How does DeFi Staking Work?
Adekunle Joshua
DeFi staking enables users to lock up their crypto assets and earn rewards in return
When users stake their assets, they essentially lock them up in a smart contract on a blockchain platform
This process helps secure the network and allows users to participate in the platform's consensus mechanism.
There are two main types of DeFi staking: pooling and individual
In pooling, multiple participants can combine their assets to increase their chances of earning rewards
On the other hand, individual staking involves staking assets alone
The rewards are typically calculated on two factors: the number of assets staked and the staking period.