- LATOKEN is one of the fastest-growing exchanges with 1.3 million accounts in just three years
- The firm aims to introduce a new feature that enables users to stake their tokens for higher rewards
- Only a few tokens have initially been deployed for staking trials
Almost all crypto exchanges have some big news to share, which always has them newsworthy. Coinbase has recently begun publicly trading on the NASDAQ exchange and is one of the biggest crypto exchanges in the US. LATOKEN, a relatively smaller exchange in relation, has achieved an unprecedented growth rate over the past few years. It has increased its user base 23 times what it was just three years ago. And now, it plans to release a new feature that is potentially pathbreaking.
Staking tokens to yield higher returns
Crypto owners may not be fully able to utilize the prowess of their tokens as no economic or financial system regulates them. They will have to convert their tokens to fiat currencies to hold any value, or they can choose to deposit their tokens in specialized accounts, which is quite similar to the traditional savings accounts in banks. However, LATOKEN plans to introduce a new mechanism called staking which not only returns a significantly higher yield than any system in existence but also guarantees it.
The mechanism of staking is straightforward. Anyone can stake their tokens and receive interest of up to 78% of the original investment. However, one subtle yet crucial difference is that the interest received is based on the actual amount of tokens staked and not on their current monetary value. Staking periods can range from as little as seven days to one year.
The reason staking is generating quite a hype is that this ensures an adequate flow of tokens within a system. Even if a particular token loses its value over time, staking will yield a much higher return than traditional systems. Initially, ORE, REAP, SFM<, and SDHC are the first tokens to be chosen for staking with several more tokens in review.
Staking a radical new solution that can help regulate the circulation of cryptos while also providing considerable benefits to users.
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.