What is Staking and how does it put your cryptocurrency to work for you?

So, exactly what is staking? In a nutshell, staking allows you to use your cryptocurrency to help validate transactions and the rules of a cryptocurrency network by delegating funds to ‘validator nodes,' which are similar to Bitcoin miners. These cryptocurrencies, however, use a different mechanism than Bitcoin, proof-of-stake, to secure the network and create valid blocks in the blockchain.

This mechanism does not consume as much electricity as Bitcoin does. As a reward for this service, the network distributes newly created coins to validators and the stakers they represent in each block.

The effect of earning 5% per year on a popular digital asset like ETH is attracting a lot of attention from investors, even those who don't fully believe the hype-machine.

In today's low-yielding environment, your money needs to be working for you...