Staking cryptocurrencies has become a popular aspect of holding digital assets as it gives the holder an opportunity to generate passive income streams. However, while rewarding, most staking protocols offer an inefficient model where users are stuck with low APRs, complex UIs, and rigid staking tenures.
Luckily, few projects such as PhoenixDAO are working to create smooth, efficient and rewarding staking decentralized applications. The project recently launched the V2 of Staking dApp, where users can earn up to 200% APY. As a cherry on the top, users can destake their tokens at any time when using the newly introduced farming feature..
Staking is the process of utilizing one’s digital assets to generate a passive income source. A user can stake their tokens in a liquidity pool offered by the staking protocol for a predetermined period to earn high interest. The rewards generally increase the longer the tokens are staked.
Despite the obvious advantages, the process of staking cryptocurrency can become complicated as there are few factors to consider while choosing a staking protocol. Several protocols offer a rigid lock-up period where users cannot unstake their tokens before the locking period expires.
Moreover, some protocols require users to stake a minimum amount of tokens, which can be challenging for some investors. Also, most staking protocols offer a low APY and are complicated to use.
PhoenixDAO Staking dApp
PhoenixDAO offers a Staking dApp as one of its signature products in which PHNX token holders can earn up to 200% APR on version 2 of the decentralized app. The earlier version of the app introduced a spot staking feature with an APR of 20% and instant payout which is still available in the latest update. However, among other additions, version 2 includes liquidity pools where users can stake tokens by connecting their MetaMask or a number of other wallet options..
The Staking dApp comes with several features and abilities apart from the enticing 200% APR liquidity farming..
- The Staking dApp offers a flexible staking and liquidity farming feature where users can earn beneficial interest.
- Users have the freedom to choose the number of tokens they are willing to stake and receive rewards accordingly.
- PhoenixDAO’s users have the choice to use spot trading features in V1.0 and V2.0 liquidity pool versions depending upon their choice.
Apart from these advantages, the Staking dApp has various insightful tools that make the staking procedure simple and rewarding. The dApp’s API is fitted with a Dashboard, Numio Wallet/ Metamask Integration, Staking Options, Instant Rewards, Unstake/Burn, and Events.
The process of adding and removing liquidity is simplified and can be done in a few steps. A full guide is available here . Users can also use their LP tokens to stake them and earn more rewards by easily harvesting them. Also, Unstaking LP tokens is a straightforward process in which the user will receive all the accumulated PHNX rewards along with the unstaked tokens.
PhoenixDAO is setting an excellent example of how staking mechanisms can be simple, rewarding and flexible.