i've been doing a lot of reading about DeFi's lately, but i can't seem to wrap my head around rewards and where do they come from? at first i thought that rewards are given just like in proof of work coins, like btc so basically, if one stake a coin, he'll be getting rewards for helping the network, meaning from the blockrewards and transactions fees.
but i then came across some new coins like Swipe, which i'm confident that it does not generate that much in transaction fees, and yet the rewards are high? the coins in question are: Tezos, matic network, cosmos, swipe and ethereum 2.0.
i would appreciate any explanation. thank you
I don't think you know how proof of work coins like bitcoin work. You don't stake bitcoin you have to mine bitcoin with Asic machines and hope to hit a block (which you won't unless you are in a pool at this point), then share in the block rewards and tx fees. You should take a look at all the algorithm, etc before you go any further before you lose money buying and selling something you don't know much about