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How to Select a Token for Staking?
Papar pada 2021-12-02
1. Staking ROI
The staking returns of hodlers are mainly derived from the value growth of tokens. However, the portion of returns associated with inflation rate (additional issuance/circulating supply) are actually not their real earnings. It’s because the active participation of users is required for staking and users can not receive the rewards from additional issuance of tokens without participation. Therefore, staking ROI = inflation rate/staking ratio. The staking ratio refers to the proportion of crypto assets that have been staked and can’t be sold. Users should have an understanding of the economics of tokens before engaging in staking, including the follow-on offering mechanism, inflation rate and the staking ratio of the network.
Considering the above factors, AscendEX Staking has calculated and directly displayed the est. APR of all tokens available on the platform for users. Users can view the information by directly navigating to the AscendEX Staking page. Generally, the higher the APR is, the bigger the staking returns will be.
2. Unstaking Period
The unstaking period refers to the period of time users need to wait before they redeem their staked assets for trading when they’ve decided to exit a staking program. At present, the majority of staking programs using PoS-based projects include an unstaking period, which is a safeguard measure to avoid the malpractices by nodes. Besides, the unstaking period can help prevent investors from collective redemption, which, to some extent, contributes to reducing the market volatility.
AscendEX supports instant unstaking for all staked tokens to satisfy users’ needs of adding and redeeming for their assets anytime. Users need to pay fees for enabling the function. Additionally, users can also use the regular unstaking mode AscendEX offers for all staked tokens, but users need to wait for the unstaking period after issuing the request of redemption. Please check the specific unstaking period on the AscendEX Staking page. The unstaking requirements vary depending on the specific staked tokens being redeemed. User can select the tokens to be used for staking based on their investment preferences and trading practices.
3. Staking Limits
Most of crypto projects have a requirement for the minimum staking amount. According to the requirements of the specific crypto projects, AscendEX also has set up different lower staking limits for all tokens available for staking on the platform to meet the different investment needs of users. Users can select their preferred tokens for staking based on their asset allocation situation.
Click HERE to navigate to AscendEX Staking page to learn more about AscendEX Staking products.