Topic: The Difference Between Staking and Investing (Read 1103 times)
I think staking is an investment plus, because with staking we can earn according to the promised APY, staking is someone who has a time contract and is not bound by a time contract, usually those who have a time contract give a higher APY, this is what makes me prefer staking than just hold in wallet.
An exchange is a convenient choice if you are ready to trust a broker and want your money to work for you without your participation.
Staking isn't done on exchanges. If you are staking in an exchange, you are actually not staking. You are lending the coins to the exchange and they stake it, not you. They just give you a small percentage of profit from the stake rewards. And haven't you noticed that exchanges even allow you to "stake" coins that aren't even PoS coins? They take your coin, use it for different purposes to generate profit and gives you a share. If you want to stake, stake using your own wallet. This will help the network you support make it more decentralized.
Staking pools are a thing nowadays when you consider how it is quite expensive for some of the staking in some coins could be expensive. Like ETH has 32 ETH start value for example, which means that not everyone can pay for it, but 32 people could get together and pay 1 ETH each and do it, or 320 people with 0.1.So, all in all it is quite easy to decide on why some places are not that bad, it is definitely something we could see happening and it is something that people could simply just ignore if they want to, it all depends on the person. Yes, you are "lending" it to someone to stake it for you, but exchanges are great staking pools that can work for you.
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staking is mostly done on exchanges. because usually you can get rewards in the form of certain coins. Many exchanges do this to promote certain coins, and usually staking is done to generate profit
for the long term.
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Staking isn't done on exchanges. If you are staking in an exchange, you are actually not staking. You are lending the coins to the exchange and they stake it, not you. They just give you a small percentage of profit from the stake rewards. And haven't you noticed that exchanges even allow you to "stake" coins that aren't even PoS coins? They take your coin, use it for different purposes to generate profit and gives you a share. If you want to stake, stake using your own wallet. This will help the network you support make it more decentralized. staking is mostly done on exchanges. because usually you can get rewards in the form of certain coins. Many exchanges do this to promote certain coins, and usually staking is done to generate profit
for the long term.
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I like the last definition of staking locking your coin to get rewarded. It's self explained even to a layman. Outside having huge capital your active participation in validating transaction as proof of stake will be much demanding. I would rather prefer sticking to investment while I patiently wait for a rise in value.
Staking and investing are often compared to each other because both can provide passive income. The longer we hold and stake the better the outcome but choosing a right coin is also important. Choosing a platform or a wallet to hodl and stake is a must too.
The comparison is good to know which is better in terms of security and profit. I believe investing is safer than staking because we can store investment assets safely in our own wallets, while with staking we have to entrust the security of our assets 100% on the platform. I personally don't like doing it, it puts me at greater security risk even though the platform promises it is secure.Investing is safer than snooping in my opinion, but both of these can be profitable for those who do. Remember that not your key then not your crypto/ bitcoin. This means we have to be very careful about entrusting our assets to the platform.
Indeed investing is more profitable than staking, but again, it depends on everyone's wallet.
This does really depend on how deep your wallet is because majority of us would be thinking about diversifying when we are financially capable and wont matter whether its staking or totally in talks about investment.Staking is still considered as an investment since you had put up some funds into it to earn some profits or interest on yearly basis or in some duration.It might be passive but it would still fit out
into that investing criteria but it seems people does have different views and impressions towards it.
Staking and investing are often compared to each other because both can provide passive income. The longer we hold and stake the better the outcome but choosing a right coin is also important. Choosing a platform or a wallet to hodl and stake is a must too.
Both of them provide profit or loss to their users, whether it's investment or staking. For now I choose to invest in several companies and at the same time stake tokens to get passive income.
In staking, even if you're in loss for the value of your staked assets, you're still going to have some gains based on how much it projects with an annual rate.Whether the token goes on a bearish trend still you get to earn passive income and adds to the quantity of your staked assets.
I can't say that staking gives more profit than investment or vice versa. Both have the potential to provide more profit to its users. But I can say that for me (now), staking provides a bigger profit. Besides getting rewards, I also get profit from increasing the price of the tokens I hold.
The advantage in staking is you get to earn additional coin you stake. But I still prefer the investing and holding way, I don't have to rely with those small percentage of gain.
Both of them provide profit or loss to their users, whether it's investment or staking. For now I choose to invest in several companies and at the same time stake tokens to get passive income.
I can't say that staking gives more profit than investment or vice versa. Both have the potential to provide more profit to its users. But I can say that for me (now), staking provides a bigger profit. Besides getting rewards, I also get profit from increasing the price of the tokens I hold.
The difference between the two only lies in the investment instrument, staking can also be regarded as a form of investment because the purpose of investment is to get profit from the investment instrument we choose.
I can't say that staking gives more profit than investment or vice versa. Both have the potential to provide more profit to its users. But I can say that for me (now), staking provides a bigger profit. Besides getting rewards, I also get profit from increasing the price of the tokens I hold.
The difference between the two only lies in the investment instrument, staking can also be regarded as a form of investment because the purpose of investment is to get profit from the investment instrument we choose.
Indeed investing is more profitable than staking, but again, it depends on everyone's wallet.
This does really depend on how deep your wallet is because majority of us would be thinking about diversifying when we are financially capable and wont matter whether its staking or totally in talks about investment.Staking is still considered as an investment since you had put up some funds into it to earn some profits or interest on yearly basis or in some duration.It might be passive but it would still fit out
into that investing criteria but it seems people does have different views and impressions towards it.
Indeed investing is more profitable than staking, but again, it depends on everyone's wallet. Nowadays, as you see, crypto is going down sharply enough, so this means that lots of people who invested considerable amounts and bought crypto at a higher currency now found themselves at a loss. I'm a bit afraid of dealing with crypto, so that's why I'm usually reaching for an advisory company like hensoncrisp.com when I'm looking to invest a significant amount. Moreover, after the events in Kazakhstan, which led to the closure of lots of mining farms, I wouldn't deal with crypto for an undetermined period.
Some staking, like with many DeFi coins have extremely high daily interest rates..now these are often and mostly scams and unsustainable but it’s however the case.
Yeah, at this point staking became something so huge in the crypto world with the rise of decentralized economies that people are putting their money into plenty of staking operations in order to keep having passive income. Lets be honest passive income is something every single human dreams about, that is the path to riches according to many people because if your money earns you money while you sleep, that is something you should not forget ever in your life.This is why I would have to say that the greatest thing we could do is keep making money while we sleep in any way possible. What do we have in crypto that is like that? Staking. Of course investing could make you money as well if the price goes up but staking makes you crypto no matter what the price is because you know have more crypto to begin with.
I have the vision and the same criteria, to invest I understand that it is to choose the safest action or currency so that in the long term of good profit, some say it as a bet, perhaps the meaning can be dissuaded according to the understanding. or whatever you want to say OP, but betting is basically Betting, and I think that many traders enter the market betting, that is, they start trading trying to guess the movements or do what they think is going to happen and that is a bet, at least For me it is, but it is something very dangerous, because you can lose a lot of money if you leave everything to chance. And cryptocurrency staking I understand that it is through another cryptocurrency to generate more as you have in Hodl mode, something like some casinos do.
It is normally a "bet" for sure, because you are investing into something that is unsure what will happen. Look at bitcoin, in the long run it is as guaranteed as anything could be and that is why we do not see it as betting, because we know that if you hold bitcoin long enough then you are going to make a profit. However, reality is that crypto could crumble tomorrow and we may not be aware of it.I get that bitcoin doesn't look like that right now but it could be something we are unaware of right now so that means it may not be something that we can predict neither. This is why it is a "bet" and investment is always risky no matter what you are getting into.
You are right, in fact when we buy BTC and leave it in the long term if it is a bet, but it is similar when a person decides to invest in the stock market, to invest you need to choose the strongest action and in this case in the crypto world it is The strongest stock is BTC, and it is the safest stock or currency there is to put your money in long-term.
This is the way that most investment books recommend, always looking for the safest action and that can obtain long-term benefits, that is why in the stock market they do a series of studies to choose the strongest action, in crypto is not necessary to choose it, but to put money in and that's it.
I think you have a good bit of this right, but I don’t agree with the part of investing being able to make you more money faster. Some staking, like with many DeFi coins have extremely high daily interest rates..now these are often and mostly scams and unsustainable but it’s however the case.
There are some people who not really good in trading, staking can be alternative for it. Although maybe profit not high as when we are doing trading, but risk can be less too. Nowadays there are a lot of platforms that allow us to stake our crypto in their site, for example like when we stake USDT in Binance, beside on a reputable exchange, USDT as we knows as stablecoins, means we don't need to worry about volatile.
In the exchange there are various features for making profit and everyone has their own preferences,Yes, the smaller the risk, the profit we can get is also small and that applies to the opposite as well
ones for you to have the chance on earning big but of course the risk would be something higher compared when you are just simply
holding your coins or assets.We do have our own preferences and not all would really be that risk takers and does love to hodl instead.
Preference is depending on someones decision.
There are some people who not really good in trading, staking can be alternative for it. Although maybe profit not high as when we are doing trading, but risk can be less too. Nowadays there are a lot of platforms that allow us to stake our crypto in their site, for example like when we stake USDT in Binance, beside on a reputable exchange, USDT as we knows as stablecoins, means we don't need to worry about volatile.
In the exchange there are various features for making profit and everyone has their own preferences,Yes, the smaller the risk, the profit we can get is also small and that applies to the opposite as well
ones for you to have the chance on earning big but of course the risk would be something higher compared when you are just simply
holding your coins or assets.We do have our own preferences and not all would really be that risk takers and does love to hodl instead.
Preference is depending on someones decision.
There are some people who not really good in trading, staking can be alternative for it. Although maybe profit not high as when we are doing trading, but risk can be less too. Nowadays there are a lot of platforms that allow us to stake our crypto in their site, for example like when we stake USDT in Binance, beside on a reputable exchange, USDT as we knows as stablecoins, means we don't need to worry about volatile.
In the exchange there are various features for making profit and everyone has their own preferences,Yes, the smaller the risk, the profit we can get is also small and that applies to the opposite as well
Staking is a better thing than investing, if we invest then we only hold coins or tokens in the wallet, but staking is we deposit coins or tokens to service providers and we can get profit, even we can get profit up to 80%, and when I'm staking at Pancake and can earn around $6 per day from 3600 CAKE (auto).
It really depends on what you are staking or investing here. Lucky for you if the token or coin is increasing its value, but what will happen if in case the cake's price is decreasing. So even if you are earning cake, the profit is still less if its market price is going down. So staking or investing is a very subjective matter as it depends on the coin/s that you are involved with. Some for example are investing in btc, and they are just waiting for the bullish season before they sell. And they are pretty much happy with their profits. So these 2 possible ways of earning crypto depends on the coin itself and how the user will strategize to optimize his profits.
but investing give much higher percentage of profit in just a short period of time but it depends on how much, what or where did you invest.
Maybe you're referring to trading not investing? there's no "short period of time" in investment, there is a short-term investment, but "short period of time"? maybe it's day trading or so.According to the oxford dictionary:
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Investing: expend money with the expectation of achieving a profit or material result by putting it into financial plans, shares, or property, or by using it to develop a commercial venture.
There is nothing mentioning a period of time in this explanation. Therefore, personally, I think that trading is a type of trading in which we take profit and expectation in a shorter amount of time. What do we call people who are swing traders or long-order trader? From my perspective, they are all the same. And if you trade (or invest) blindly without learning or having knowledge, I can consider that type of person as a gambler. There will be no difference in this particular situation
Absolutely right. Trading is entirely different from Investing. We invest funds in any project with long term vision whereas trading is done for short term period and it could be on hour, one day or one week. Staking in DeFi projects in crypto space has attracted huge investment in 2020 because it generates passive income and it continues to grow despite the fact that there were many Fake projects in this sectors.
so from that I think it's quite clear that the two are different even though the goal of course remains the same to seek profit
Staking is a better thing than investing, if we invest then we only hold coins or tokens in the wallet, but staking is we deposit coins or tokens to service providers and we can get profit, even we can get profit up to 80%, and when I'm staking at Pancake and can earn around $6 per day from 3600 CAKE (auto).
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