@dunksbunnys
Staking involves holding and locking up a cryptocurrency in a wallet to support the operations of a blockchain network, particularly in proof-of-stake (PoS) systems. By staking their tokens, participants help secure the network, validate transactions, and maintain the integrity of the blockchain. In return, stakers earn rewards, typically in the form of additional tokens. For the network, staking enhances security and decentralization, as more participants are incentivized to actively engage in the network's consensus process. For stakers, the benefit is earning passive income from their holdings. However, staking also comes with risks, such as the potential for loss if the network faces issues or if the tokens are locked up for long periods.
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