Moonstake, one of the top 10 staking providers globally, has reported that staking volume for Centrality's CENNZ cryptocurrency reached US$5.5 million in March, making Moonstake Wallet the largest CENNZ staking pool in the world. This number was achieved just 10 days after Moonstake became the world’s first CENNZ staking provider on February 25 this year.
Moonstake was founded in 2020 to create the largest staking pool network in Asia. According to Moonstake, staking pools brings parties together to stake and then distributes rewards for staking based each participant’s contribution. The company offers a Web Wallet and Mobile Wallet for iOS/Android with support for over 2,000 cryptocurrencies.
Centrality's cryptocurrency became the 10th available coin for staking on Moonstake Wallet, after Cosmos, IRISnet, Ontology, Harmony, Tezos, Cardano, Qtum, Polkadot, and Quras.
"Centrality is a good project because it received a research grant from the New Zealand government and is working with them to build a decentralised system through the public-private integrated organisation Digital Identity NZ together with NZ Tech and Singlesource. Centrality has partnered with world-leading players such as Amazon (AWS), Microsoft Partner, McDonald’s China," noted Moonstake's CEO, Lawrence Lin.
"Like any other listed cryptocurrency, you can purchase and trade CENNZ on exchanges. Since CENNZ is a proof of stake (PoS) coin, it can also be staked to earn additional yield when unused. You can stake CENNZ on Moonstake Wallet, the first and biggest validator for CENNZ staking."
Lin further explained that PoS coins are those whose transactions are validated using the PoS protocol. "The rate of validation occurs according to how many coins a person holds," he said.
Centrality said in a blog post that staking can be a way to earn passive income. Basically, someone who owns cryptocurrency in a digital wallet can receive rewards if they 'stake', or participate in validating transactions on a PoS Blockchain. This capability is available to owners who use specific wallets, such as Moonstake's, and who have a specific minimum balance of a specific cryptocurrency, such as CENNZ. Typically, the cryptocurrency may not be used while it is being staked, similar to a fixed deposit.
More established cryptocurrency such as Bitcoin and Ethereum use a different mechanism, called proof-of-work (PoW). On its website, Moonstake explains that there are issues with Blockchain technology not keeping up with the growing networks required for mining cryptocurrency, such as increased commissions and network delays. PoS enables:
- The right to get validation rewards depending on the number of coins held and the holding organisation
- The limitation of the tasks for which specific organisations and individuals can be continuously rewarded. This was previously considered unfair.
- Rewarded are calculated on the basis of a coin-holding rate instead of on machine speed and workload (which is energy-use intensive). As machine speed and computational power are not important, the approach is considered fairer than one which offers rewards based on technology infrastructure.
