Token FAQ

What distinguishes yield farming from staking in the cryptocurrency ecosystem? While both methods involve earning rewards on crypto assets, they operate differently. Yield farming typically requires providing liquidity to decentralized finance (DeFi) protocols, whereas staking involves locking up tokens in a network to support its operations and secure transactions.

What distinguishes <a data-auto-add="True" href="/feed/faq/15510121/" rel="noopener noreferrer" target="">yield farming</a> from <a data-auto-add="True" href="/feed/faq/15510461/" rel="noopener noreferrer" target="">staking</a> in the cryptocurrency ecosystem? While both methods involve earning rewards on crypto assets, they operate differently. Yield farming typically requires providing liquidity to <a data-auto-add="True" href="/feed/faq/categories/Decentralized%20Finance%20Defi" rel="noopener noreferrer" target="">decentralized finance</a> (DeFi) protocols, whereas staking involves locking up tokens in a network to support its operations and secure transactions.

What is the difference between yield farming and staking?

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What is the difference between yield farming and staking?

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