Crypto Staking - TRON Energy and Bandwidth Points

Crypto Staking - TRON Energy and Bandwidth Points


Have you ever been curious about crypto staking? Maybe you have a stack of Solana, Tron, Cardano, or other alt-coin and you want to put it to work? A very easy way to do this is through Trust Wallet. Of course, keep in mind your seed phrase/private keys when using a self-custody wallet like Trust. I think that Trust Wallet in particular is very easy to use and has a simple-to-navigate user interface.

What is Crypto Staking?

Staking is essentially like a long-term deposit; you lock-up your holdings of a particular cryptocurrency to secure a blockchain network's Proof-of-Stake consensus mechanism. In exchange for helping validate network transactions and maintain network integrity, you earn interest for locking up your funds.

What Are Some Cryptos I Can Stake?

Some of the most popular cryptocurrencies that have a PoS validating consensus are:

  • Ethereum (ETH) - Switched from a PoW (Proof-of-Work) consensus to PoS in September 2022 with "The Merge" network upgrade
  • Solana (SOL)
  • Cardano (ADA)
  • BNB (BNB)
  • Avalanche (AVAX)
  • Polkadot (DOT)
  • Polygon (MATIC)
  • Tezos (XTZ)
  • Algorand (ALGO)

TRON (TRX)

A popular platform among the staking community is the aforementioned Trust Wallet. It is also available as a Chrome Extension. This is what the 'stake' option will bring you to. Obviously, have your wallet funded with Tron (TRX) in order to earn staking rewards. Trust requires a minimum of 1 TRX for staking. The lockup period is 14 days.

 

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The 'Stake TRX' screen will prompt you to select how much you want to stake. It's generally a good idea to keep a small amount unstaked, should you incur future network fees to unlock your TRX.

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There are a variety of nodes you can choose from. These are validators who are running the infrastructure that processes transactions and who you choose to delegate TRX to and earn the subsequent staking reward. As a Tron hodler, you can empower your TRX and help secure the network.

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It's not much yet, but it's honest work! There are definitely benefits to staking TRX.

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In addition to the staking rewards, you can earn Energy or Bandwidth Points and get gas fee discounts for TRON transactions. In the TRON Network, transaction costs are managed by bandwidth and energy. Every TRON user gets 600 free Bandwidth Points each day, which is usually enough to cover two basic sends. Energy is used when interacting with smart contracts (swaps/dApp transactions).


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