How does staking work, and what drives NEAR’s validator economics?

[ed]

NEAR has a proof-of-stake (PoS) mechanism with delegated staking. Validators lock NEAR tokens to secure the network and earn a share of inflationary rewards plus transaction fees. NEAR also supports dynamic epoch rewards, which adjust based on staking participation, incentivizing high validator engagement while preventing over-centralization. Delegators can earn rewards indirectly by staking through validators, providing liquidity-efficient staking options.

[Nahid Hossen]

Staking rewards depend heavily on validator performance and network demand.

[Abdul Khan]

NEAR aims for a balanced model between incentives and stability. ️

[Nahid Hossen]

NEAR also supports dynamic epoch rewards, which adjust based on staking participation.️