#Softstaking

What is #Softstaking ?

Soft staking allows you to use your staked coins for other purposes. Also, tokens can be withdrawn anytime, which is not the case with the traditional staking process.

How does #Softstaking work?

Staking is usually done directly through wallets or cryptocurrency exchanges. For example, if you are staking Ether, you need at least 35 ETH in your wallet to be locked on the network. Alternatively, you can join a staking pool through a cryptocurrency exchange. This is useful when blockchains like Ethereum require a large number of coins to stake directly.

To avoid this minimum token threshold, multiple users contribute small amounts to a large staking pool and start staking together. Staking rewards are distributed to all members in the staking pool.

However, #Softstaking is typically done through third-party platforms offering staking services (SaaS). These platforms accept your coins and bet on the network. In return, you will receive a tokenized version of your staked coin.

These tokenized coins can be transferred, stored, used, or traded like regular tokens. You can also withdraw your staked tokens at any time. These platforms, therefore, solve the liquidity problems associated with traditional staking. Hence the name "soft

staking". #Softstaking

what id the benefits of soft staking!?

The main benefit of soft staking crypto is the ability to earn staking rewards while maintaining full flexibility to trade, withdraw, or use your tokens at any time. Unlike traditional staking, soft staking doesn't require locking up your funds, allowing for continuous trading and adaptability to market conditions.