# Stake

### **Why should I stake my HBAR?** [​](https://www.staderlabs.com/docs-v1/Ethereum/ETHx%20Staking/faqs#1-why-should-i-stake-my-eth-) <a href="#id-1-why-should-i-stake-my-eth" id="id-1-why-should-i-stake-my-eth"></a>

Staking HBAR allows you to participate in the Hedera network's consensus (securing the network) and earn rewards in the form of newly issued HBAR tokens. It's a way to generate passive income from your current HBAR holdings.

### **How does liquid staking offer advantages over simple staking?** [​](https://www.staderlabs.com/docs-v1/Ethereum/ETHx%20Staking/faqs#2-how-does-liquid-staking-offer-advantages-over-simple-staking-) <a href="#id-2-how-does-liquid-staking-offer-advantages-over-simple-staking" id="id-2-how-does-liquid-staking-offer-advantages-over-simple-staking"></a>

Liquid staking provides you with a representative token (like HBARX) that can be traded or used in DeFi protocols while still earning staking rewards. This significantly enhances the liquidity and utility of your staked assets.

### What is the minimum and maximum amount of HBAR that can be staked with Stader?

* **Minimum limit** - The minimum amount that can be staked with Stader is **1.01 HBAR.**
* **Maximum limit** - There is no upper limit on the amount of HBAR which you can stake with Stader.

### **How many HBARX tokens do I receive after staking my HBAR?** <a href="#id-5-how-many-ethx-tokens-do-i-receive-after-staking-my-eth" id="id-5-how-many-ethx-tokens-do-i-receive-after-staking-my-eth"></a>

The number of HBARX tokens you receive depends on the amount of HBAR you stake and the current HBARX-to-HBAR exchange rate. For a simple calculation, you will receive HBARX tokens equal to the amount of HBAR staked divided by the exchange rate. For example, if you stake 10 HBAR and the current exchange rate is 1.2, you will receive 10 divided by 1.2, which equals 8.33 HBARX.


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