Cardano’s $ADA token helps secure the network and keep it decentralized. When users stake $ADA tokens, they take part in the blockchain’s consensus process. Users also help with network stability, which supports things like protocol upgrades and transaction validation.

Staking on Cardano is simple. There’s no minimum amount of $ADA users need to stake. Users get rewards every epoch, which lasts 5 days. Rewards are paid out at the end of each epoch, but they don’t compound automatically. Users have to claim or restake them on their own. The rewards come from transaction fees and treasury reserves. They usually give users a return of 2.8% to 3.5% per year. This can change a bit based on the stake pool’s fees and how well it performs.

Unstaking on Cardano has no fixed waiting time. When users stop staking by undelegating from a pool, theirr $ADA tokens are free to use right away. Users can spend or move them with no delay. But they’ll still get rewards for the current epoch, which takes up to 5 days to finish. After that, no new rewards come. Users' last reward payment arrives 10-15 days later because of the epoch schedule. So, while the tokens are available instantly, the full reward process can take up to 15 days.