Staking on Poloniex offers customers a simplified way to earn rewards by depositing and holding assets in their account. For each asset, balance snapshots will be taken each day to determine the staking rewards that you will receive.
When you stake your assets on Poloniex, you earn rewards with:
- No opt in required
- No lock-up period for your funds
- The freedom to trade, deposit, and withdraw at any time
- Highly competitive returns
Why stake with Poloniex?
To earn staking rewards outside of Poloniex, you typically have to delegate your funds to a validator. Once your funds have been delegated, your funds are locked up and an “unbonding” period is required before you can initiate any transfer. If you wanted to trade or withdraw your funds, you'd need to unbond them and wait several weeks before you're able to access them. It is important to note when you are delegating your funds to a validator, you are not earning rewards for the duration of the 21-day unbonding period.
With Poloniex staking, customers earn rewards while maintaining the flexibility to trade, deposit, and withdraw at all times. Along with this flexibility, customers can continue to earn staking rewards right up to the moment they decide to trade their funds into a different asset. If you return your funds back into your account for each balance snapshot, you will consistently receive rewards no matter what how you use them in between snapshots. This exciting new approach removes a barrier that until now, has prevented most traders from benefiting from staking.
Additionally, if the validator node we use to provide staking services were to experience extended downtime that results in downtime slash penalty being applied, customer funds will be protected from the slash with coverage from Poloniex. When you are delegating to a validator on your own, you are not protected from slash penalties.