Generic filters

Be Prepared for Catastrophic Hyperinflation by Staking HND

Be Prepared for Catastrophic Hyperinflation by Staking HND

Source from HyperNation Medium
Are you prepared for the worst-case scenario of hyperinflation? Traditional currencies can become almost worthless in such a catastrophic event, leaving people with no means to purchase even essential goods and services. However, there is a way to go around it.

Inflation is a phenomenon that affects every economy in the world. It is a continuous rise in the price of goods and services, which ultimately reduces the purchasing power of money. However, when inflation rates go out of control, it leads to hyperinflation — a catastrophic scenario that can devastate an economy. In such situations, fiat money can become almost worthless, and people lose their hard-earned savings. However, by staking cryptocurrency, individuals can take steps to protect themselves against the impact of hyperinflation.

Staking a cryptocurrency might be a way out for you to first, retain the asset value, and second, to generate values. With The HyperNation onboarding citizens to sustain a better lifestyle in the first virtual nation and out in real life, staking $HND allows users to generate rewards by participating in the ecosystem’s verification and validation process, apart from helping to secure the network and perform transactions.

What Causes the Depreciation of Fiat Money & Appreciation of Cryptocurrency

Unlike conventional paper-based currencies, cryptocurrencies have a finite supply. For example, Bitcoin has a maximum supply of 21 million coins, and Ethereum has a maximum supply of 120 million coins. This limited supply ensures that cryptocurrencies are not subject to inflationary pressures like traditional currencies. Hence, staking cryptocurrencies like $HND serves its purpose for store of value to protect users’ assets in the event of hyperinflation.

In the event of hyperinflation, traditional currencies lose value rapidly. The purchasing power of money erodes quickly, and people are unable to buy essential goods and services. While at the same time, central authorities usually decide to raise the interest rate and release liquidity. Despite releasing liquidity, such an immediate response from the central authorities is not terminal because printing excessive fiat money can drastically jeopardize the critical situation as an oversupply of money can cause depreciation of the currency and further worsen the market hyperinflation to peril.

Stake $HND & Receive $HWT

However, since cryptocurrencies have a finite supply, their value cannot be affected by hyperinflation. Moreover, most cryptocurrencies have a built-in mechanism that regulates their supply, ensuring that the supply remains in check. In The HyperNation case, users stake $HND and receive $HWT. To cut the chase, other than safekeeping $HND in the staking vault for the store of value, users get to yield consistent $HWT rewards. This can help users protect their wealth and maintain their purchasing power in the face of hyperinflation.

In other words, staking $HND provides users with a reliable passive yield that enables users to offset the effects of hyperinflation on their other investments and savings. Moreover, since staking does not require users to sell their cryptocurrency, they can continue to benefit from its potential appreciation in value over time. So, it’s a double-safety strategy for you to leverage the value of 2 different tokens: one being the stablecoin pegged with $USDT — namely $HND, whereas another one being the token harvested from staking and available on Pancakeswap — namely $HWT.

Stake $HND & Battle Inflation Now

When inflation happens and when all conventional banking systems fail, all you need is an efficient way to store value. Pegged with $USDT, $HND is the ideal tool for you to secure your wealth by staking your assets and obtaining $HWT as the extra rewards that you can garner from your assets staked.

In conclusion, staking cryptocurrency is a straightforward process. You can stake your cryptocurrency, such as the $USDT pegged $HND, by holding it in a wallet that supports staking. The staking process typically involves delegating the tokens to a validator, who performs the network validation process. When validators are rewarded for their efforts, users who delegate their tokens to validators receive a share of the rewards.

No doubt that hyperinflation can devastate an economy, and traditional currencies lose their value quickly in such scenarios. However, by staking $HND, individuals can take steps to protect themselves against the impact of hyperinflation. Cryptocurrencies have a finite supply, and their value is not affected by inflationary pressures like traditional currencies. Moreover, staking $HND provides you with a passive stream of rewards, which can help you maintain your purchasing power when hyperinflation occurs. So, get started by holding $HND tokens in a wallet that supports staking and embark on your staking journey.

#HND #crypto #cryptocurrency #staking #bitcoin #HyperNation #HyperNationDollar #Web3
error: Content is protected !!