Soft Staking, also known as Soft Staking, is a method of cryptocurrency staking that improves upon traditional staking, aiming to address the liquidity issues present in traditional staking.
In traditional cryptocurrency staking, users need to lock their tokens in a blockchain network for a period of time to participate in the validation of new transactions and maintain the security of the blockchain, thereby earning staking rewards. However, in this method, the staked tokens cannot be used for other purposes during the lock-up period, and withdrawals also require a long waiting time.
Soft Staking, on the other hand, allows users to use their tokens for other operations, such as trading and transfers, while still staking them. Additionally, users can withdraw their tokens at any time without having to wait a long time. For example, Binance's Soft Staking service allows users to participate in staking with one-click from their spot account, supporting 10 tokens including BNB and SOL. This service has no lock-up period, enabling users to trade or withdraw at any time, with rewards distributed daily to their spot accounts.
