1/ I wanted to do a pros and cons list for staking $ICX #ICON from my perspective. Hopefully this will help many of you, especially those who haven’t staked or are considering staking your $ICX.
2/ Pros:
- You get a high ongoing return (currently approx. 16-17%) on the amount you stake, thus increasing your $ICX stack.
- You are able to compound your staking returns over time (stake, claim, restake, repeat).
- You get a high ongoing return (currently approx. 16-17%) on the amount you stake, thus increasing your $ICX stack.
- You are able to compound your staking returns over time (stake, claim, restake, repeat).
3/ - You reduce the circulating supply of $ICX, thus reducing the sell pressure (by a huge amount) for the $ICX market. In my opinion, a reduction in sell pressure will also lead to larger price movements when ICON does move upwards.
4/ - You are eliminating inflation relating to your $ICX as the rewards you receive through staking negates the inflation rate. In other words: any additional ICON minted through the block production process / staking rewards is reduced for you because you are staking.
5/ - Staking allows you to vote for the P-rep teams you deem bring the most value to the network (can be a sub P-rep or main P-rep). You get the same rewards regardless of what team(s) you vote for. There are many fantastic teams out there, please have a look into them.
6/ - Not your keys not your ICON. You control your $ICX in your wallet. If an exchange gets hacked your $ICX will be safe (as it’s in your personal wallet). Also, by staking you are taking control of your ICON and not leaving it on an exchange where you won’t receive rewards.
7/ - By voting for P-rep teams, you are helping towards the decentralization of ICON and your voice will be heard through your vote. Every vote towards a P-rep helps strengthen the network.
8/ - Your votes fund the initiatives each P-rep is working on. The more votes a P-rep has, the more rewards they receive so the more they can do to help grow, improve and expand ICON.
9/ Cons:
- Unstaking period: Once you stake your $ICX, it is locked for a short period of time. To “unlock” your $ICX there is what I like to call an unlock time (or better known as the unstaking period). Once unlocked, the current unstaking period is roughly (approx.) 10 days.
- Unstaking period: Once you stake your $ICX, it is locked for a short period of time. To “unlock” your $ICX there is what I like to call an unlock time (or better known as the unstaking period). Once unlocked, the current unstaking period is roughly (approx.) 10 days.
10/ - The unstaking period varies according to the number of total staked $ICX for the network. You aren’t able to send your $ICX until you unstake them – so if you wanted to sell immediately you wouldn’t be able to.
11/ Conclusion: We are approaching nearly 50% of circulating $ICX supply being staked. If you aren’t staking already I would highly recommend you do so and get involved in the decentralization process by voting for your favorite P-rep teams. Happy staking ICOnists! #ICON $ICX.
