Staking advice needed

[serjent05]

For a long term holder / investor, what are the risks available with staking coins and tokens that you plan to hold for a long period of time? I want to know if its safe to keep your coins in staking instead of just holding them in a wallet when your ultimate plan is to hold for long term.

An obvious risk in staking coin to a site is the possibility of a rug pull.  If the site decided to run with your funds and scam people who are staking on the platform, you cannot do anything but to accept the losses sine the funds lost in a rugpull cannot be recovered unless the person who scam you are caught and still holding the fund.

If the reputation of the site that is offering staking services is yet established, then I think it is better to just hold the coins or token if you are planning for a long term.  But if the platform is reputable and you plan to hold the token for a long time, it is better to stake that coins/token to the reputable platform while waiting.  This way your holdings will slowly increase giving you more profit in time when the selling price is hit.

[AmoreJaz]

Although staking is a popular way to earn rewards in the cryptocurrency market, I have not personally engaged in it. I prefer to store my funds in a non-custodial or hardware wallet, as I am not willing to take any risks with my investments. With the numerous dramas and uncertainties surrounding the crypto market, I prefer to avoid potential pitfalls and safeguard my assets in my own hardware wallet. Staking involves significant risks, including a locked period and market volatility, both of which are unsuitable for my investment strategy. Therefore, I choose to stay away from staking altogether.

on the other hand, i tried staking several coins in the past. what i learned was, you need to follow your instincts and sell off if you feel the project is about to lose its good performance in the market. don't hold too long, because you may end up holding bag of worthless coins. a lot of staking coins are already dead now, and yet some holders are still holding them. there's no reason to hold such useless coins, it will just give you heartache as you will remember the wasted resources you've put into.

[Bollexz1]

Staking coins could be good, especially the likes of altcoins that come with a good profit of APR/APY. Stable coins wouldn't generate for you more profit but it's all an add-up compared to just having your coins stored im a cold wallet and expecting it to dance to bull run tunes.

[cryptoknightt]

it's better for you to hold onto the coins in the long run than to gamble to stake, it's too risky. because I've experienced it.
In addition, some betting systems are irrevocable in the procedures they make for example a minimum time frame of 1 month. correct me if wrong

[Pterosaur]

I prefer to hold than to stake, because I feel at ease holding my coins in my wallet than waiting for an unlock period for a few coins to get my initial amount out of the platform, also it's risky because something could happen to the staking platform any time, if you like staking your coin make sure you stake inside your non custodial wallet, do not send your coins to another platform for staking.

[bittraffic]

^
I'm sure it depends on which token you are going to stake. Buying them from where the price is way low is a good way to invest while also staking the tokens. And also choosing which token to invest in terms of how or where they're going to be stake.

Some tokens can just be staked within the wallets while some need a platform.  If it's the latter, that's where you have the problem when it comes to the unlocking period. Tokens that can be staked within the wallets are much easier to handle as tokens stays in your wallet.

[rahulzx]

For a long term holder / investor, what are the risks available with staking coins and tokens that you plan to hold for a long period of time? I want to know if its safe to keep your coins in staking instead of just holding them in a wallet when your ultimate plan is to hold for long term.

Benefits -

Staking can be a great way to earn rewards while holding onto your investments for the long term.

Risks -

Staking typically involves locking up your coins for a certain period of time, which can limit your ability to sell or move them quickly.
Staking with an unreliable or malicious validator can put your investment at risk.
Blockchain networks can undergo hard forks or technical difficulties that could impact the value of your staked coins.

Tips -

Choose a reputable validator to stake your coins with.
Do your own research and stay up-to-date on news and developments in the blockchain industry to make informed investment decisions.

[lobo13hf]

i'd just prefer to become LP instead of staking and locking your money, at least with LP you got some good fees and then you have the leisure of withdrawing your money anytime. even though the money gained maybe lower than staking, still the fact that you could always remove your LP and get your money back seems promising.

[jossiel]

I'll give everyone a tip about staking, it's better to have that less APY than to take risk and get those too much APY/APY that you're unsure if the project is gonna be successful.

Most projects that are still on the early stage will do that because it's part of being new and that's sort of enticement to the investors. Usually with high APYs, you'll get attracted to it but you'll be unsure if it will take long as the higher the APY, the lower number of investors involved.

I think there is also a staking platform that allows you to unstake your coins anytime or after some days or weeks. This is perfect if you are staking new coins which you are doubting if they will be successful in the long term or not. For the older coins like for example ETH, their staking time is usually a year or can be longer than that. The minimum coin to be staked is also much higher.

I think this is only perfect for those whales and institutions. For us retailers we can only hodl the old coins and we can still make a profit with it. The good about simply holding a coin is there are no commitments but we are free to sell our coins anytime we like.

Yes, that's the flexible term of staking.

And it's also an advantage to choose that term so, having lesser APY but you're also allowed to unstake anytime as you wish. That's the best choice that someone who's into staking can do.

ETH's staking is different and it's more advisable to just hold it if you don't have that much rather than joining a pool. But if you insist and wants to help the network with your < 32 ETH then you're required to join a pool.

[Kelvinid]

^
I'm sure it depends on which token you are going to stake. Buying them from where the price is way low is a good way to invest while also staking the tokens. And also choosing which token to invest in terms of how or where they're going to be stake.

Some tokens can just be staked within the wallets while some need a platform.  If it's the latter, that's where you have the problem when it comes to the unlocking period. Tokens that can be staked within the wallets are much easier to handle as tokens stays in your wallet.

One common problem with staking is the lock-in period that they have set, we can't withdraw and sell them if it was needed as we need until it was available. That is why we should have to think carefully because if that staking only gives us a few percentages, I don't think we have to do that. Besides, we can make some good play while it was on our hands like doing basic trading as it is possible that we can earn more than doing staking. Staking seems effective unless we are committed that we will hold long-term while waiting for the bull season.

[poodle63]

the thing with staking your assets is the fact that your money can easily gets crushed by inflation and even worse if something goes on and your money is locked. that's what makes it not worth it usually.
but if you could just hold, despite all the things happening, and just endure, I guess you could encounter many opportunities, but not necessarily gonna grow your money, in the meantime when you locked your money, the altcoins you invested in could turns into some shitcoin which has happened quite many time.

[Almasani]

For a long term holder / investor, what are the risks available with staking coins and tokens that you plan to hold for a long period of time? I want to know if its safe to keep your coins in staking instead of just holding them in a wallet when your ultimate plan is to hold for long term.

If you want to hold for the long term, it would be better for you to keep it in your personal wallet. If you save by staking, of course it is more profitable, but you must always monitor its progress. Staking platforms also have risks, so you have to be able to keep an eye on those risks.

[Abiky]

I'll give everyone a tip about staking, it's better to have that less APY than to take risk and get those too much APY/APY that you're unsure if the project is gonna be successful.

Most projects that are still on the early stage will do that because it's part of being new and that's sort of enticement to the investors. Usually with high APYs, you'll get attracted to it but you'll be unsure if it will take long as the higher the APY, the lower number of investors involved.

As it's said in the real world, "the higher the risk, the higher the reward". It's best to look for PoS coins or stablecoins with low returns to help minimize risks of loss as much as possible. A high APY would make inflation worse, resulting in a decreased valuation of the crypto asset you're investing into. I'd prefer to stake in a decentralized manner, as only you control access to your funds. But not everyone finds decentralized staking attractive, especially when it has a steep learning curve.

Centralized staking is much easier, and convenient. But the downside is that a third party controls the keys linked to your crypto funds, adding unnecessary risks in the long run. The market is full of PoS coins these days, so I'd suggest you give them a shot if you want to build a nice passive income system that will last for a very long time. Just my opinion

[Strongkored]

For a long term holder / investor, what are the risks available with staking coins and tokens that you plan to hold for a long period of time? I want to know if its safe to keep your coins in staking instead of just holding them in a wallet when your ultimate plan is to hold for long term.

If the staking method can be done like before where it can be done through a non-custodial where we have access to the private key then I will do it but now everything has changed quite a lot, the losses that might be faced are not only because the price drops after completion the contract period but your coins are lost because storing them on a staking site which turns out to be a scam, so it's better to save in your own wallet and calculate carefully if you really want to do staking whether it will provide a commensurate profit or not at all

[poodle63]

just hold your coin, mainly because staking nowadays aren't that profitable anyway. the thing is, many staking that offers good APY always those shitcoins that i don't think it's worth it anymore.
you just better select some good coin that you've analysed fundamentally and just hold it for long, that way you'll have better opportunities, definitely better than staking for years only to get your investments decrease in value instead which is kinda ridiculous honestly.

[borovichok]

just hold your coin, mainly because staking nowadays aren't that profitable anyway. the thing is, many staking that offers good APY always those shitcoins that i don't think it's worth it anymore.
you just better select some good coin that you've analysed fundamentally and just hold it for long, that way you'll have better opportunities, definitely better than staking for years only to get your investments decrease in value instead which is kinda ridiculous honestly.

I've my favorite pairs that gives me my estimated profits at the same time, trading them is an easy step for me. Fundamental analysis are pure news especially the FOMC which often comes in every first week in a new month. Although I've long term coins for future purposes, confident with promising future. Coins doesn't evaluate the massive pump signal when it comes to staking. It's very rare to see legit projects that offers high APY except their strong moderators behind the project or mostly scammed.

[Kgdktac]

Depending on the staking mechanism, there may be some risks associated with staking, such as slashing (a penalty for failing to follow network rules) or loss of staked funds due to security breaches.

[Kgdktac]

Depending on the staking mechanism, there may be some risks associated with staking, such as slashing (a penalty for failing to follow network rules) or loss of staked funds due to security breaches.

Even if you are staking securely, there may be network risks associated with the blockchain itself. For example, a network fork or consensus issue could cause a loss of funds.

[Wakate]

For a long term holder / investor, what are the risks available with staking coins and tokens that you plan to hold for a long period of time? I want to know if its safe to keep your coins in staking instead of just holding them in a wallet when your ultimate plan is to hold for long term.

There is nothing wrong with you staking your coins since you intend holding them for a longer time of period. One thing you need to note is that you will need to be careful on the kind of site or exchange you want to keep your coin and hold. There are so many third parties website out there including cloned websites that are ready to take your coin from you. If you are going for an exchange then go for the reputable exchanges like Binance and other similar exchanges that would be safe for holding your coins especially for a long period since that is your reason.

[asriloni]

Depending on the staking mechanism, there may be some risks associated with staking, such as slashing (a penalty for failing to follow network rules) or loss of staked funds due to security breaches.

It's not the same like old mechanism. This time you can add or withdraw your money easily without even getting slashed. There was also flexible staking who will give user ability to stake even ing a short time. The only problem is when user is concerning about the security when doing staking. There is no safe place to stake. Once you are staking your token and then you have agreed to risk your token to the third party.


Op, there are some risk may happen to you once you were doing staking for your token.

1. capital loss as the price of your token will be depreciated
2. loss of your fund due to the hacked case, there are some cases where the defi users were losing their money caused by the defi got drained by hacker.
3. potentially lose your money caused of the platform goes bankrupt or something big was hitting it.

Staking is good as long as you have agreed to deal with all of the risks above.