Bitcoin Forum

hii all
my question is what is difference between HODL and staking

Hodl is only hodling your coin in your wallet and this will not give you passive income as you don't do something with your money. that means if you will not able to earn some money from what you hodl in your wallet. Staking is a way for you to contribute to the network and this will let you to earn passive income caused by you are helping the network or platform to provide the liquidity or become a validator in the network.
The thing that makes it different is in staking like you are doing the job passively but you will get a reward for this. When you are hodling your token and that's the same like you do nothing but only gaining from the capital gain.

The main difference is that in the HOLD process, you get a profit after you sell the coin after its price has increased, and when you staking, you get a profit in the process of holding the coin. But you should take into account the fact that when staking, you usually need to send your coins to other platforms, which significantly increases the risks.

For me when it comes holding you can earn passive income depends on the improvement of the coins you're holding in your wallet and etc. And when it comes staking you can earn passive income by investing on their program and it depends on what percentage of profits you can get from it because usually what i saw is  just an approximate percentage..

Holding is a passive income but staking should be regarded as active income, staking is active income. Passive income for holding because you do not work for anything other than the price of the coin increase compare to fiat. The price of the coin rise and you make profit when the value is compared to fiat, but in staking you earn more coins, unlike holding that you did not earn more coins but only the value increase in fiat. In staking, your money also work for the income, the income I mean is the extra coin earned which is the active income.

HODL, you hold the coin/token without any interest. The way that you're going to earn from it is when the price goes up.
While in staking, whether the price of that token goes up or not, you'll still receive an interest rate from staking it. I guess this is the easiest description for someone to understand about staking and holding.

What you get for staking your cryptocurrencies is not interest.
Interest is the money you get for the money you have lent to someone.
In staking, you don't lend any money. In staking, you earn money for helping the network of a POS cryptocurrency and validating transactions.

HODL is the best you can do with your coin as I don't like to take risks.Staking it means you have to send the coins to some 3rd party entity and they pay you some form of interest during the year but what guarantee do I have that this 3rd party entity doesn't go away with my funds.Staking is a whole lot more risky than just Hodling your coins which you have the guarantee that they will not run away if you properly secure your wallet.

Hold on is a choice, in my opinion
The first one is held in our deposit wallet, of course there will be no result.
and secondly, hold on the exchange that we buy the coin from, of course we will benefit if the coin we hold goes up.
Staking in my opinion is a coin that you need to send to another platform and you bet but it has a big risk when the ICO doesn't work.

Thank you for that correction. I've said that for those folks for them to make it is easier to understand since the APY/APR they get in staking is like interest.
But yeah, thanks for that. The profit that someone gets on staking is from helping validate transactions in the network and for someone's who is not technical on it, interest is the term they are likely to use.

Staking will give you very good passive income . some staking project you should lock your coin and you will not be able to unstake or sell any coin until lock period end.
Some project like cake you can stake token which give you daily base reward and you can unstake anytime.
While Holding is just buy the token and keep in your wallet for long term so when price rise you will sell.

I thing that the different is only when you're holding something and you're relying with the your capital. I meant holding is the same like you are owning your token but these tokens didn't help you to earn. Staking means you are getting your reward from what you have been contributing to help the network to secure its protocol. You can also get more explanation about this from the various source on internet. it may need a few seconds for you to get some good article that will be fully explaining this to you. I think that it's quite easy to understand the different between staking and hodling from this case.

Hodling basically means that you buy coins and then you just leave them at your wallet and hold (hodl) them for a while, which can be a few weeks, a few months or a few years. If you are planning to hold them for a pretty long time, then i would always recommend that you don't let the tokens at the exchange but that you send them to your private wallet because if the exchange gets hacked the coins might be lost.
Staking means that you "use" your coins and in return you get some interest on your coins. You can either do this via the desktop apps of certain projects like Radix or IOTA that offer in-Wallet staking or you can just send your tokens to one of the many Defi Staking or farming pools that are existing out there.

Difference between this two is very clear, but to put it In a simple and most understandable manner - :

HODLING- simply put means buying a crypto coin and not making use of it for a long period of time, this time period could be 1 year, 2 years or even 15 years, depending on the investor.

STAKING- on the other hand means locking your crypto coin for a certain period of time in order to gain some unit of that same crypto in return as reward.

There are various techniques and strategies in both hodling and staking, for deeper understanding of the difference between the two, you can read the article below, I believe it will help you understand far more than I've explained above.
https://zebpay.com/blog/hodling-vs-staking/#:~:text=HODLing%20preserves%20the%20liquidity%20of,applies%20to%20only%20select%20cryptocurrencies. (https://zebpay.com/blog/hodling-vs-staking/#:~:text=HODLing%20preserves%20the%20liquidity%20of,applies%20to%20only%20select%20cryptocurrencies.)

Please don't mind the long link, the site is very safe.

The two terms actually have almost the same goal, namely to earn income without having to carry out trading activities. if HODL we aim to hold the coins we have until we sell them at the price we want. while in staking, we bet the coins we have without having to do anything in the time that the project has created. and the amount of income depends on the number of coins we have

Logically, the principle is the same but technically the method is different. Staking there are 2 types of Flexible can be withdrawn at any time and locked for a month or year according to the presentation of APY and APR. also HODL you only need to save your coins in your wallet until withdraw the profit you want without limit time

hold : hold our coins in our personal wallet without getting passive income from the coins we hold
while staking: locking crypto in a digital wallet on a certain platform for a certain duration and for profit. The duration of staking is usually done for a week, a month, two months, up to a year and from the results of staking we can take it at any time and that is certainly more profitable and minimal risk

I think that's so easy to find some articles about that. I just wanna tell you this
source:
https://www.thebalance.com/what-is-hodl-5187966

And this is for staking
source: https://www.fool.com/investing/stock-market/market-sectors/financials/cryptocurrency-stocks/what-is-staking/

You can compare those articles and try to find the difference between HODL and staking. That will give you a good knowledge about that. It's caused by you can easily find that through your search engine but you're lazy enough, right?

Keep it safe = HODL. Sacrifice it = Staking.
You are giving away the authority of the token being "yours" in staking. That means, it not yours anymore in reality. Think of it like someone borrowed it and if they run away, so does your coins.
HODLing is just keeping it safe in a stash. Yes, that's the simplest I could define it. As long as it is a trusted coin like BTC and Ethereum you don't have to worry about losing its value.

the differences and similarities have been explained by community should have cleared the answer ,I just a little say about hodl which makes some people rich because that is also not an easy thing ,it takes a long time to get good results and when the market is down they decide to keep adopting more !

Hodl means not to sell and keep holding. Staking is a way of getting interest/rewards for holding a specific coin. Staking was coined for POS coins but now applies to holding coins for profit in every platform and dapps wile hodl was coined by a fellow bitcointalk forum member about his drunk thoughts of you not losing your money unless you sell for loss. And that strategy has been proved beneficial a multiple of times in crypto.

To HOLD means that you intend to keep the crypto token or coin in your wallet for a period of time in anticipation that the value will rise. Once the value rises to the level you expect to rise, you can then sell at a price higher than the price when you held the coin. In this case, the coin/token was not used to solve/perform any activity on any platform. To stake means that you put the coin/token into use in a platform of which some rewards are paid out based on the length of time and quantity of the coin staked. Because, most times the staking platform is not within your control, there is a level of risk associated with staking. It is left for you to check the options and the benefits to ascertain which activity is best for you - to STAKE or to HOLD.

Hodl, simply put is like keeping money in your pulse, and the value rises only when the price of the coin goes up.
But staking on the other hand is like putting your money in a fixed deposit account where you get to earn interest.

That if the person is hodling or staking for long term but what if not? And what if the person is itchy to touch his asset? He will just sold his coins if he is holding it or he will just unstake his coins in a staking platform to get his profit and then he will start all over again. What he was doing is not staking or hodling anymore but what he was doing is like trading, it makes no sense.

We should ask our selves first if what is our goal so that we know if what activity is best for us because we can stick with that. If there are difference between staking and holding I think I would say that holding is easier and more accessible and allows you to earn more.

The difference is very big, although someone who invests in the long term, i.e. HODL, can also staking coins.

HODL is just the word "hold" except that letters L and D are swapped. One of Bitcointala users made such a mistake when he was drunk and this form began to be used.
It just means not selling, but holding cryptocurrencies even when there are big price drops in the market.

Staking is simply locking coins for a percentage income. Just like keeping money in a bank deposit for the same purposes.

No additional earnings for your asset when you hold, whatever coins you are holding the quantity will always remain the same even if the price value is up,
But when you stake, you are committing your asset to support the network of the project you are holding and in return, you get some reward depending on the length of time you chose to shake for,
Staking is a good way of increasing the quantity of a particular asset you have in your portfolio, before, I only hold but now I realize I can hold and still stake to get rewarded, to me, I think it is very profitable.

Staking gives you a return on investment (passive income) but if we hodl we will not be able to earn anything extra as the amount will be resting in your wallet. But staking comes with a tie in process wherein you stake it for some duration and there are chances that one may end up with lesser amount than what it was at the time of staking period because prices might come down and you might not be able to sell it due to lock in period which is not the case with hodl.

From what I know between HODL and staking, it is clear there are 2 very different things because the meaning of the two words is very clear.

HODL which means to keep holding an asset even though the asset continues to fall by holding the holder's emotions from losses by releasing the asset at a low price so that HODL will continue to hold the asset until the price rebounds and only hopes to benefit from the increase in the price of the asset.

Staking in this case is almost the same as HODL, but in this case the asset holder holds the asset to be included in staking to get passive profits regardless of the price at that time.

Hodling is holding your coins for long term till you are ready to sell. Staking is locking your coins and contributing to the network in some way. You receive passive rewards  for your contribution to the network. While staking you are also holding, but you won't be able to sell when you want until your staking period ends. If you are planning to hold for a very long term, then staking your coins (only coins that uses PoS or similar mechanism can be staked) would give you some nice profit along with the price appreciation. There are also coins that you can stake without having your coins locked.
You don't send it to other platforms if you stake using your own wallet. You only send it to other platform if you decide to use an exchange or a centralized platform to stake.

Holding means that you are holding or keeping your cryptocurrency asset in the certain wallet (exchange/personal wallet/hardware wallets and others). But this will not pay you some profits monthly in the coins that you are holding. However, by holding, you may have chances to get higher profits after certain periods, because the assets that you are holding may be increasing after several years or months.

On the other hand, Staking is actually almost similar to holding, it is by keeping certain assets. But it's done in certain platform where it will also give you APY based on the certain period that you are staking. This will give you passive income weekly, monthly or yearly. However, you must be smart in chooisng the platfomr, whether it is reputable and trusted or not. Because, it is also risky if you are loisng your assets.
Not all coins can be staked and not all exchanges provide staking. So, do more research on this and also do more analysis on the rewards of AYP itself.

Holding has to do with buying your coins and keeping it in your wallet without having to do anything but just wait for the market to give you a percentage increase you are comfortable with then you sell. Holding are foe people who do not want to trade and keep to date with development of the project they invested in  Holding should be done only in private wallet and not done on exchange or wallet you do not own your private key.

Staking is holding 2.0. with staking you do everything a holder does but now your holdings give you passive income as they make more money for you instead of staying dominate. Staking has its disadvantages as most coins with that feature gets dumped easily so you have to be very careful when choosing a project you want to hold and stake.

Hodl means holding an asset/coin or not selling it in the near future and usually waiting for a higher price to make a sale after previously buying it at a low price.
Staking is the best choice to start investing and generate passive income because we only need to have coins or tokens and lock them in the wallet.

I just explain as simple as possible and then you can find it or search it on internet or you tube for more details.

It doesn't necessarily mean that in all staking you have to wait for some time before you can unstake your coins/tokens. On some platforms, you can have access to flexible staking where you can unstake anytime you want and there is also the fixed time staking which I believe you are talking about. Either way, both are good ways to hodl your cryptocurrencies but staking gives you passive income.

If you hold you only make a profit when the price of the asset you hold goes up. However, Staking is that you put your assets on a platform to generate assets back with the provided pool. Staking also has risks, this risk is called impermanent loss.

It has a huge difference because the HODL thing is just simply holding and leaving your cryptocurrencies in your wallet and waiting until the price is already good enough to sell for a profit. while staking is needed to locked your cryptocurrencies in a specific period to earn returns *interest in *APY but it depends on your target because every one of us has a different range of targets in terms of length and profits.   

It is an option, you can choose to hold with low risk to get profit when it goes up (this profit is only earned once that is when selling) or you choose to stake the asset with more profit and higher risk (the profit from staking earns interest every day , however, there is a risk when the price drops further you will just be stuck here)

I see that the OP has received enough explanations of the difference between holding and staking, which means it's time to understand the advantages of one over the other. This can be easily done by familiarizing yourself with the thread: "Is it Better to Hodl or Stake your Tokens?" - https://bitcointalk.org/index.php?topic=5378694.0

the obvious difference is that HOLD in the wallet only gets profit when the price is high
while staking gets 2 advantages, the first is the hold advantage because it is staked on a supported exchange and the second is the addition of coins from the staking result.
but both of them have a small risk

I feel like there is a good amount of situation where people do not understand that what you hold could also drop in value. The biggest "disadvantage" of stake that people keep talking about is people get paid just for holding it as well, whereas holding another coin without staking could drop just as easily, either from mining or whatever else they are using. Bitcoin miners do not really feel any threat because even if they sell it every single day, it would be gone within the trading volume we have.

If I am investing in a decent coin then staking amount per day should be nothing compared to daily trading volume, that is at least how it should be like, if it is not like that then it is a bad coin.

Maybe I am just old school but to me staking is participating in the security of the network through Proof of Stake. By staking you earn the block reward for processing a transaction for layer 1 network for a PoS coin eg. after the merge of ETH. I don't consider layer 2 DeFi style putting of tokens into liquidity pools or just locking up and getting part of transaction fees as staking. It should actually called something else like interest bearing deposits as it is confusing. It was interesting to see how many answers in this thread refers to APR and APY.

Anyways, for me staking is utilizing your token balance in a wallet to "mine" block rewards through PoS. This implies that you hodl your coins because if you don't hodl coins, you cannot stake. Therefore staking implies hodling but you can hodl without staking the coins.

Hodl is when you hold your coin to your wallet and waiting for the price to go up before selling it. So it is like saving money in the wallet and waiting for its price to increase while in staking it is like saving your coin to bank where in return they give you interest for saving your money to the bank but in cryptocurrency staking the APY is much higher than what the common bank gives but you would consider the volatility of the price of the cryptocurrency you are going to stake and the changing of the APY too.

HOLD is, if you simply buy any coin and then keeping it for long term on any exchange or you can generate your own  address from trust wallet or metamask or others. And Staking is, you need to send your coin on a Platform and that work for providing liquidity there, so they'll give you some profit base on your assets amount. Let you know, staking is only good of you have extra assets, otherwise if a coin began to dumping, then you can't manage or trade. So you need to select options carefully  between hold & staking.

HODL is holding your cryptocurrency in your decentralized wallet or any cryptocurrency exchange wallet for the short term or long term, but staking is delegating your cryptocurrency to a validator for earning some crypto from your cryptocurrency difference validator providing difference APY and depends on your altcoins if staking in stable coin the APY will low and if in another altcoin then APY will high this can be a stake in decentralized wallets or some exchanges also offer staking facility so if you want to HODL your cryptocurrency for the long term than staking is the best option, you will HOLD your cryptocurrency and also will earn some passive income form your staking.

HODL ~ Hold On to Dear Life
You have your coins/token in your wallet or account and the coins/tokens is accessible to you for usage such as trade, transfer or payment but you choose to keep it for a period of time usually over a year because you believed it will gain against Fiat or any other reasons.
Staking ~ you send your coins/tokens to an external wallet that you can not access for a specified period of time inorder to earn passive income usually on a daily basis but it can also be at the end of the specified period.

Definitely not old school. Great point. The nomenclature staking evolved within crypto from the PoS coin staking itself.

I am sure you individually know about it but just to add to the conversation, the second definition of staking evolved from the trend of yield farming on DeFi. There too, two terms have mainly evolved. Liquidity mining and Staking. There are pools and there are farms. The pools are generally for pooling liquidity where you put half of each asset (a stablecoin and an Alt) and get a share of trading fees. This is where Impermanent loss comes in.

If you are just Hodling, there is no IL. I think OP may even be researching IL because that is where the difference between Hodling and yield farming (staking) is most prominent.

kinda similar but with staking, you could get some kind of return of investment because you’re essentially locking your investment for some amount of time, although some of the staking platforms didn’t require some specific things like this.
but if you think you’re gonna be holding for a long term, and there is a choice that allows you in staking your investment in some platforms and gives quite the APY, i think you should just stake your investment altogether because it’s could be beneficial for you.
at least some platform like binance, and the likes usually offers reward in form of other altcoins everytime you stake some specific coins like BNB, and BUSD in their platform as part of their programs, you should try these out, it amplifies the return of investment that you could get quite literally.

It should be obvious even for a newbie what HODL meant.

Maybe we can focus on Staking in general. In a layman's term, by staking, you will share your coins to be part of that network. Of course, there's a reward for it but it varies per staking terms.

My question is, why you are asking that question? We can have a much more accurate answer if you will pinpoint what you like to do.

The hold is to simply put your crypto in your wallet and not to trade where staking is a process in which you have to connect your wallet to any DEX or any services provider platform and lock your crypto for a limited time period of time to get a return reward which the platform offers. This is the simple difference between Holding and staking.

There is an option where you will Hodl waiting for the price to increase to your expectations and at the same time you will receive a reward for staking. Such a profit-making option is possible for holders of PoS-cryptocurrencies. In this case, you will receive rewards by holding coins on your wallet.

both look the same.
the difference is that the hold does not earn additional income just waits for the price to rise to make a profit. but you are free to sell or buy whenever you want.

meanwhile for staking, when the price goes up or down you will still get additional income in your wallet. but you have no control whatsoever on your money.

Hold: keep the amount of your tokens.  Staking: bring your tokens to deposit and make a profit

Yes, it is right. But not many coins can earn you much and mostly, you need to stake in a huge amount before earning a good reward. But you do not have control if you are holding or staking as the coin will be at the exchanges but when you are holding the coins and if the price increase, you can sell it fast to take profit. Traders will prefer to hold their coins, but some of them like to staking the coins to earn more, which is a good way to accumulate the amount of the coins.

I am not really into staking but i think i have seen a staking platform that is the same as what your describing.
Where you can just connect your wallet and they are not like the staking that have a fee or have a lock in period.
What is good with this is that our coins are still with us, we still hold them so our earnings will be double now?

We can get profits from the staking platform and also natural profits from the coins that we hold inside our wallet.
It looks like both staking and holding are very close to each other and have no major difference at all. There is no need to choose between of them but we can just do them both. Two is always better than one.

There are two different styles though, you have to remember that as well. I do not know if they are really different or not that much, but staking ETH and staking Cake are different for example. You have to remember that.

So, if you are supporting proof of stake coins, then Cake or Uni or anything like that is not involved in that case. I love to "stake" stablecoins for example, usually that is not called staking but you get some returns from Binance for example (and other places) like yearly 5% to 10% for staking them. With that type of return, you could arrange your life accordingly and live on passive income.

You could also do staking with coins that could earn you while gain value and that is great too. Both your income and your coins value would go up in that case, what you stake as 100k today and gives you 10k a year, could worth 200k if the coin does x2 and earn you 20k because the % is still the same.

The term HODL in the world of digital money can be understood as a strategy to buy assets and hold them. HODL strategies are generally used to avoid losses due to short-term volatility in the cryptocurrency world.

Staking is done by locking assets. Later you will get interest on the locked assets. At first glance, it seems very easy and profitable. However, staking is also not spared from deficiencies or risks.

Before deciding to staking, do some research first and make sure the platform you choose is a trusted platform. Because, with staking, you are required to lock in crypto assets that you have for a certain period of time. That is, during a certain time, you can't sell the coins.

It can certainly hurt you. Because you missed the moment when the value of crypto assets was rising. You also can't sell assets and make cut losses when prices are falling.

Hodling is like you have a gold nugget and you put in a bank vault in the hope it is much more valued in five years. Staking is like you have $1000 and you put it to your bank account to get some regular interest for it.

Hold can be interpreted with storage, just like we store gold in our own safe, we don't get any profit as long as we do storage, we get new profits after we sell, it all depends on the price when we sell, staking connects our assets to other platforms , we will get a passive advantage because we are already distributed on the platform, but we also have to be careful in choosing the platform, so that we are not deceived..

The hold is holding a coin without trading in the hope that it will increase in value in the future. True, this strategy may not bring the desired result, because you can wait a very long time and in the end, nothing can be expected. Staking is about earning interest on your assets. Here, too, you need to be careful and choose platforms that have already proven themselves on the positive side. Everything is easier with top coins, but with new ones you need to carefully analyze and look from different angles, that is, trading volumes, how many coins are staked, how many wallets holders have, and so on. This is how I understand these two concepts, but on my own, I will say that both options are promising with the right approach to investing.

Hodl is a term to define holding. Holding is known as when we hold the coins in our portfolio and not selling it and staking is called that give us regular earning on fixed period means we can stake our coins to get more returns on the coin for a fixed time period (APY).

have you ever done it?
To be honest, I'm not interested in staking because I'm more comfortable with activities outside of staking, namely holding coins while waiting for the price of the coins I hold to increase, after that I buy again at a lower price.

hold and staking are two opposite things, hold is when you buy coins and keep them for as long as you want, and you take profit or loss when you sell them.
while staking, this is what is booming right now, staking will give you income by contributing to it, usually you are required to send coins to the platform and you enjoy the results according to the agreement on how many coins we have to donate.
I think staking has a bigger risk because we don't directly hold the coins we have, in contrast to HOLD, where we store coins in our own wallets.

It's better to wait until the price increases and we can freely make the decision to sell it or continue to hold it than having to take other risks because staking has rules that must be obeyed if you want to join, for example sending coins to other platforms with a predetermined time period. if you meet the requirements then the participant will have a steady income meaning the coins will increase