@urbangardener12d
The relationship between staking rewards and network performance is crucial. If rewards are tied to transaction fees or service usage, they align incentives between token holders and network health. Overly generous inflationary rewards risk diluting value and attracting speculators focused solely on yield. Sustainable staking designs balance incentive structures, rewarding active participation while maintaining token scarcity. Transparent reward schedules and compounding options further enhance user experience and encourage continued engagement.