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How staking works

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Ethereum validators commit ETH to participate in block validation. This is not a bank deposit.

Rewards and losses

The protocol rewards participation; downtime and misconduct can cause losses. Returns are not fixed.

Validator or intermediary

Activating your own validator requires at least 32 ETH. Pools allow smaller amounts but introduce operator and contract risks.

Before depositing

Check key control, fees and exit terms. A liquid-staking token does not remove underlying asset risk.

Primary sources

The explainer is checked against these institutional and industry sources. Links open the original material.

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