VeChain is a business blockchain specially designed to enhance supply chain management. VeChain works with established global brands like Deloitte to help them streamline their supply chain. This coin has grown significantly since 2015, becoming the biggest and most popular blockchain project in the world.
This platform runs on a two-token model. VeChain uses the two-token model in a bid to stop price speculation of existing cryptocurrency affecting its operations. This is important because when one token becomes more powerful, it affects the functioning of the blockchain. If you intend to use VeChain, it is vital to know the essence of VeChain staking.
What is VeChain Staking?
In simpler terms, staking refers to a way of earning more income on your cryptocurrency than what you already have by “staking” or allocating it on the blockchain. It is easy to stake on VeChain because no extra effort is required once you initiate the process.
Perhaps, it is the simplicity associated with staking VeChain that makes it so popular. By staking VeChain, you earn extra interest in what you already have in your VeChain wallet. Therefore, staking is a reliable and helpful way of earning to build up more coins on VeChain. The process of staking VeChain might seem very confusing for beginners, but luckily, there are simple steps that will guide you to get it right.
It is important to note that there are two main ways you earn free crypto by staking VeChain. The first method is by running a VET Masternode, while the second is by staking VET in your VeChain wallet. Even though the first method is more involved and needs extensive crypto knowledge, it has more significant rewards.
The second method is more popular and commonly used. The second method is popular because it takes a shorter period and less capital to start. It also doesn’t need expansive crypto knowledge. In both ways, you will be rewarded with VTHO tokens when you stake your VET. The VTHO tokens are primarily awarded every month.
How To Stake VeChain
As mentioned earlier, there are two methods of staking VeChain. The first method, which involves running a VET Masternode, is complex and needs a high amount of VET coins to start. There are several tiers of holdings ranging in amount and quality; they include; Thunder, Mjolnir, Authority node, and Strength.
To stake VeChain VET, you need to have a VeChain wallet. Cryptocurrency wallets are places you keep your cryptocurrency— they are like cryptocurrency banks.
There are several cryptocurrency wallets you can choose from, with most of them offering essential features. Being an established blockchain platform, VeChain has two official wallets: VeChainThor and Sync. VeChainThor wallet is designed for mobile users, while Sync is meant for desktop users.
When using the VeChainThor wallet, you can generate VTHO after every 10 seconds. Keep in mind that the maximum number of tokens you can earn daily per VET is 0.000432 VTHO. This is the case when you choose to stake VeChain. If you want to make more VTHO tokens daily, go for method one: running VET Masternode.