THE BASICS/STAKING & LENDING
Staking & lending
Two distinct but complementary strategies for optimising a crypto portfolio.
· STAKING ·
Staking means locking up crypto on a blockchain that uses Proof of Stake (PoS).
By validating transactions, participants secure the network and earn rewards in return.
· LENDING ·
Lending, on the other hand, relies on lending out crypto via specialised platforms. Lenders earn interest, while borrowers access funds without traditional intermediaries.