From a user’s standpoint, staking is a way to earn passive income on locked crypto funds. In the background, however, the tokens are committed to securing the blockchain network in a proof of stake consensus algorithm. Funds are locked to ensure honesty in validating blockchain transactions; bad actors receive a penalty, which varies from blockchain to blockchain.
KuCoin exchange is the fifth largest cryptocurrency exchange based on web traffic, liquidity, and trading volume. Beginners can select among the various pools available within the KuCoin Exchange.
A factor exclusive to the KuCoin exchange is that it allows users to buy and stake in many low-priced coins, the world’s biggest secondary market of niche coins. KuCoin exchange’s other functions include Spot trading, Margin trading, P2P fiat trading, Futures trading, Lending, and investing in new project tokens.
Staking pools are pooled resources or assets that are staked as a batch. Some tokens, Ethereum, dictate a minimum staking amount; pools enable users to pool their assets and meet the requirement. Large staking pools increase the likelihood of a validator approving a blockchain, leveraging higher returns for stakers. Some validators charge a fee to stake on their pools.
KuCoin staking pools are incredibly user-friendly; stakers receive rewards in proportion to the amount staked. The Ku coin staking pool requires low minimum amounts with zero withdrawal fees.
1. Create and Log in to your KuCoin account. Fund the account. 2. Hover over the “Earn” tab on the taskbar at the top of the page and select “KuCoin earn.” 3. Scroll and select the asset you want to earn interest on the crypto. 4. Click the green “Subscribe” button on the right side 5. Read and understand the terms of the agreement. 6. Type in the number of tokens you want to stake. 7. Click “Subscribe.”
Staking rewards depend on the token being staked and the lock-up period. The interest is not fixed and varies from day to day. The Pikaster crypto has the highest APR at 365.15% at the time of writing. Bitcoin is at 0.39%, Ethereum at 4.46%, USDT at 12.5%, and BNB at 8.31% apr.
Staking on the KuCoin exchange is a quick and user-friendly way to earn passive income on your crypto holdings. Staking pools leverage higher interest rates for the users. However, crypto still carries the risk of losing value and high volatility. Price drops and slippage caused by supply and demand forces could result in losses.
January 31, 2020