Blockchains usually work through consensus algorithms like proof of work and proof of stake. For proof of stake blockchains, like Eth 2.0, staking is the process of “locking” a stake of crypto into a blockchain, which will be put into work within the ecosystem (which will be used to ensure the transition, very few payments and make sure the blockchains runs smoothly), as a result of facilitating the underling Blockchan’s function the person who stakes those crypto assets, gains interests on top of them, similarly to interest-bearing accounts in the traditional financial industry, but with much higher rewards, as those “staked pools” are used to enable the basic functioning of the underlying blockchain protocol.
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