Staking Made Simple: Generating Passive Income by Holding Cryptocurrency
TL;DR: Staking coins using a staking service like Kucoin’s Pool-X is the easiest way to earn passive income from cryptocurrency.
How to Generate Free Cryptocurrency
One of the most popular ways of earning profit in the cryptocurrency space is through something called “staking.” Staking involves holding a number of coins to help enable the functioning of a blockchain.
As a reward for staking coins (as opposed to selling or trading them) individuals get a portion of the daily transaction fees generated over the entire network. Staking is also sometimes talked about as a way of generating “passive income,” since once coins are staked it takes no work for the daily rewards come in.
Where to Stake?
Staking sounds simple but can be confusing, especially for beginners. Some of the most popular staking coins rights now are TRON (TRX), IoTeX (IOTX), EOS, TOMO, and IOST. Initially, the only way to stake coins was to download and install special applications with this functionality built-in. For example, to stake TRON requires creating a TRX wallet that allows for staking. Once the coins are in the wallet a user has to go into the application and set up the staking function. Sometimes it is as simple clicking a button and other times it requires choosing from among a set of “representatives” or “nodes” where to stake the coins.
Staking Made Simple
This process can be daunting for those who are newer to the crypto space or who would like to stake several different coins and don’t want to use multiple applications. For this reason, I recommend getting started with an exchange that simplifies the staking process. Kucoin is one of the most well-known and trustworthy cryptocurrency exchanges currently in operation. Recently, it launched a staking service called Pool-X. The Pool-X service is great because it lets you stake many different coins in one place. There is no need to download any special applications or wallets. All that is required is an account with Kucoin. In addition, there is no need to understand the technical details of different blockchain system’s staking processes, which can require choosing or “voting” from among a group of “representatives” or “nodes.” Instead, you can just send you coins to Pool-X and start collecting rewards daily.
To start staking on Kucoin’s Pool-X service, the first step to create a Kucoin account.
Second, deposit or buy coins for staking.
Third, go to the “earn” tab in your Kucoin account to access the Pool-X staking service.
For those who are new to staking and don’t have a lot of cash to spare, I recommend starting with coins like TRX, IOTX and IOST, simply because they are relatively cheap to buy. These can all be purchased on Kucoin and staked on Pool-X.