Staking in Crypto According to Dan Schatt of Earnity

Cryptocurrencies have become more and more popular nowadays, and many people are looking to buy them. Domenic Carosa and Dan Schatt, executives of Earnity, want the most active crypto buyers to be aware of staking.  

Staking is the process of holding funds in a cryptocurrency wallet to support the operations of a blockchain network. In return, stakers receive rewards for their contributions. Relative to other crypto buying strategies, staking is a safe and easy way to earn interest in cryptocurrencies actively. 

However, before even thinking about staking in crypto, a few things should be considered. 

What are You Willing to Risk?

The first thing to mull over is the amount of money you are willing to risk. There is always a degree of risk involved in cryptocurrency buying. Before staking any crypto, make sure that you are comfortable with the risks and are prepared to lose the entire purchase. In line with this, it is critical to avoid spending more than you can afford to lose. 

Another vital factor to consider is the type of cryptocurrency to be staked. The buyer cannot stake all cryptocurrencies. Only those that use the proof-of-stake (PoS) consensus mechanism can be held in this strategy. The most common cryptocurrencies that use PoS include Ethereum, Cardano, Tezos, Solana, and Polkadot. 

The Importance of Research

The next thing to think about is the staking wallet. A staking wallet is a digital wallet that allows storing cryptocurrencies to stake. There are different wallets, and not all of them permit staking. Thus, Earnity’s Dan Schatt and Domenic Carosa want everuyone to conduct deep research before selecting the wallet. The staker also must ensure that the wallet is reputable and has a good track record. 

Once the above factors have been weighed up, finding a reliable staking service is essential. As with wallets, there are many different services available in the market, and not all of them are created equal. In choosing a staking service or pool, some things are reputability, reasonability of fees, and pool size.  

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