• About
  • Contact
  • Privacy Policy
  • Terms and Conditions
Thursday, June 26, 2025
The VR Soldier
  • Featured
  • News
  • Education
  • NEAR Protocol
  • Solana
  • Fantom
  • Yield Farming
  • Reviews
  • Press Releases
No Result
View All Result
  • Featured
  • News
  • Education
  • NEAR Protocol
  • Solana
  • Fantom
  • Yield Farming
  • Reviews
  • Press Releases
No Result
View All Result
The VR Soldier
No Result
View All Result

How to Stake SOL on The Solana Blockchain

Jordan Avery by Jordan Avery
February 14, 2024
in Solana
Reading Time: 4 mins read
0
solana-sol-staking-validators-111 1
Share on TwitterShare on Facebook

Solana Staking is a means for anyone to engage in the security mechanism of the Solana blockchain, receiving network rewards in return. The Solana network locks up your tokens as collateral, ensuring the smooth occurrence of validations on the network.

The produced tokens are granted to the participant who validates the block and are added to the overall cryptocurrency supply. These rewards can be quite lucrative, and indeed, that’s the entire purpose of their existence – as an incentive for good behavior.

What if validators decided to exploit their power to create Solana blocks?

Simply, the Solana network uses slashing to control any negative behavior by the nodes. Slashing is a blockchain’s method of penalizing validators who behave poorly. Essentially, slashing involves a participant losing their staked SOL if the network determines they have acted maliciously. And slashing mechanisms in Solana are stringent: a participant can lose up to 100% of their stake. That means you can lose funds by delegating your assets to the wrong validator. If the validator acts in a suspecious way, it’s your assets on the line. That’s why it’s crucial to choose your validator wisely.

Methods of Staking Solana (SOL)

solana-sol-staking-validators-111 1--1

Now that you understand how to stake Solana, you might be wondering how to get involved yourself. Well, you can stake SOL in four primary ways: individual staking, and via centralized exchanges, delegating your funds to the validator, and pools. Let’s explore how these mechanisms function and how you can get started.

Individual Staking

Its also commonly referred to as native staking, involves independently staking by operating your own blockchain node. As an autonomous validator, specialized hardware is essential for validating transactions and staking your SOL tokens. Although there’s no minimum stake requirement to become a validator, validating blocks comes with a transaction fee of up to 1.1 SOL per day. Moreover, to efficiently validate transactions, specialized hardware is necessary.

Delegate Your SOL to a Validator

Delegating is an great way to gain rewards without buying complex hardware. However, validator-delegating brings a shared risk-reward method. Meaning, if the validator doesn’t comply with the network rules and standards, you run the risk of getting your stake slashed.

Centralized Exchange For Solana Staking

Staking via a centralized exchange essentially involves the platform staking your assets on the blockchain on your behalf. These types of exchanges either run the validator nodes on the blockchain, they or delegate the process to a trusted 3rd party. Subsequently, they transfer the rewards to you, deducting a small percentage fee. The majority of major centralized exchanges provide a user-friendly procedure to stake your cryptocurrencies through their Earn programs. However, it’s important to note that while making the process via a centralized exchange is widely preferred by beginners due to its accessibility, storing your assets on these exchanges is not entirely safe.

Pooled Method

Pooled method is a style to earn rewards by pooling SOL tokens collectively into a shared pool, managed by a designated validator. Rewards from the staking process go to the participants based on their contribution to the pool and, of course, the validator.

Liquid Staking

Under the Pooled umbrella, there is also the concept of liquid staking. To elaborate, liquid staking requires a pool to nitiate the process, but it adopts a more adaptable model, enabling stakers to employ their locked-up funds for various crypto activities. In brief, stakers obtain tokens that symbolize their portion in the pool, and these are tied to the value of the original asset. This implies that you can utilize these liquid SOL tokens throughout the Solana DeFi ecosystem, engaging in trading and lending activities.

In Conclusion

Staking Solana is one of the optimal ways to expand your exposure to Solana, one of the swiftly growing blockchain ecosystems. It allows you to get the best of both worlds and earn rewards without actively working for it. However, while staking can be really rewarding, always keep in mind: it’s not just about growing your assets only; it’s also about keeping them secure.

Tags: Blockchain SecurityCryptocurrency Rewards.Delegated StakingPooled Stakingsolanastaking
Previous Post

SushiSwap Initiates Decentralized Derivatives Exchange Susa, Will SUSHI Skyrocket?

Next Post

Fantom Latest Proposal: Boosting dApp Incentives for Sustainable Growth

Related Posts

Solana ETF Incoming? What Bloomberg’s 90% Prediction Means for Investors
News

Solana ETF Incoming? What Bloomberg’s 90% Prediction Means for Investors

June 17, 2025
Solana Price Prediction:Is the $200 Dream Dead
News

Solana Price Prediction:Is the $200 Dream Dead?

May 31, 2025
Solana On-Chain Metrics Signal Bearish Turn
News

Solana On-Chain Metrics Signal Bearish Turn

May 7, 2025
Solana Accumulation Phase: $100 Could Be It
News

Solana Accumulation Phase: $100 Could Be It

May 4, 2025
News

Solana First ETF is Here, But?

March 20, 2025
Solana Faces Challenges—Can It Recover
News

Solana 5th Birthday Came With Challenges

March 17, 2025

Press Releases

Jupiter Token Crash: Why JUP Lost 80% and What Happens Next
News

Jupiter Token Crash: Why JUP Lost 80% and What Happens Next

by Alex Mercer
June 24, 2025

Introduction If you blinked, you might’ve missed Jupiter’s brief moment in the spotlight. The DAO behind the once-buzzy token has...

Read more
Bitcoin Price Survives Israel-Iran Tensions, Hack, and $200B Meltdown

Bitcoin Price Survives Israel-Iran Tensions, Hack, and $200B Meltdown

June 19, 2025
What you will get:  Simple steps to start trading cryptocurrencies like Bitcoin and Ethereum How to choose a reliable crypto exchange with low fees and strong security Key tips to read crypto price charts and manage trading risks How to stay updated with market-moving news and practice safely before investing Introduction Cryptocurrency trading has exploded in popularity as an easy way to earn online. With simple guidance you can start trading Bitcoin Ethereum and other altcoins using your phone or computer. This guide gives clear steps for beginners. What Is Crypto Trading and How Does It Work Crypto trading is buying and selling digital currencies like Bitcoin Ethereum Cardano or Solana to make a profit. You buy when prices are low and sell when they go higher. There are two main trading types: Spot trading: You own actual coins. Derivatives trading: You trade based on price movements without owning coins. Spot trading is perfect for beginners because it’s more straightforward and less risky. Step 1 Choose a Reliable Crypto Exchange Select a trusted crypto exchange. Popular beginner-friendly options: Binance: Low fees and many altcoins Coinbase: Easy for beginners with strong security Kraken: Great support and euro compatibility Bybit: Simple interface with spot and futures Look for: Easy sign up and verification Strong security (2FA, cold storage) Low trading fees and fast euro or fiat deposits Wide selection of coins and high volume Step 2 Learn Crypto Chart Reading Reading price charts will improve your crypto trading success. Key concepts: Trend lines: Overall up or down movements Support levels: Prices where value tends to bounce up Resistance levels: Prices where value tends to slow or reverse Start with basic charts like candlestick charts. Many platforms like Binance and Kraken offer built-in guides. Step 3 Manage Risk and Use Stop Losses Crypto prices are very volatile and can change fast. Protect your investment by: Investing only what you can afford to lose Using stop-loss orders to sell automatically at a set lower price Not risking more than 1–2% of your portfolio on any trade This risk management helps you stay in the game long term. Step 4 Stay Updated with Real-Time Crypto News Crypto markets respond instantly to news. Use reliable sources like Vr Soldier, CoinDesk, CoinTelegraph and The Block. Track: Bitcoin ETF decisions New coin listings on exchanges Regulatory changes Major partnerships and developments Following crypto news helps you predict good entry and exit points. Step 5 Use Demo Accounts to Practice Many exchanges like Binance and Bybit offer demo accounts or testnets. Practice trading with virtual money first. This helps you learn: How orders work Chart reading in real time Trading fees and order types Once you feel confident, move to small real trades. Final Simple Tips for New Crypto Traders Start with well-known coins like Bitcoin Ethereum Avoid chasing hype or FOMO (Fear Of Missing Out) Keep a basic trading journal or spreadsheet Learn from both wins and losses Crypto Trading Basics for Long Term Profit

Crypto Trading Basics for Long Term Profit

June 16, 2025
$3 Billion in Bitcoin Options Expire Today — Will BTC Crash or Bounce?

$3 Billion in Bitcoin Options Expire Today — Will BTC Crash or Bounce?

June 14, 2025
Trump vs Elon Musk: Bitcoin Dips as Tesla Crashes

Trump vs Elon Musk: Bitcoin Dips as Tesla Crashes

June 6, 2025
The VR Soldier

© 2024 The VR Soldier

Navigate Site

  • About
  • Contact
  • Privacy Policy
  • Terms and Conditions

Follow Us

No Result
View All Result
  • Featured
  • News
  • Education
  • NEAR Protocol
  • Solana
  • Fantom
  • Yield Farming
  • Reviews
  • Press Releases

© 2024 The VR Soldier