> For the complete documentation index, see [llms.txt](https://cto-io.gitbook.io/cyberton-land/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://cto-io.gitbook.io/cyberton-land/game-mechanics/economy-and-tokenomics/staking-mechanism.md).

# Staking Mechanism

## What is Staking?

Staking is a feature that allows players to lock up their tokens in a smart contract for a specified period in exchange for rewards. This process supports the game’s ecosystem by reducing the circulating supply of tokens, thereby stabilizing their value.

## How Staking Works

* **Lock-Up Period:** When players decide to stake their tokens, they are required to lock them up for a predetermined period (e.g., 30, 60, or 90 days).
* **Rewards:** Players earn a fixed return on their staked CTL tokens. The game offers a lucrative 300% APY (Annual Percentage Yield) on staked tokens. This means that over a year, players can triple their initial investment if they keep their tokens staked for the entire duration.
* **Compound Interest:** The staking rewards can be compounded, allowing players to increase their earnings even further if they choose to reinvest their rewards back into staking.

## Benefits of Staking

* **High Returns:** With a 300% APY, staking provides a significant opportunity for players to increase their token holdings over time.
* **Supply Control:** By staking tokens, players help control the circulating supply, which supports the overall stability and value of the token.
* **Passive Income:** Staking is a form of passive income, requiring no additional effort from the player once the tokens are staked.

## How to Stake

1. **Access Staking Menu:** Players can access the staking option from their in-game wallet or the main menu.
2. **Select Amount and Period:** Choose the amount of tokens to stake and the desired lock-up period.
3. **Confirm Staking:** Review the staking terms and confirm the transaction. The tokens will be locked up, and rewards will begin to accrue immediately.
4. **Claim Rewards:** After the lock-up period ends, players can claim their staked tokens along with the accumulated rewards.

## How it's funded

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[Staking Rewards and Funding Sources](/cyberton-land/game-mechanics/economy-and-tokenomics/staking-mechanism/staking-rewards-and-funding-sources.md)
{% endcontent-ref %}