Whoa!
Staking ATOM has felt like a ticket to steady returns for me. The yields aren't crazy, but they compound quietly if you treat them right. I remember first logging into a Cosmos wallet and feeling both excited and intimidated. Initially I thought staking was just "lock and forget," but then I realized that validator choice, commission rates, and occasional redelegations actually matter a lot over long horizons, especially when you stack IBC transfers and fees into the equation which can eat at yields if you're not careful.
Here's the thing.
Rewards are paid in ATOM and they drip into your balance continuously. If you compound the rewards by restaking or by using them to buy more ATOM then your effective APY increases. But rewards aren't free money because inflation and network dilution are real forces that you have to contend with. On one hand I like the passive nature of staking; though actually, on the other, maintaining low-risk operational …