Trx Integration Celebration Challenge#2 : Staking TRX on Poloniex

After the decision to merge the TRON project with the Steemit blog, many opportunities were presented to the steemians to earn both Steem Power and TRX, and this last offered token could be mined in several ways between it, we find the staking which allow us to earn passive rewards, but despite the fact that many wallets offer this service, I think Poloniex can give you a better experience based on the many arguments detailed in this article. I hope you all enjoy reading it.

What is staking?

Staking is defined as follows:

“Staking is the process of holding funds in a crypto wallet to support the operations of a blockchain network. Basically, it is all about locking down your crypto assets to receive rewards. ”

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In most cases, projects use staking as a method to encourage users to participate in the functioning of the blockchain. The primary interest for users is of course the search for profit. Mostly, the rewards of staking are linked to cryptocurrencies with a certain volatility and this can be risky for the investor.

The concept of staking is directly linked to the consensus of Proof of Stake (PoS) and in its many variants currently on the market. The primary goal of this consensus protocol is to considerably reduce the energy expenditure generated by the maintenance of its blockchain while ensuring acceptable security and improved scalability.

Why should I stake my TRX with Poloniex?

By offering very high reward rates and flexibility of trade and withdrawal at any time, this TRX staking operation on Poloniex becomes interesting for TRON token holders.

Rates :

Compared to other exchanges that do not credit its users for both voting and block rewards of Super Representative SR and that it allocates high fees by betting only part of your TRX balance, which generates a low percentage of APR, we find that Poloniex provides a more interesting stacking experience by:

• Offering to the user who use this service 100% of the voting rewards and block rewards generated by the node of its Super Representative.
• No reward fees.
• Staking 100% of your TRX
• A commitment to deliver the highest rate by covering all stacking costs as the annual return on rewards varies for each distribution

Flexibility

Along with the high reward rate, Poloniex also offers flexibility of exchange and withdrawal at any time while keeping the advantage of continuing to have stacking gains until the user chooses to exchange their TRX for a other token. True this platform has practiced an approach that eliminates any obstacle in front of traders to properly benefit from this service.

How I stake my TRX with Poloniex?

To benefit from TRX staking you must deposit at least an amount of 100 coins, this operation can be done from your Steemit account as follows:

• Open your Poloniex account -> choose wallet -> Select TRX then Deposit and retrieve the deposit address

• Access to your TRX balance in your Steemit wallet and choose Send

• Switch your account from Steemit to TRON -> Type or paste the deposit address on Poloniex -> set the amount and press next

• To confirm provide your private key for your TRON account of course, then check your wallet on Poloniex

As You can check the operation using Tronscan :

The staking reward rate calculation :

SR Total Vote Rewards = Vote Rewards + Block Rewards.

Voting rewards: 160 (trx / block) * 20 (blocks / min) * 60 (min / hour) * 6 (hours / election) * 4 (elections / day) * (# votes / # total votes) * brokerage .

Block rewards: (16 (trx / block) x 20 (blocks / min) x 60 (min / hour) x 24 (hours / day) / 27) * brokerage

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How does Poloniex calculate the reward distribution?

First, for a trader to benefit from this staking service he must hold an amount of at least 100 TRX in his Poloniex account at the time of the daily snapshots of the TRX balance which is taken 4 times a day in order to calculate the distribution of rewards.
Every two weeks it adds each customer's balance snapshot from the last reward distribution, distributes staking rewards to customers in proportion to their balance snapshots over that period.

The conditions to be eligible for TRON staking:

To benefit from this bi-weekly service, Poloniex has a few criteria each customer must meet:

• He must have an active account in good standing (not closed or frozen)
• It must not be located in prohibited countries or jurisdictions highlighted in the Poloniex user agreement.

Are there any risks to staking with Poloniex?

Among the opportunities offered by Poloniex, not found on other exchanges, we find that it does not expose any risk to traders who choose to reduce their TRX funds.

Conclusion

Since the exchanges offer its users staking options, everything has become much simpler and accessible to all. Formerly reserved for a certain elite, this investment alternative brings a breath of fresh air to such an unpredictable market.

If you're interested in this investment, don't just stop at the gross return a project is offering you. As we have seen previously, staking presents some risks and some cryptocurrencies are better able to escape it than others.