Do you think volatility can affect your staked coins?

[Sincerem]

I understand that most users will be curious to see this, and some of them have been gearing up to get an answer to this topic.

The answer is yes, volatility can affect your staked coins, provided you staked on a volatile coin. It affects the coin's liquidity and price validation, and also the reward you'll be getting per duration of your staked coin.

If you stake a coin, and bearish run of high magnitude occurs like the one the coins are suffering from currently. It will surely bring your investment down, and your reward won't be the same from your initial proof of stake (I.P.O.S) when the bearish run never occurred.

For in stance you invested $50 into UNI coin with 23.53% APY interest rate when the coin "UNI is valued at $30. Then all of a sudden bearish run came and slashed down the price of UNI coin you staked to $20. That will bring your reward down, it won't be paid according to your initial coin staking.


Same thing occurs when you staked a coin, and bull run occurs, your initial staking will improve and your reward will go higher.

CONCLUSION;
So you should be wary of the risk involve in staking before you enter it, to avoid losing funds carelessly. Always read the terms and conditions for any ICO (initial coin offer) you're staking on. The FAQs is there for you to read and understand how staking works.

 

[jeff87]

I understand that most users will be curious to see this, and some of them have been gearing up to get an answer to this topic.

The answer is yes, volatility can affect your staked coins, provided you staked on a volatile coin. It affects the coin's liquidity and price validation, and also the reward you'll be getting per duration of your staked coin.

If you stake a coin, and bearish run of high magnitude occurs like the one the coins are suffering from currently. It will surely bring your investment down, and your reward won't be the same from your initial proof of stake (I.P.O.S) when the bearish run never occurred.

For in stance you invested $50 into UNI coin with 23.53% APY interest rate when the coin "UNI is valued at $30. Then all of a sudden bearish run came and slashed down the price of UNI coin you staked to $20. That will bring your reward down, it won't be paid according to your initial coin staking.


Same thing occurs when you staked a coin, and bull run occurs, your initial staking will improve and your reward will go higher.

CONCLUSION;
So you should be wary of the risk involve in staking before you enter it, to avoid losing funds carelessly. Always read the terms and conditions for any ICO (initial coin offer) you're staking on. The FAQs is there for you to read and understand how staking works.

You are right in your conclusion. That's the risk you have to take if you stake your coin.

Sometimes I regret that I have not hold my coins for long term. Like for example the binance coin, I sold it when the price was at $48. And then after a few weeks the price went up to $349.

 

[gammarays]

You are right in your conclusion. That's the risk you have to take if you stake your coin.

Sometimes I regret that I have not hold my coins for long term. Like for example the binance coin, I sold it when the price was at $48. And then after a few weeks the price went up to $349.

That's painful when you experience such. However the experience can be the opposite. I have bought some tokens with the view of it gaining in value only for it to dump. Stay away from farm tokens during staking or farming because they'll dump. Better to stake with stable coins.

 

[Niftyyem]

I prefer staking coins that stand strong against btc's volatility and are quick to recover even if they succumb to dip. I mostly stake my bnb, btc and busd or usdt.

 

[Nurudeen]

This is really a good information from you. I think I will need to read more on this crypto currency staking because the most I do is buying crypto currency for s long term and making some profit

 

[Setho]

This can actually be true and that is a particular reason why I normally stick for coins that do not suffer too much from bitcoin volatility and they do not take a long time to recover.

 

[HayKay]

Sincerely I've learnt a lot these few days I've joined bizdustry about cryptocurrency. How many people read such vital information that you just highlighted like FAQs and even number of coins in circulation.
Also research about number of wallets holding percentages of the coin is important. I learnt that here

 

[Kamdem]

So much information is passed through this site for more understanding on one particular thing or the other, and I must confess it has been helpful. I do not know much about cryptocurrency but this site has been helpful.

 

[Kingstone]

One can not just venture into any coin and expects to make some profit. Crypto doesn't work like that. In fact, no business is a straight road to ply. Know the risks, ask questions before beginning.

 

[Alexandoy]

The volatility of the market price is the crux in staking. You are right with your example that you staked worth $50 but later on the value went down to $20. But whether you staked or not the drop in price will really bring down the value of your crypto coin. With the staking you clearly lose.

 

[Sincerem]

You are right in your conclusion. That's the risk you have to take if you stake your coin.

Sometimes I regret that I have not hold my coins for long term. Like for example the binance coin, I sold it when the price was at $48. And then after a few weeks the price went up to $349.

That's Cryptocurrency for you. I know it feels bad not to get the best out of it. But at least their is lesson learned from it, never to give up easily dear.

 

[Josemendez]

Whether staked or not , Volatility if cryptocurrency is applicable. The only difference is that staked tokens in terms of LP staking may increase in quantity if the Volatility is in the downtrend a d vuce versa

 

[Heatman]

I prefer staking coins that stand strong against btc's volatility and are quick to recover even if they succumb to dip. I mostly stake my bnb, btc and busd or usdt.

Seriously, I don't really get into much of staking or doing anything with my cryptocurrency investment but I just hold my coins and send whatever I believe it's appropriate for me to sell and make profit.

 

[jeff87]

So much information is passed through this site for more understanding on one particular thing or the other, and I must confess it has been helpful. I do not know much about cryptocurrency but this site has been helpful.

It's really good that the information you have learned have been helpful to you.

Indeed this site has questions and answers about cryptocurrency that can help you a lot. You can also get more information from YouTube video tutorial about cryptocurrency.

 

[GIFTMICHAEL]

Volatility can affect staked coins as far as the coin is also volatile. That's why we need to read terms and conditions before going into any business to avoid issues of had I know.

 

[Justin]

Before I can say anything about whether the volatility can affect the staked coin or not, I need to know what exactly is coin staking. Can anyone teach me about this topic.

 

[Kamdem]

You are right on that, one has to take risks to know what coin to stake on, well, I have to be here to learn how to go about it, thank you for this post. I have been learning a lot here though.

 

[Bookwormlux]

Volatile coins would always present risks of losing and most investors interested in staking ought to put this into consideration before finally deciding whether it's worth it .

 

[Heatman]

Volatility can affect staked coins as far as the coin is also volatile. That's why we need to read terms and conditions before going into any business to avoid issues of had I know.

Seriously, it's definitely going to be very possible when the volatility is actually heading towards the negative plot as it's definitely going to cause massive loss.

 

[Bookwormlux]

Seriously, it's definitely going to be very possible when the volatility is actually heading towards the negative plot as it's definitely going to cause massive loss.

This then means those interested in staking ought to put some price notification that would make them take out their funds to avoid massive losses.