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Bonding
HomeGlossary TermsBonding

Bonding

June 22, 2023BY Ubik Capital
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Bonding is a process akin to staking in Proof-of-Stake (PoS) networks, where users lock a predetermined amount of the network’s underlying token or coin in a node to contribute to consensus maintenance. By bonding, users demonstrate their trustworthiness and willingness to abide by the network’s rules and regulations. Some consider the distinction between bonding and staking to be that “staked” coins or tokens may face penalties from the network for malicious behavior, while others view the processes as identical.

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