Staking is among the few ways to earn from cryptocurrencies and DeFi without doing much—-in fact, without doing any work. Staking is a process of locking cryptocurrencies (usually tokens native to the protocols) in a DeFi wallet to assist in validating transactions through a process called Proof of Stake (PoS).
Staking has evolved to be done exclusively as a protocol bound by smart contracts. This form of exclusive staking is known as liquidity staking. Liquidity staking is similar to yield farming, another smart contract, bound protocol where you participate through liquidity pool (LP) tokens.