What Is A Masternode (MN)? A masternode refers to a server which is in a decentralized network. Its primary use is in completing unique functions, such as its direct or instant or private transactions in ways an ordinary node cannot compare to it. Because of these increases in its capabilities, the MN is a node […]
Why Proof of Stake (PoS) Coins?
Why Stake Coins in a Staking Pool?
Staking has become a popular alternative among people who do not want to involve themselves in trading and mining of coins with expensive software and hardware with the complexities involved in it. There are no much issues involved in staking of the coins. Just a specific coin wallet which would be used to house the coin on the typical computer which is run online. A computer can be used to run several wallets at a time.
By using the staking pool, you also have the advantage of avoiding the use of high computational power and electricity used during mining and lack of its centralization means that there is a lesser chance of the network being maliciously attacked.
Most POS blockchains would allow you to stake the coins on your own which would not give you the opportunity to make more profit out of your stake. Your stake must also be connected to the network round the clock. A brief misconnection can disrupt your earning potential thereby sending you to the back of the line. Joining a pool can come with significant advantages such as; Steadier and more predictable earnings.
Staking Pool depends entirely on the requirements of the individual in the pool. If you have a large number of coins such as the POS coins sitting in your wallet, then it might not be a good idea to participate in a pool. On the other, if you have a low number of coins, then staking the coins would be your best bet for making more profit. It is important to note that staking pools need a specific coin which is POS coin.