Contingent Staking on Cardano (ADA): The Future of Staking in 2023

Basically, staking is a passive income method that has recently attracted more attention than mining. Although investors are looking for various platforms for staking, the most difficult issue for them is to find a reliable address. In such a case, alternative methods such as contingent staking come to the fore. We will examine both staking and contingent staking topics in detail for you.

What Is Staking?

In staking, users participate in the consensus mechanism. During this process, they lock their tokens as collateral to verify queries in the system. Naturally, staking platforms are rewarded with various tokens and products depending on the agreement.
The reward mechanism can often come in the form of additional tokens or fees. With this system, traditional staking has some limits in terms of flexibility and customization. The main reason for these limits is that the staking system carries more risks for the investor and its technology naturally takes a back seat.
Contingent staking, on the other hand, is a bit different. What is contingent staking, which emerged in the Cardano ecosystem and attracted attention as an innovative structure? How is it done? What are the differences? We will examine such question titles together.