Steemit Crypto Academy Contest / S8W6 - STEEM Staking

Assalam-o-Alaikum

Hello everyone I hope you are all ok and enjoy the good life by the grace of Allah Almighty I am here for participate in the amazing engagement challenge which organised by the Steemit CryptAcademy the name of this challenge is Steem Staking so let's start;

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Use your own words to define the cryptocurrency staking operation and explain how it works?

Staking is the process of locking the assets in your wallets that in result gives the benefits to the users for the participations in the maintainance operations of proof of Stake algorithms. All the cryptocurrency can be staked in the wallets to recieve the special benefits. Staking of the cryptocurrencey can be done in different forms such as It can be staked by locking the currencey for the Specific period of time and other way is to stake the coin by just holding it in the wallet or in any exchange.

_{Picture is taken from Freepik}

There are many wallets that are introduced for the Storage of the cryptocurrencey tokens we can simply stake or hold the tokens in pur digital wallets that are utilized and give the benefit in return. It operates on the proof of Stake alogrithm in which we are securing the network by of our holdings to validate the transactions. There is also some similartiy between the staking and minning process but they are different actually.The process of Staking is mostly common in the blockchain ecosystem that works on the proof of Stake.

Cryptocurrencey staking is the way to earn the passive income in which we gain the profits by just holding our assets or staking them for the specific time. We can earn the passive income in the way that once we just buy or earn the crypto tokens and then just holding them a amount of the token as a profit is added in our assets. This amount from our side is used to approve the nodes or validates the transactions in the network now I will talk about its working.

Working of Staking Operation

It is really important to understand the concept of Staking if we want to stake the tokens later. When we buy or earn the specific amount of tokens they are reached in our wallets. The staking is possible whent the network operates on the system of Proof of Stake or PoS protocols. After getting the token we have to lock the assets according to the process suggested by the developer of the network.The process helps in getting the specific amount of the token and amount is added to our assets.

_{Picture is taken from Freepik}

The staking amount is used to add the new blocks or validate and approve the transactions of the specific network. The alogrithms select the specific block and give to the validators to validate. All the approvals are checked by the validators and the blocks are added to the network in this way many nodes are approve or validated by the network in returns the small rewards are earned by the validators in the form of tokens.

It is very beneficial process of the staking and is different from the minning process. The assets holders also unstake the coins or assets according to thier will and earn the profits that they gain when their assets are utilized to validate the transactions.

Does our Steemit ecosystem offer staking for its Steem token?If yes show How does it works?*

Yes the Steemit also offers the Staking of its native token called as the Steem token.

Steem Staking is the process of locking Steem in the Steemit Wallet or in any external wallet. In return of the staking we got the special benefits according to the amount of the Steem we stake.We can stake the tokens for the specific period of time and can also unlock the tokens for the utilization. In the Steemit platform after conversion the Steem changes into the Steem Power and go in the Staking form. The Staking form of the Steem token is called as the Steem Power. When we unstake them the amount of Steem Power converted back into the Steem in specific time that we can utilize to exchange or what we want to do.

_{Picture is taken from Freepik}

In the staking form we can earn the APR of 2.84% anually that is also mentioned in our wallets. The benefits of staking are that it is used to increase the worth of the account as well as our vote vlaue helps to earn good curation rewards.So in the staking form or in the SP form the Steem power is very beneficial for the blockchain as well as for our own benefits.

How to stake Steem or Powerup

Now I will discuss in different steps that how can we stake the Steem in our wallets.Different blockchain or networks have different processes I will talk about Steem staking.

Step 1

• If you have the Steem token in your wallet that we got here in result of our postings or votes then simple click on the icon that apears after the amount of Steem.You will get three options click on the powerup button.You can see the screenshots.

_{Screenshot is taken from my wallet}

Step 2

• After click you will receive the pop up , enter the amount here that you want to power up and click on the power up option.It is also mentioned in the guidelines that after powerup Steem Power will take 1 month to came back into the Steem or unstake form.

_{Screenshot is taken from my wallet}

Step 3

• Now the pop up appears in which we have to enter the active key that we receive when we make our account.Enter the Active key for this operation and click on the Sign in option.Screenshot you can see below.

_{Screenshot is taken from my wallet}

So in this way simply you can stake your Steem tokens that is called as Steem power in the Staking form.You can also take your benefit from the staking such as the profit or the increase in the influence or vote worths and unstake them when you want It will take 1 month.

Do you choose to Stake your tokens on the Steemit platform or do you prefer staking on any exchange wallet?Argue your choices

I will prefer to stake my tokens on the Steemit platform beacuse it will be more worthy for me. Staking on other exchange or network will also be good but on the platform it will add more worth. There are many benefits that we can gain by staking our Steem on the platform that I will discuss below.

Development of Platform

The first benefit that will be due to the Staking on the Steemit Platform is the contribution to the platform and it will help to build the community more and also increase the worth of the tokens.If the users have more Staked Steem or the power they can support the content on the platform and contribute in the growth by supporting each other.

Influence on the Platform

By using the Steem that we have Staked we will be able to gain the more worth or the influence on the platform.There are so many projects or goals in this case to achieve such as the dolphin or the orca to motivate the Steemians to participate in the Powerups for to increase their influence as well as the worth of the platform.

Curation Rewards

If we have more SP it also helps to increase the good curation reward along with the delegation rewards. More SP we have there will be more worth of our votes and in return we will got more curation rewards when we support other quality posts on the platform. We obsereve that some people only have stake their Tokens to support the quality content and they gain thier returns by the curation rewards.

Security of the Network

We can also help the platform by staking our Tokens in the way that the staked form of our tokens is used to validate the transactions on the platform. We can also upvote the witnesses by our power to help them to validate the transactions that we proceed.

Are you working to build your Steem power Balance?Do you have enough SP to upvote the worthy

Yes I am continuously powering up my assets since I have make the account I have not withdraw any reward that I got. So Alhamdulliah now I have above 5000 Sp in my wallet that I can utilize to support others on the platform.I have gained many benefits by powering up my assets such as I am able to earn the good curation rewards by upvoting the quality content.

Staking of Steem also increased my reputation or influence on the platform thats why I really appreciate the projects of clubs in which users are encourge to powerup. I also have take benefits from these projects and I am currently the member of #club100 and am also passionate to gain more Sp in the future.

These actions helps us to contribute in the growth of the platform or also helps oursleve to build the influence.The screenshots of my Steem power you can see below.

Importance of Engagement

Engagement on the other hand is also very important for the development of the platform by engaging or interacting with each other on the platform will attract the users to post actively or also new users to the platform by which we can contribute to the growth of the platform.

When we encourage others by our upvotes and comments this will encourge the users to share more quality content and by activeness of the users will helps to develop our platform more.

Conclusion

Cryptocurrencey staking is very beneficial both for the owner or the blockchain system. Staking helps the users to redeem their benefits by staking rewards and helps the system to grow by using the tokens to validate the transactions or nodes. On the Steemit platform staking also helps to earn many benefits.

_{I invite the @malikusman1 @fantvwiki and @nadiaturrina to participate in the contest}

Thank you

Achievement 1

written by:@cryptoloover