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What is staking?
Staking is the process of actively participating in transaction validation (similar to mining). Radix uses Delegated Proof of Stake (DPoS), which means:
- Network security is guaranteed by a community of token holders delegating their stake to nodes that are included in the validator set and are behaving correctly. A validator set is a grouping of validator nodes participating in consensus together.
- To incentivize this form of security, token holders can delegate their tokens (or “stake”) to validator nodes to receive a portion of tokens newly created by the protocol. These token rewards are called “network emission”. More info can be found in the Radix Economics Whitepaper.