VALR Launches Solana and Avalanche Staking
But first, what is staking?
Staking is the simplest way for crypto holders to earn passive rewards without having to trade. It involves locking up and holding a cryptocurrency in a wallet to contribute to the operations and security of a blockchain network, all while earning rewards.
Solana vs Avalanche
Solana is a blockchain platform for decentralised, scalable applications. It can handle thousands of transactions per second (TPS) and offers low transaction fees compared to other blockchains. The platform's native cryptocurrency is called SOL, which is used for transaction fees, staking and network governance.
Avalanche is a high-performance blockchain platform with a strong emphasis on scalability and fast transaction processing. AVAX, the native cryptocurrency of Avalanche, plays a vital role in securing the blockchain and serves as the currency for transaction fees across the network.
Addressing FAQ’s about Staking on VALR
What are the benefits of staking on VALR?
Grow your crypto holdings
Staking allows you to passively earn rewards when holding your crypto assets on VALR.
Simplified staking process
We handle the complexity of staking on-chain, making it easy for you to put your crypto to work.
Access to regular rewards
Your rewards will be paid out to your spot wallet on an hourly basis.
Ease & flexibility
You can stake and unstake your crypto at any time, giving you full control and flexibility.
Rest assured, your funds are securely held by VALR at all times. We never lend your funds to any third parties. The staking yield is directly generated from the underlying blockchain protocol.
What is APR?
APR stands for Annual Percentage Rate. It is a representation of the annualised interest rate or reward rate on staking activity.
Where does the staking yield (APR) come from?
The staking yield (APR) is derived directly from the blockchain network, eliminating the need to lend out any assets external entities and safeguarding customer funds. VALR does not engage in lending customer funds to generate the staking yield.
Do I maintain control over my staked cryptocurrencies on VALR Exchange?
Yes, you maintain control over your staked cryptocurrencies on VALR Exchange. Your staked funds remain in your VALR wallet, and you can manage them as you would with any other funds in your wallet.
Are there any risks associated with staking on VALR Exchange?
Staking involves certain risks that account holders should be aware of. These risks include, but are not limited to, market volatility, liquidity concerns, reliance on external validators, varying rewards frequency and the absence of guarantees regarding the on-chain staking services. It's important to do your own research and assess the risks before participating in staking activities.
Potential loss of staked funds due to network attacks or vulnerabilities.
Fluctuations in the value of the staked cryptocurrency.
Changes in the staking rewards or fees.
Technical issues or downtime on the VALR Exchange platform.
What happens to my staked funds if VALR Exchange discontinues staking services?
In the event that VALR Exchange discontinues staking services for a particular cryptocurrency, you will typically be able to unstake your funds and withdraw them from your VALR wallet. VALR Exchange would provide instructions and a suitable time frame to ensure a smooth transition for its users.
Risk warning
Trading or investing in crypto assets is risky and may result in the loss of capital as the value may fluctuate.
Follow our VALR Twitter account for regular updates.
Have a question? Contact our support team here.
