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Topic: The Difference Between Staking and Investing - page 5. (Read 1103 times)

sr. member
Activity: 2086
Merit: 283
Vave.com - Crypto Casino
November 17, 2020, 04:13:06 AM
#65
Quite interesting explanation, maybe staking can be an option besides trading.  although the staking value is not much.  staking and investing both have to spend capital.  Staking in a wallet is a bit risky I guess.  I prefer to invest in coin on exchanges like Binance for example.
For long term holding staking is good option because they can earn more during waiting for his holding coin growing up, just few coin have support for staking like BNB, TRX, XRP and ATOM, all coin above have different percent for staking and depend which exchange market for your coin staking, maybe Binance have many option coin for staking from BNB until ATOM could staking there but maximum earning above 6% each months and have lower than 6% depend which one coin do you wanna staking, maybe you have double chance when you trying for staking not only get effect after coin raise to higher price but you get income with staking reward is enough time for staking before you sell.
member
Activity: 266
Merit: 11
November 17, 2020, 01:22:07 AM
#64
I can't sleep well if I'm staking my coins for monthly gains because it's no more in my care, to stake coins you need to move the coins out of your wallet to another stake activated wallet which you have no control over since you aren't holding it's private key, you are on your own lok
I stake through top exchanges like binance, even if something bad happens like hacks binance will refund, you don't have to be this worried about staking unless you use the wrong staking platform, stick with top exchange for staking and you will get good results back, many have been staking on binance exchange since 2018 now
member
Activity: 280
Merit: 11
November 17, 2020, 01:16:03 AM
#63
I can't sleep well if I'm staking my coins for monthly gains because it's no more in my care, to stake coins you need to move the coins out of your wallet to another stake activated wallet which you have no control over since you aren't holding it's private key, you are on your own lok
hero member
Activity: 2478
Merit: 512
Leading Crypto Sports Betting & Casino Platform
November 17, 2020, 12:25:02 AM
#62
Quite interesting explanation, maybe staking can be an option besides trading.  although the staking value is not much.  staking and investing both have to spend capital.  Staking in a wallet is a bit risky I guess.  I prefer to invest in coin on exchanges like Binance for example.
newbie
Activity: 15
Merit: 0
November 16, 2020, 11:30:26 PM
#61
Article is well explained but i want to add some points of my own, investment is more about securing your principal and getting a expected return, and anything over and above that is bonus. But, Staking doesn't directly deal with money, here you get extra cryptocurrency for keeping the threshold amount of it. But, the price of Cryptocurrency increases with time, you get bonus, i.e. more cryptocurrency with better capital gain. (I haven't included the block-chain's technical part)
legendary
Activity: 2128
Merit: 1657
November 16, 2020, 07:56:41 PM
#60
The fundamental difference is the inflationary supply model inherent to most staking functions.

If you are staking a crypto-currency, the traditional expectation is you will get paid in the same unit as the currency that you staked, therefore inevitably diluting the existing or at least circulating supply, which is counter intuitive to principles of investing.

When you are making an investment, the initial assumption is that your gains will be a net profit and will not serve to directly dilute your starting capital in any way...
full member
Activity: 1232
Merit: 186
November 16, 2020, 06:39:52 PM
#59

Today, investments in cryptocurrencies are very popular, which provide the user with the opportunity to participate in a liquidity pool, as well as in farming. In other words, this is an investment that brings you a constant income and at the same time maintains the liquidity of a particular cryptocurrency.
I've seen a lot of staking platforms failing due to network errors, developers and some members of the team disappears or resigns after the staking platform is launched, they know you guys will maintain the currency and they could just create another project. lmao.
Why would you choose the new and untrusted staking platform in the first place? Don't settle for less, you are already gambling your money so you should make sure that you are putting it in the right place for you to less the chances of losing. There are still good exchanges out there where you can invest. Kucoin, Coinbase and the best among the rest which is Binance. If you choose such names then your money will be secured.

I am now learning to appreciate staking unlike before. I thought simply investing of coins is good because you manipulate your own assets etc. But as I am getting busy, I realized that I won't have enough time to do trading so I think staking (which could give you a passive income) is not bad as others what think of. Avoid comparing the two and you will realize that they are profitable in their own ways Smiley.
hero member
Activity: 3010
Merit: 629
November 16, 2020, 04:53:32 PM
#58
Staking is also popular in crypto and similar to investing. But there's a minimum required amount for a specific crypto in order to earn a rewards, the problem is not everyone are capable to have such amount thus unable for them to participate.

Investing on the other side is good even you're a newbie. Basic knowedge is fine as long as you understand the risk and the nature of it.

Nevertheless regardless of what you choose between investing or staking, your goal is to gain from the money you use as capital. So its up to us on where we think we can maximize our profit.

hero member
Activity: 1498
Merit: 586
November 16, 2020, 04:31:41 PM
#57
I think better staking than holding only because holding or investing just waiting when coin have higher price without get commission from exchange market.
The problem with this theory is that you cannot stake all the coins for example Proof of work algorithm based coins cannot be staked and not all the POS coins are good because while POS saves energy and power but the coin's value drops as people sell the coins they earn from staking. Rich guys buy huge amount of coins and then earn staking rewards and sell them. I believe and consider as a modern way of earning interest for your money.

Investing or holding is good and better than staking when the coin is not based on POS but if it based on POS algorithm then better and obviously good to take the rewards by staking while also holding.
Correct! but for me they don't have any difference at all except that in staking there will be a passive income everyday, but the price might change if the team want to lower the amount of percentage, and of course its trading value, while im investment only, you sometimes need to day trade or long trade, there is no additional token each day, you need to monitor it very well.
sr. member
Activity: 1918
Merit: 370
November 16, 2020, 02:03:55 PM
#56
One way or another, staking is first of all an investment in a certain cryptocurrency, and then these coins bring you passive income.
"first of all an investment" Huh seems like you're too expose to DeFi projects that has this staking platform features that generates too much eth fees of course due to the heavy traffic in network lol it'll be passive income if you're staking a decent amount of their tokens, not unstaking every day, pooled tokens is huge and not rug pulling.

Today, investments in cryptocurrencies are very popular, which provide the user with the opportunity to participate in a liquidity pool, as well as in farming. In other words, this is an investment that brings you a constant income and at the same time maintains the liquidity of a particular cryptocurrency.
I've seen a lot of staking platforms failing due to network errors, developers and some members of the team disappears or resigns after the staking platform is launched, they know you guys will maintain the currency and they could just create another project. lmao.
hero member
Activity: 2730
Merit: 585
Leading Crypto Sports Betting & Casino Platform
November 16, 2020, 01:09:27 PM
#55
The reason why staking got this much famous wasn't the idea of staking, there has been a ton of places that was staking way before today and you could have done it for the past few years without a problem. The reason why staking got famous is the fact that decentralization happened and nowadays you could stake without having to worry about anyone else and know what you are getting, just put your money into something and just lock it until it is available to cash out and that is the end of it.

Plus, when other huge companies and projects got involved with it, they made a huge marketing with it using airdrops and bounties to get interest from the world, previous ones didn't had this type of free marketing budget so they didn't get heard as much as the recent ones did.
full member
Activity: 1372
Merit: 133
November 16, 2020, 11:51:31 AM
#54
One way or another, staking is first of all an investment in a certain cryptocurrency, and then these coins bring you passive income. Today, investments in cryptocurrencies are very popular, which provide the user with the opportunity to participate in a liquidity pool, as well as in farming. In other words, this is an investment that brings you a constant income and at the same time maintains the liquidity of a particular cryptocurrency.
member
Activity: 516
Merit: 38
November 16, 2020, 09:39:07 AM
#53
I think better staking than holding only because holding or investing just waiting when coin have higher price without get commission from exchange market.
The problem with this theory is that you cannot stake all the coins for example Proof of work algorithm based coins cannot be staked and not all the POS coins are good because while POS saves energy and power but the coin's value drops as people sell the coins they earn from staking. Rich guys buy huge amount of coins and then earn staking rewards and sell them. I believe and consider as a modern way of earning interest for your money.

Investing or holding is good and better than staking when the coin is not based on POS but if it based on POS algorithm then better and obviously good to take the rewards by staking while also holding.
sr. member
Activity: 2436
Merit: 455
November 16, 2020, 02:35:52 AM
#52
It's just the same for me, in my opinion.

As you have said already, staking means locking your coins to receive rewards, in short, you'll hold your coins before you sell it. The term Staking is only use in terms of cryptocurrency.

While Investment is a term that's being use in the real world. Investment shares the same meaning because you'll invest your money in certain coins in which you'll also hold when you're still not happy about the current price after you bought it.

The two terms means Hodling gives you profits especially if the coins you are hodling happened to have soft fork or hard fork.
sr. member
Activity: 1036
Merit: 281
November 16, 2020, 12:18:46 AM
#51
Stacking is locking your coins away for monthly or annual rewards and investing is buying the coin or token and hold for any future market surge, they aren't same thing and investing gives you complete control over your coins and tokens, it's different with staking, you imprisoned your coins for a limited period of time for rewards and sometimes the staking coin loses values while you locked them away

You can invest in staking coin, you will get dividends and its nice passive income, and in case of the price rise your profit will be greater, your coins + received coins. Now is it better to invest in staking coin or in coin with other purpose is up to you, I personally like staking coins and I have few. Now staking with some wallets or on exchanges is easier than ever before. Of course rewards varies from coin to coin and from place where you plan to hold your coins.
Nothing is risk free, and we need to risk to make profit. I think there are good coins for staking on various places but always DYOR before you decide anything.
For me it depends on the criteria of staking, there are projects out there who are offering staking but your coins will be lock in specific time period and it is what I do not like. I want to study and make a research first before I do staking or investing. Staking is good because you can earn passive income but what if you stake a coin that have no potential where it experienced huge dump and it has a lock time period? how can you able to regain the losses that you incurred if you cannot withdraw it. That is the downside of some staking and for me investing is more good especially if you have an access on your token where you can able to sell it whenever you want.
hero member
Activity: 2688
Merit: 588
November 16, 2020, 12:17:56 AM
#50
Many exchanges do this to promote certain coins, and usually staking is done to generate profit for the long term. Therefore, those who want short-term profits will definitely choose investing.
Yeah but you can divest your coins from staking once you feel you want to sell them. I mean you can stake as long as you want and you are only going to earn free coins and once you feel it is right time to sell you can divest from staking and sell them.

I have not tried and tested staking much because I never had too many coins but really sounds like a good idea to get free coins by just staking them so I might try in future when I have some good amount.

it's different with staking, you imprisoned your coins for a limited period of time for rewards and sometimes the staking coin loses values while you locked them away
For how long the coins are locked please can you tell me? I am seriously considering staking of coins in future so having some information is good because so far it feels like staking is a really cool thing to do if you have good money.
sr. member
Activity: 2296
Merit: 348
November 16, 2020, 12:00:54 AM
#49
It will only be good if the cryptocurrency you’re holding is a stablecoin, since they are not volatile like Bitcoin and are pegged to the USD, which means they won’t be getting you profit, it would be best to stake them and make a few percentage annually or so, but as for Bitcoin, staking it doesn’t make any sense to me.

I would prefer to just leave it in my wallet and when the price goes up I can decide to sell it later and get the profit, and that wouldn’t take a lot of time to do.
Well, the lock period for staking is not a big problem because I don't know for other coins but I stake TRX and they only lock coins for 3 days which means if I stake my TRX coins today I will only have to face a lock period of 3 days after which I can spend the coins. If you don't believe the coin will even retain it's value for 3 days then it is actually not worth investing in first place for that coin.

I agree though in some cases hodling can be better than staking and maybe for coins where lock period is longer and the volatility is high in those cases it is indeed best to just hold your coins and wait for the right time.
sr. member
Activity: 2296
Merit: 315
SOL.BIOKRIPT.COM
November 14, 2020, 10:00:26 AM
#48
Staking hold your assets in some exchange market and you make contract with them minimum one month without cash out your money how ever your staking coin price if you wanna earn with your coin staking, investing is hold your coin without have contract and you can sell coin any time do you want but you will not get any coin. In staking you will receive several percent depend with coin do you choose and depend the rule of exchange market, I think Binance have staking coin for BNB and you should hold minimum one month to get staking coin about 4% or 5% from your coin staking, if you cash out before staking time coming you will qualify and not received any more with your staking coin, I think better staking than holding only because holding or investing just waiting when coin have higher price without get commission from exchange market.
member
Activity: 516
Merit: 38
November 14, 2020, 09:26:32 AM
#47
Investing is more effective than staking coins, you can decide to take profit when market grows better while holding your coins in your wallet or you can even trade too but staking is limited, you can't do anything with your token since it's locked away in the staking address till the period is over. 
That’s correct, and it’s why I have never had interest in staking or whatsoever. It will only be good if the cryptocurrency you’re holding is a stablecoin, since they are not volatile like Bitcoin and are pegged to the USD, which means they won’t be getting you profit, it would be best to stake them and make a few percentage annually or so, but as for Bitcoin, staking it doesn’t make any sense to me.

I would prefer to just leave it in my wallet and when the price goes up I can decide to sell it later and get the profit, and that wouldn’t take a lot of time to do.
full member
Activity: 504
Merit: 102
CLEARSIGHT- THE #1 BLOCKCHAIN JOB PLATFORM
November 14, 2020, 09:19:25 AM
#46
It looks like you are complicating the concept of investing. In any market spending money to get a profit is considered an investment. In my understanding, betting in crypto is a high-risk investment similar to holding crypto because the market is so new and there are risks when regulations are not clear. Take a look at DEFI, betting and holding crypto is equally risky as liquidity pools may be taken up by attacks. In this case, DEFI token holders and liquidity pool participants both gain losses alike.
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