With crypto prices going down every day, more people are looking at how to maximize returns on their crypto assets. Although hodling is touted as the best way to make a passive income from crypto, another method beats hodling: staking. Since the development of staking, investors have enjoyed returns on their investments by staking coins like Ethereum (ETH) and Binance Coin (BNB). But, there is another coin that might give a better return than these two top dogs, CashFi (CFI).
Before we look at how CashFi (CFI) is different, we must first understand what staking is. Staking is a way of earning a return on your crypto asset by contributing to the network. You do not have to be a developer or a big organization. You simply “donate” some of your crypto to a staking pool and earn some percentage as a reward.
When you stake an asset, you do not actually have it at that time, although it is still yours. Not all cryptos allow staking. In fact, staking on Ethereum (ETH) was not possible before December 2020. So, with sordid crypto market news these days, staking allows you to enjoy the benefits of hodling and staking, meaning more money for you.
When you stake on Ethereum (ETH), you earn an APR of 4.2%. For every amount of Ethereum (ETH) you contribute to the network, you get paid 4.2% of the total amount in a year. In some cases, you may get paid far less per annum. Also, your percentage will be less if you do not stake for up to a year.
Ethereum (ETH) staking can be complicated for those new to it, and unless you have 32 ETH (about $36,000) to stake, you have to use a platform that already offers to stake. If you lose access to that platform, you could lose your ETH. Even validators that have up to 32 Ethereum (ETH) have to be careful with verifying transactions on the blockchain.
What about staking Binance Coin (BNB)? Well, those who do not want to deal with the complexities of Ethereum (ETH) staking can stake Binance Coin (BNB). The problem is the rewards on Binance Coin (BNB), as users can only earn a 5.23% annual interest on their assets. However, Binance offers the option of a fixed or flexible vault for users, so they can choose how to stake. Ethereum (ETH) does not offer this.
Now, with the relatively low rewards on both Ethereum (ETH) and Binance Coin (BNB, many people would naturally look for something that can pay better. CashFi (CFI) might be a good investment with crypto prices going down by the day.
CashFi (CFI) is a new token that allows you to enjoy liquid staking. With liquid staking, you are 100% in control of your assets because a network is not holding them; you are hodling them. You can still use your assets to pay for something or trade while getting decent staking returns.
Now, you would not be so scared when you hear bearish crypto market news because you know you can choose to sell your CFI if the market gets too bad. How does CashFi (CFI) liquid staking work? It uses ERC-20 tokens pegged 1:1 on the Ethereum (ETH) blockchain, allowing you to instantly ‘liquidify’ your assets.
To take advantage of this, you could buy CashFi (CFI) now, which you can do using this presale link. The presale only lasts till September, so you might want to get some CashFi (CFI) for yourself and be as early as possible.