Staking Rewards Can Add Tokens Without Increasing Network Share

A staking rate describes only one part of what a participant may receive. Staking rewards can add tokens to a balance, but the network’s total supply may also grow, changing the holder’s share of that supply. Token growth also does not establish a dollar return, because the market price can move independently. Ethereum validators receive newly issued Ether (ETH) for consensus work, including proposing blocks and attesting to them. A validator selected to propose a block may also receive transaction priority fees. The protocol burns the base-fee portion, so that amount does not go to the proposer.