In this article, we will take a full look at the Aptos token (APT) and its staking:
What is Aptos Token (APT)?
Earning passive income from staking Aptos tokens (APT)
How to stake Aptos tokens (APT)?
How much can you earn by staking Aptos (APT)?
What are the risks of staking APT?
Create passive income by staking Aptos Tokens (APT).
Aptos, a next-generation Layer-1 blockchain, offers secure, fast and scalable staking capabilities.
Anyone can support the Aptos network by staking their APT tokens, contributing to consensus and governance of the network.
This innovative system ensures that your investments perform better, delivering higher returns.
The main benefit of staking Aptos (APT) is that you earn additional coins and the reward rates are up to 8-12% per year.
Another benefit is that, unlike mining, the amount of your staked Aptos Tokens (APT) does not lose value. Market price movements are the only factor that affects the value of staked coins.
What is Aptos Token (APT)?
APT is a native token of the Aptos network that performs the following key functions on the platform:
Staking: Users can block APT on the network, through a trusted validator, to contribute to the security of the Aptos network and earn staking rewards.
Gas Token: For every transaction processed by the network, a small fee is charged in the form of a small portion of the APT token. Transaction fees are currently burned, although this may be revised in the future with on-chain governance voting.
Governance: The APT token is used to vote on governance proposals on the network.
Earning passive income from staking Aptos tokens (APT)
The Aptos Token (APT) Passive Income Strategy provides investors with a great opportunity to increase their APT token holdings for free.
To earn income from your Aptos Tokens (APT), you can either stake them with a trusted staking provider (validator) or run your own server (validator).
Naturally, you should choose to stake tokens with a trusted validator, despite the fact that it is completely safe, APT tokens will belong only to you, since they are locked in the network and no one has access to them.
How to stake Aptos tokens (APT)?
We recommend using the decentralized wallet Petra Wallet - this is a wallet developed by the Aptos project itself and, accordingly, is the most reliable and secure.
To delegate (stake) your APT tokens, you must ensure that you have APT tokens in your Petra Wallet then follow these steps:
Step 1: Go to the website of the validator (staking provider) Aptos: xbanking.org
Step 2: Select the Aptos staking pool and click “Start staking” or “Launch App”.
Step 3: In a new window, expand the Aptos staking window, connect the Petra Wallet, specify the number of tokens for staking and specify the period for staking APT tokens (the reward rate depends on this).
Step 4: Sign the transaction by clicking on Confirm staking.
How much can you earn by staking Aptos (APT)?
The average remuneration rate is 8% APR. The validator listed above has a higher profitability and is. This depends on the scale of the staking provider and the number of tokens locked in staking.
The main point that will influence the reduction of the Aptos staking reward rate (APT) in the future.
Based on currently available information, the average annual compensation rate is 8%, which is estimated in each era.
The maximum interest rate is gradually reduced by 1.5% each year until it reaches a minimum of 3.25% per year, a process expected to take over 50 years.
These rewards increase the total supply of APT tokens on the Aptos network.
Please note that the total annual reward is divided among all active members; therefore, as the number of tokens staked increases, the reward rate decreases.
By participating in staking, people can earn rewards while contributing to the growth and stability of the Aptos ecosystem. As with any investment strategy, it is important to conduct thorough research, evaluate your risk tolerance, and stay abreast of market developments, even though there is no risk in staking APT tokens with a trusted staking validator.
What are the risks of staking APT?
The only risk a validator can bear is "slashing risk", but there is currently no slashing on the Aptos network.
Slashing is the reason why you may get less profit from staking, but you cannot lose your APT tokens.
Happy staking! ❤️
