Staking your digital assets is the mining of the future. 

MINING

Bitcoin, Litecoin and others started with Proof of Work (PoW) algorithm and the Mining process which creates new coins and then releases them into the blockchain (the public ledger).

But Mining requires technical knowledge and computational power in order to solve the algorithmic puzzles involved in blockchain networks.

STAKING

Using the Proof of Stake (PoS) algorithm,  staking involves the purchase of cryptocurrencies and holding them in a wallet for a particular period of time, similar  to a deposit in a bank which rewards you with a defined interest at the end of the period, as stipulated in the contract.

In the same way, Proof of Stake rewards you with additional coins or tokens. By holding cryptocurrency in your wallet, you are rewarded for supporting the network. Therefore, your cryptos will increase in number depending on how long you hold them in the staking wallet.

STAKING WALLETS

The reward rates are actually computed based on the duration or maturity period selected to HODL the tokens in the wallet.

Best staking wallets I know until today 14.05.2020. I use some of them and am pleased to say that I have a good experience.

Atomic Wallet
MyContainer
Trezor Cold Wallet
Coming soon: Stocold Wallet

STAKING TOKENS / CRYPTOS

Best cryptocurrencies and tokens with steady annual stake:

ATOM (Cosmos), 10% on Atomic Wallet
XTZ (Tezos), 7% on Atomic Wallet
QTUM (Qtum), 10.75% on MyContainer
NRG (Energi), 19.5% on MyContainer
BLOCK (Blocknet), 16.49% on MyContainer
XLR (Solaris), 18% on MyContainer
RADS (RADIUM), 72% on MyContainer
XREI (Reitis), 11% on Stocold Wallet (coming soon)

THE ADVANTAGES OF STAKING

- You do not spend money in buying expensive machines, such as ASICS or high-end GPUs as in case of mining coins.

- Staking uses little resources when compared to mining coins, which means much less electricity consumption.

- Instead of buying the hardware for mining, you can purchase cryptocurrencies and lock them into a staking wallet, that will lead to value growth.

- The amount of token grows as the rewards increase and also as prices escalate so that your wallet value goes up.

- Given the HODL of the cryptos/tokens is incentivized to keep them rather than selling them, there will be stability in the price of cryptocurrencies on the market.

- Staking is very simple and doesn’t require the technical know-how în order to participate.

THE DISADVANTAGE OF STAKING

Once you stake a cryptocurrency or a token, you automatically lock it for a particular period of time so you cannot sell it. 

CONCLUSION

PoS strategy is saving the money you would have to spend on mining hardware or buying high-stake crypto-coins from a coin exchange, and committing them to your personal wallet, where you can watch their balance grow.

REFERENCES

Atomic Wallet: https://atomicwallet.io
XREI Stocold Wallet: https://wallet.reitiscapital.com
MyCointainer:

https://www.mycointainer.com
Reitis: https://reitiscapital.com
Cosmos: https://coinmarketcap.com/currencies/cosmos/
Qtum: https://qtum.org/en
Blocknet: https://blocknet.co
Solaris: http://www.solariscoin.com
Radium: https://radiumcore.org

IImage source: Pixabay free license.