Staking is a passive, long-term strategy. You won’t be facing any loss as long as the number of your staked KRNO tokens increases. Even if the market price of KRNO falls below the price that you bought at, the increase of your KRNO balance will offset the fall in price, given a long enough staking period.
Staking is the primary value accrual strategy of Kronos DAO. Stakers stake their KRNO tokens on the Kronos DAO website to earn rebase rewards. These rebase rewards come from the proceeds of bond sales, and can vary based on the number of KRNO staked in the protocol and the reward rate set by the monetary policy.
When you stake, you lock KRNO and receive an equal amount of sKRNO. Your sKRNO balance rebases up automatically at the end of every epoch. sKRNO is transferable and therefore composable with other DeFi protocols.
When you unstake, you burn your sKRNO and receive an equal amount of KRNO tokens. Unstaking means the user will forfeit the upcoming rebase reward. Note that the forfeited reward only pertains to the unstaked amount; the remaining staked KRNO(if any) will continue to receive rebase rewards.