Can someone explain it to me like my stupid why people want coins to have staking?

Can someone explain it to me like my stupid why people want coins to have staking?

It just means that major holders with a pile of tokens will perpetually dump their staked rewards continuously creating immense sell pressure.

Once that starts there is no mechanism to reverse it and since it's continuous (unlike the regular market up/down fluctuations) it will always tip the scale towards driving the price down.

  1. 4 weeks ago
    Anonymous

    For some coins, staking is supposed to be integral to the consensus and progression of the Blockchain or protocol.

    For some, it just means "collect apy while I dump on you"

    Know the difference

    • 4 weeks ago
      Anonymous

      OP is getting dumped on sorry your not in the leagues

    • 4 weeks ago
      Anonymous

      >collect apy while I dump on you
      You just explained all of DeFi

      • 4 weeks ago
        Anonymous

        Correct
        >T. Early defi user, went from $0 to $100k just on defi airdrops and ohm

        • 4 weeks ago
          Anonymous

          Incorrect
          >T. Late defi user who went from $0 to $1mm to 0

          • 4 weeks ago
            Anonymous

            Which defi rewards you in a meaningful amount outside of inflation? Aave pays via liquidations but rates are trash, boomer return tier with the added risk or crypto kek

            • 4 weeks ago
              Anonymous

              ACAla and the crowdloan structure?

    • 4 weeks ago
      Anonymous

      [log in to view media]

      Staking Cometh at the moment and I hope it's the former one, anon. I'll have to assure myself through their fame and utility kek.

  2. 4 weeks ago
    Anonymous

    since basically every project has no way to make money, the only way to incentivize holders to participate in securing the chain is by "reward" them by inflating the supply

    • 4 weeks ago
      Anonymous

      You just described the future of crypto and they involve real revenue streams, here are some future participants.

      >TRU
      >ICP
      >LINK

      Does anyone else have any other projects that are creating real value not just money flow from speculators

      • 4 weeks ago
        Anonymous

        BNB and KCS are somewhat revenue sharing like dividend stocks

        ETH is somewhat deflationary, some value is returned by burning gas fees. After the merge it might be profitable.

        We need more coins that seek to charge fair prices for utilities, instead of relying speculation pozinomics

        • 4 weeks ago
          Anonymous

          >BNB and KCS are somewhat revenue sharing like dividend stocks
          How so?

          • 4 weeks ago
            Anonymous

            BNB has a planned buyback and burns paid for by company revenue
            KCS staking rewards/buyback is like 50% of trading fees

            They also have actual utility by reducing platform fees, which sort of burns them/redistributes them back to CEX for staking rewards

      • 4 weeks ago
        Anonymous

        Revenue stream means it’s a security which means it will be regulated eventually. You want coins like eth and BNB that have utility for example paying gas fees.

        • 4 weeks ago
          Anonymous

          ETH and its forks will eventually be securities as well though. It definitely fails howie, no?

          BNB has a planned buyback and burns paid for by company revenue
          KCS staking rewards/buyback is like 50% of trading fees

          They also have actual utility by reducing platform fees, which sort of burns them/redistributes them back to CEX for staking rewards

          is it creating value when it just diminishes fees from the platform they are hosted on in the first place? i guess thats debatable.

          • 4 weeks ago
            Cryptos

            [log in to view media]

            In each instance token is used for transactions.
            Staking BNB is comphy

            "tokens of revenue"
            hey ummmm
            "weapons of war"

            BNB and KCS are somewhat revenue sharing like dividend stocks

            ETH is somewhat deflationary, some value is returned by burning gas fees. After the merge it might be profitable.

            We need more coins that seek to charge fair prices for utilities, instead of relying speculation pozinomics

            BNB has a planned buyback and burns paid for by company revenue
            KCS staking rewards/buyback is like 50% of trading fees

            They also have actual utility by reducing platform fees, which sort of burns them/redistributes them back to CEX for staking rewards

            couldn't have said it better myself.
            ( would you consider ATOM the same as BNB/KCS?)
            ((and lets not talk about CRO))

      • 4 weeks ago
        Anonymous

        Can EIP1559 type token burn work with LINK? It isn’t enough that nodes should stake, our tokens must burn to oblivion

        • 4 weeks ago
          Anonymous

          Sorry Anon I don't know enough about the inner workings of LINK but I do know that the creation of revenue streams through real world application, beyond increasing and decreasing order books will be the nature of the cryptos that persist.

          • 4 weeks ago
            Anonymous

            ETH 1559 burn is to balance out new emissions, and new emissions are needed to add reason to stake, as incentive to stake, while preventing massive inflation
            LINK doesn't need a burn mechanism, since no new tokens are being "made" that any sort of burn balance is needed to stabilize it via burning

            VINU > ETH

            • 4 weeks ago
              Anonymous

              why tho, i heard dags had to do with this but i have no fucking idea why would it be better

        • 4 weeks ago
          Anonymous

          ETH 1559 burn is to balance out new emissions, and new emissions are needed to add reason to stake, as incentive to stake, while preventing massive inflation
          LINK doesn't need a burn mechanism, since no new tokens are being "made" that any sort of burn balance is needed to stabilize it via burning

          • 4 weeks ago
            Anonymous

            [log in to view media]

            [...]
            VINU > ETH

            It's funny when you consider that even memecoins like vinu are far more efficient than fucking ETH just for using vite

            why tho, i heard dags had to do with this but i have no fucking idea why would it be better

            There are many technical differences between a DAG architecture and a traditional blockchain structure like Bitcoin. The brief comparison is that the DAG architecture allows more transactions to be validated simultaneously, compared to a blockchain — new transactions can proceed without requiring previous transactions to first be validated. On the DAG architecture, transactions can be directly added to the blockchain. Transactions are validated only if they are referenced by another transaction — they do not need to be validated by every single node within the network before they can proceed.

            • 4 weeks ago
              Anonymous

              [log in to view media]

              Turbo chad

            • 4 weeks ago
              Anonymous

              a memecoin is faster than ETH?
              IMPOSSIBLE
              >cue star trek music

      • 4 weeks ago
        Anonymous

        [log in to view media]

        Fringe finance if we ever get a platform

  3. 4 weeks ago
    Anonymous

    >It just means that major holders with a pile of tokens will perpetually dump their staked rewards continuously creating immense sell pressure.
    In a system where staking is tied to some value-add function like a node and where token supply isn't infinite, every token received as a staking reward and dumped will also be a token that was bought/will be bought again by an end-user using the network's services.

  4. 4 weeks ago
    Anonymous

    ETH going 2.0 means the fees will stay about the same but instead of going to the miners its paid to the stake holders. So its the rich getting richer.

    • 4 weeks ago
      Anonymous

      >rich getting richer
      cant the same shit be said in regards to pow coins that need to be mined? you need capital to buy up mining equipment, loads of it, especially with how overpriced it can get.

      • 4 weeks ago
        Anonymous

        With mining even the little guy with a home computer could make enough to pay off his own PC and even get a little profit. But when it goes PoS he is cut out of any of that.

        • 4 weeks ago
          Anonymous

          how is he cut out exactly? can they not purchase the tokens themselves and then stake them or set up a node?

          • 4 weeks ago
            Anonymous

            Obviously. It's a dumb statement. People who got rich in crypto are rich in mining anyway usually and mining capacity.

            Staking is a scam. It's a way to get more of the supply. But generally 'staking coins' have no other functions to generate revenue, otherwise they wouldn't be staking coins. It's just a way to keep smoothbrains busy to get more of the liquidity because the coins themselves do fuck all. It's just another ponzi idea to bring in money without actually doing anything

        • 4 weeks ago
          Anonymous

          >enough to pay off his own PC and even get a little profit

          lmao he'd spend 40 dollars in electricity to make 10 dollars in coins
          there's a reason why mining is ASICs and economies of scale

          you need a hundred thousand to break into the mining scene, vs PoS you can put in 100,000 or 10,000 or 1,000 or even 100 and still earn the same 5% or whatever it has

    • 4 weeks ago
      Anonymous

      [log in to view media]

      KEK you just described how Hex works. This is what the retarded as Bitcoin Maxis and haters dont get.

  5. 4 weeks ago
    Anonymous

    THEYRE GONNA KILL KARL

    • 4 weeks ago
      Anonymous

      Based Lost enjoyer.

      • 4 weeks ago
        Anonymous

        [log in to view media]

        WGMI

    • 4 weeks ago
      Anonymous

      [log in to view media]

      Based Lost enjoyer.

  6. 4 weeks ago
    Anonymous

    So there's this box.

  7. 4 weeks ago
    Anonymous

    Staking shitcoins does exactly what you describe.
    Staking the token of a revenue generating network is muck like owning dividend stocks.

  8. 4 weeks ago
    Anonymous

    there will be less sell pressure due to staking than mining once eth merges

  9. 4 weeks ago
    Anonymous

    Because miners aren't doing the exact same thing on PoW chains. But don't need to hold any coins.

    • 4 weeks ago
      Anonymous

      [log in to view media]

  10. 4 weeks ago
    Anonymous

    because everything is retarded anon

  11. 4 weeks ago
    Anonymous

    Is man, yes?

  12. 4 weeks ago
    Anonymous

    She is beautiful. An aryan goddess. My Queen

  13. 4 weeks ago
    Anonymous

    >vinu
    >vite
    two more literal who's to add to my wordfilter

  14. 4 weeks ago
    Anonymous

    Ah, this cumdumpster, LOST, 2004, better times.

  15. 4 weeks ago
    Anonymous

    what's that phenotype called?

    • 4 weeks ago
      Anonymous

      Banking

    • 4 weeks ago
      Anonymous

      the would suck her ears and let her sit on my pp phenotype

  16. 4 weeks ago
    Anonymous

    Typically, "staking" can be seen as a dividend to holders, representing the excess economic value someone creates from providing funding to it. So it creates a direct links between its the economic utility and the asset itself, providing the main reason as to
    a) why one should even hold the asset
    b) how much "worth" the asset would be

    An asset without staking - or dividend, or utility like gold, you would only hold out of scarcity and hope its scarcity makes it more valuable. However scarcity (without concrete economic utility) is extremely hard to price, so there's no way to say what "fair" price would look like.
    An asset with staking firstly cements its economic utility, and second creates further reason to hold the asset in the first place.

  17. 4 weeks ago
    Anonymous

    >perpetually dump their staked rewards continuously creating immense sell pressure.
    Time to slurp more Algorand.

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