Hi guys,
Hope we are doing amazing and having a wonderful time, the month of November already promises to be great and the weekend, well it has been tiring so far but i am sure the lot of us are enjoying ourselves.
In our previous discussion we looked at claiming tokens, we got to understand what tokens are exactly and the fact that hive itself can be considered in a way a token of the blockchain. We also said we would be looking at the other Dapps and their wallets in the days ahead, these, we would take them one after the other.
In the meantime, I think it is important that we cover the basics. Since each of these Dapps is already based on the Hive Blockchain itself, we ought to have fully covered the Hive token in terms of claiming and staking before we proceed to the Dapps, that way understanding becomes easier.
And so today we are going to learn the simple process of staking your hive tokens or coins on the blockchain and what one stand to gain by doing so. I do hope that this helps someone out there especially the newbies who are still finding their way around the blockchain.
Staking Hive
The more common word that you may come across on the blockchain when it comes to staking, is powering up. And so at the beginning of every month you may come across individuals and various posts talking about powering up their hive, this is the same as staking your hive on the blockchain.
One way to look at this or understand it is with the idea of investment. If you have had a treasury bill before or a fixed deposit done before, what you realize is that the higher your investment the higher your rewards. In the same vain, when you stake your Hive on the blockchain, you are directly investing in the blockchain. You are telling the community that you trust the blockchain and what it does.
And so you will put your money the possibility of its being long lasting, being long term and its making significant impact. So when we stake, we basically change our funds that may have been readily available to us to Hive Power. And once you do this, you cannot just change it back to the original token or hive unlike the other wayr ound. This si to ensure that people do not just powerup to serve a specific purpose within that same period and then revert.
Now the next question i am guessing or expecting you to ask would be, so what do i stand to gain from investing in the blockchain through my powerups. Before i move on to talk about the benefits, let me quickly mention that, you do not necessarily to wait to only get hive to powerup but can buy it from exchanges such as binance to increase your account's value and the likes.
Your Hive investment or power has a direct relation to how much your curation is worth when you support another's post. And so an account of say 10k Hive power would be able to do more for a post it curates as compared to one with 5K. Aside the fact that it makes it possible for you to support others well, you also get to benefit from both author and curation rewards.
When people vote your post and you have a significant amount of power invest in the blockchain, you tend to earn more from you payouts as compared to having less power. In addition to that you also get to benefit from curation rewards, thus whiles you are supporting the work of others, you will also get to enjoy the from your altruism. You having higher hive power informs other users that you believe and is invested in the blockchain, which mean that even if anything you will see to welfare of the blockchain.
You grow quicker, you are seen to be trustworthy and you get to receive better support from other users since you are able to render equally, good support to those you curate and visit or like their post.
Conclusion
This obviously tells us that we ought to be invested in the blockchain in the long term, as i already mentioned you do not have to wait for payouts to be able to do so, you can buy and stake, if you want to know how to do that we would treat it in the days ahead in the meantime though, you can reach out to leaders to aid you on that.
So let's make more effort to stake our hive tokens on the blockchain for the good of our account as well as the blockchain as a whole. Thank you once again for being with me today, tomorrow God will we may go through the step by step process to staking on wallet.hive.blog. I do hope you are ready, stay tune.