What Is Crypto Staking?

One of the ways to make a profit with cryptocurrencies is staking. Many projects and platforms allow this passive income option for users. Crypto staking is the way to receive digital assets without putting a lot of effort and expenses.

We all know what mining is. It is a complex process of receiving each coin through solving complicated algorithmic problems using high-tech computer equipment. To start mining, one should buy expensive equipment and create proper conditions for the room where computers are placed.

Also read: How To Choose The Best Crypto Exchange?

Moreover, the process takes a lot of energy; thus, sufficient electricity costs. Since mining becomes increasingly complex over time, it takes even more effort and expense to receive coins.

Unlike mining, staking crypto allows receiving assets without sufficient investments.

What is staking crypto? It is a process when you buy coins and lock them on a crypto exchange for some exact period. In return, you receive additional coins when the period expires. That sounds like a deposit in a bank, but much safer, and your investments belong to you only, but not a bank.

Platform For Crypto Staking

Not all digital assets are available for staking. Coins that may be staked must have a “proof of stake” consensus protocol in the core. However, you can stake even Bitcoin (that runs in the “proof of work” protocol) through a credible crypto platform. It is like receiving interest for storing your assets on the exchange. The WhiteBIT platform allows such an option. It is called Smart Staking.

If you want to stake coins on WhiteBIT, follow the steps:

  1. Pick an asset you want to lock in the staking program.
  2. Pick the program you like. Or you can choose several staking plans to run simultaneously.

When the staking period expires, your coins will be unlocked and accrued to your account together with the percentage you earned during the staking period.

Learn more about passive income opportunities on the WhiteBIT platform.

People also read: Can cryptocurrency prove to be an asset?

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