The Future Is at Stake
Staking has definitely become a pivotal aspect of Crypto in 2020, as many large and medium cap coins are switching over to the proof of stake protocol. Ethereum, Cardano and many others are making the shift, which will undoubtedly encourage many more. As the bear market kicked off in 2018, I began searching out alternative ways to increase my holdings and capital. POS was a concept that appeared to be the most viable with the least amount of risk, as there was no trading involved. I began experimenting with multiple POS projects, not expecting that in 2 years time I would be able to stake top Crypto projects.
Since then, staking to earn rewards has become a lot easier, especially since exchanges such as Binance are able to execute the entire process on your behalf. Simply deposit or purchase the coins you wish to stake and the process is automatically handled by Binance. All that follows is to login monthly to view or sell your rewards.
Staking Evolves Further With XIO
Perhaps you have heard of XIO? The token value has pretty much skyrocketed over the past month, even though the project has not officially launched yet.
In the screenshot above one can see the tremendous gains over the last 30 day period. More than 7X in 30 days is a really outstanding performance and leaves one wondering how far this price can actually go. The market cap seems to indicate that this is merely the beginning for XIO, as the entire market cap is currently only $9 million and suggests that there is plenty of room for further upside.
Once the XIO dapp is active, users can simply choose from the available projects to stake and then select a lockup period and receive the applicable interest immediately. This is pretty awesome and I am personally quite excited about this project. The only negative aspect to this model is, if within the lockup period the price of the reward token skyrockets, you may be missing out on massive gains.
Most people who choose to stake, do so to earn passive income. Meaning, they spend their rewards as they earn them. However, earning monthly rewards of an asset that is constantly climbing in value will most likely be a more profitable approach. Depending on your approach and motivation, this may be an option for you.
If a user wishes to withdraw their funds prematurely, they can do so. This will obviously incur a penalty as XIO have already paid out rewards for the entire lockup period. This seems like a very interesting idea, especially as many people will be attracted to the instant rewards. I think XIO will do quite well and I am eagerly awaiting the opportunity to try it out.
What are your thoughts on such a model? Do you think XIO has a future in the world of staking?
If you are wanting to buy the XIO token, it is available on Hotbit.