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The Defiant 2025-03-18 01:33:11

What is Staking Crypto: Everything You Need To Know in 2025

In some blockchains, like Bitcoin and Litecoin and DOGE, only those with access to specialized hardware can get rewarded for participating in the decentralized network. That’s because those blockchains are run by an algorithm called Proof of Work – it takes work only high-performing computers can do to get rewards worth the cost of doing that work. There’s also Proof-of-Stake blockchains, like Ethereum and Solana, which require participants to put cryptocurrencies at stake, instead of owning expensive hardware. Staking aims to lower the barriers of entry for those who want to participate in blockchain networks, as it requires mostly putting up cash, and in a lesser degree, minimal hardware requirements, compared to the highly specialized equipment required for Proof-of-Work. In theory, greater participation should make blockchains more decentralized and secure. This guide will break down everything about staking—how it works, why it matters, and what you need to know before jumping in. Let's get started. To continue reading this as well as other DeFi and Web3 news, visit us at thedefiant.io

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