Staking Your Tokens Creates Trust And Engagement - And You Will Earn A Lot More

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It's Saturday and it's been a really nice day.

Why Stake Your Tokens?

So the reason that I am writing this post is because I have seen some people that are active in the tribes on Steem and are selling all tokens that they earn.

Now there are several reasons why this is a bad decision, and I will try to lay them out here.

Staking Your Tokens Creates Trust

The first reason is that by staking your tokens, the members in these tribes will trust you.

This is because by doing that you show that you are willing to invest in the future of this tribe and it's success.

You actually become an owner in the tribe, your stake is your share of the value that it holds, and thereby you are linking the future of it to your own success, and that means you are invested in the tribes future, what is good for the tribe is good for you.

Staking Your Tokens Creates Engagement

So in order to get engagement on your posts and videos, you also need to engage with others.

And you do that by upvoting and commenting on the posts that they are making, and by upvoting and answering the comments that you get on your posts.

Now if you do not have any staked tokens, then your vote does not hold any value, and that means you are much less likely to see any upvotes and comments on your own posts from the people you try to engage with.

So by not having a stake you see way less upvotes on your own posts, and that means you earn a lot less rewards on them.

But if you do stake your tokens, your upvote will have value, and you will see a lot more engagement on your posts, and a lot more higher upvotes, and this all means that you will earn a lot more rewards on your posts.

The Steem Power Elevator

Now I actually talked about the dynamics of all this in a video called, CTPtalk Tips & Tricks #6 - #BuildUp50SP & The Steem Power Elevator.

This video talks about Steem Power specifically, but it's the exact same dynamic in the tribes and staking the tribe tokens, so it works in 3 steps.

  1. Build
  2. Engage
  3. Grow

You build by creating great content that people want to interact with.

You engage by making upvotes and comments on other peoples content.

And you grow by learning and by staking your tokens.

Then repeat.

And there is no step that you can skip here, in order to engage and get engagement back your upvote needs to hold value, it can't be skipped.

But if it does hold value, then you just follow those steps, literally just 1, 2, 3, and repeat, and you will just keep on growing and elevating the rewards that you make.

But I Need The Money

Now if this is the argument you use to not stake, then you are literally shooting yourself in the foot, because you will earn a lot more tokens by staking them.

And you do not have to stake all of them, you can just start by staking part of them and then sell the rest, if you really do need the money.

Because if you just sell all of them you won't make that much rewards anyway, but if you stake them the rewards will increase several times of what you earn right now, so it's not like you are losing any money by staking, it's the opposite, you earn more.

And you will most likely earn so much more that you can sell even more tokens compared to if you just sell all of them, so as I said you just shoot yourself in the foot if you sell all of them.

Curation Rewards

By staking your tokens you also earn curation rewards, and that means you earn part of the upvotes that you make.

And the higher your stake is the more you earn on curation, so by staking your tokens you add another source of income.

Remeber what I said about engagement, you upvote and comment on other people's posts, and by having a stake your upvote holds value, but it gets even better, because part of that value is paid out to you.

So staking your tokens is the thing that makes you the most money, both on your posts and when you upvote the posts of others.

How Much Should You Stake?

So as I said if you really need the money you don't need to stake all of it, any amount that you can stake and that you can continue to stake in order to keep growing is what you want to start with.

Now this can be 80%, it can be 50%, or it can be as low as 10%, but the important part is that you start staking, and that you continue to do so, and thereby grow your stake and keep on earning higher and higher rewards.

That is my opinion on this matter.

Thank You!

Thank you very much for reading this, I hope you found it helpful, and ...

Stay Awesome!

Sincerely,
Erik Gustafsson

This is all my own personal opinion, do your own research before investing, and seek legal counsel if uncertain.


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Do your own research before investing.

Sincerely,
Erik Gustafsson



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4 comments
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Great stuff Erik! You have explained it perfectly... Staking IS showing others that you are the part of the community and you take care of it's future development...

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Thanks @ph1102, yeah that part is really very important, and it shows that you are serious, have an awesome day.

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