In this article we will discuss things related to ChainLink staking, how we can achieve rewards through staking Link Coin? Which platforms are available in market for staking ChainLink? How many possible ways to stake ChainLink? You will get answers for all this question in this article.
What is Staking?
Before directly jumping in ChainLink Staking, let’s understand what Staking is. Staking is a process of helping blockchain function by holding or investing cryptocurrency for significant amount of time. For staking cryptocurrency, you would get some rewards after some period. There are 2 kinds of blockchain PoW(Proof of Work) and PoS(Proof of Stake), out of which PoS is what we just discussed, that stake holders cryptocurrency is used for validating transaction while on other hand PoW blockchain, miners have to use their hardware’s computing power to validate transactions. In return both stake holder (in case of PoW) and stake holders (in case of PoS) will get some rewards for their contribution in keep functioning blockchain network.
|Staking Platform||Linkpool, Figment network, ChainLayer, Newroad network, Stake.fish, Kaiser’s Nodes, Cosmostation, P2P Validation|
How to Calculate Chainlink Staking Reward
- Step 1: Go to Staking reward portal
- Step 2: Enter amount of Link Coin you Hold or wanted to Stake.
- Step 3: after entering Link amount you will get reward in USD and LINK coin.
How to Stake Chainlink?
- Step 1: Choose platform from above list.
- Step 2: Download software wallet, it is where you can store the funds for staking and just visit official website of chainlink and just download Wallet.
- Step 3: Check minimum requirement for Staking, sometime platform has or project puts minimum limit to stake.
- Step 4: Choose hardware for staking: Chainlink staking need to active validator node to connect othe network all time. User energy saving equipment and you can choose VPN network for changing country location.
- Step 5: After followed above steps then start staking and follow instructions given by platform.
Announcement of Chainlink Staking was announced in 2019 and since then project is under development, as further interest registers by chainlink user, network decided to start staking with linkpool network by adding services into linkpool, which was started in 2017. The staking in chainlink is not just process of Holding coins or transfer coins, but to stake you need to follow proper process which include validator nodes. Chainlink offer two ways to stake coin i.e. by running your own node, depositing link coin on it and accepting jobs (jobs means list of tasks provided by platform) or you can join staking pool, where thousands of people combine their link.
LP Token holder will get first priority to stake LINK coin in linkpool, as during ICO distribution chainlink offer 1000 Ethereum holder to buy LP token. Staking reward may be different depending on jobs, as currently linkpool rewards 0.1 LINK for each Job done. Linkpool set limitation of number of users and number token to stake.
Binance crashing many staking service platforms by charging lower staking fees, as for staking Tezos, Binance charges 0% staking fees, so comparing other platform who charges in the range of 5% to 10%. Most of chainlink follower must know about Binance is official partner of Chainlink oracle network, in which using oracle network they wanted to share or transfer valuable data to Defi application. in other hand Chainlink most of trading is done by Binance Exchange platform, so they are already having good relation. So, in future Binance may introduce Chanlink Staking on their platform with minimum Holding of 1 Link Coin. Low staking reward must the reason, why Binance not yet listed chainlink. Currently Binance providing staking option different blockchain project including Tomo, Lisk, Theta, Tezos, ARPA, ARK EOS, Loom, KAVA with maximum reward is up to 16%.