchain network you are participating in.
👉Staking is seen as an alternative to cryptocurrency mining, which can be energy-intensive and requires expensive hardware. Staking is often considered a more eco-friendly and accessible way to earn rewards from cryptocurrencies.