Staking: Release of CenX Rewards is Imminent
It may come as a surprise that CenX will not just be a utility token that offers significant discounts on trading fees for holders of the token. The Centralex platform will also offer token holders a lucrative loyalty rewards program for those willing to stake their tokens.
Centralex has in fact hinted that the launch date of their staking portal is drawing near. This announcement has stirred considerable interest among Centralex users looking to cash in on attractive rewards for staking their CenX tokens.
What is staking?
In simple terms, staking is locking up your tokens or coins to support and secure a blockchain network. In return for this favor, stakers earn rewards.
Staking on Centralex (Loyalty Program)
Instead of simply holding their CenX tokens in their wallet, users can choose to actively stake their CenX stack, or a portion thereof, for a period of time to support the Centralex ecosystem and its future development. By doing so, stakers can earn significant rewards. According to the CenX staking smart contract, participants earn a proportion of 25% of the discounted trading fees accrued over the course of the first year. After each year, the rewards are halved, so those who jump on the staking wagon early in the first year will clearly be at a distinct financial advantage.
It’s helpful to look at some actual numbers to see just how lucrative staking could be.
As a conservative example, let’s say Centralex reaches a daily volume of US$15,000,000. If the trading fee averages 1% in the first year, this will translate into US$13,687,500 being distributed to stakers over the course of the year, which is quite an impressive sum.
How are rewards calculated?
A snapshot will be taken each day of all stakers’ wallets. This will be used to determine the proportion of rewards to be credited to each wallet.
Staking is an opportunity
With interest rates at awfully low levels and central banks pumping the fiat supply off the charts, people are looking to digital assets backed by math to protect their wealth, and to staking in particular to earn returns. Centralex’s upcoming staking portal will offer rewards in CenX and could be an option for those looking to diversify their digital asset portfolio.
What’s more, if you review the Centralex roadmap, chock full of innovation and world-class features, it’s hard not to be bullish on the growth of both their user base and their ecosystem as a whole. A large, organic rise in popularity of the platform could bode very well for stakers, especially those who pounce on the opportunity early when the rewards are highest.