Liquid Staking: Crypto's New Phantom Money Machine - 0 views
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John Kiff on 10 May 23"Staking in crypto parlance involves posting a digital asset like ether to a blockchain as collateral in exchange for the right to process transactions and earn in-kind rewards like tokens. Staked tokens are normally locked up for a period of time so they can't be immediately withdrawn and cause a run on the platform. Liquid staking, by contrast, allows holders of tokens like ether the opportunity to use a tracking token of sorts for trading while the underlying token is still sitting "staked" on the blockchain, continuing to earn yield. In some ways it allows crypto investors the chance to have their cake, or "stake," and eat it too."