When you stake your STRD token, the native token of the Stride, you are contributing to the security fo the Stride Zone (= blockchain). In return, you will receive rewards in the form of newly minted STRD. Conversely, if you do not participate in staking, your assets will get diluted over time. You can choose which validator(s) you want to delegate your STRD tokens to.
If you liquid stake via Stride, you stake a different assets (i.e. ATOM) that is supported by Stride. For that you receive a different token, which represents your staked assets + the staking rewards it accumulated (in our example StATOM). You can use these different tokens within the Cosmos DeFi ecosystem to generate further yield (i.e. lend them out); sell them for immediate liquidity; or redeem them back for your initially staked assets + the staking rewards they accumulated. As of now (Dec 22), you cannot choose wich validators you want to liquid stake to. Stake is distributed between a set of active validators.
The validator you delegate your tokens to is not able to access your funds at any point in time since you are only delegating your staking rights. At no point in time, do we have control over your STRD or your private key.
STRD Validators are subject to punishment in case of malpractice. This is referred to as "slashing" and can occur in the wake of two events: the validator signing two blocks at the same height ("double signing") or the validator being offline.
Therefore, we advice you to carefully choose your validator. Please note, that the costs for running a secure and professional validator need to be covered by the commission rate. Hence, it is worthwhile to accept a certain amount of commission in order to secure your profits and minimize the risk of punishment. In addition, we have our own capital on the line in order to fully align our own interest with that of our customers.
Further risks include: key/asset mismanagement by the enduser resulting in loss of funds; protocol errors; or attacks against the network.
No, there is no minimum amount of STRD required to stake.
Your staking rewards are not bonded to a validator by default. In order to achieve compounding interest on your rewards, you have to claim and re-delegate them from time to time. This can easily be done through your wallet UI
Your staking rewards do not automatically accrue on your account nor are they bonded to a validator by default. In order to have your rewards liquid or achieve compounding interest on your rewards, you have to claim and re-delegate them from time to time. This can easily be done through your wallet UI.
Unclaimed rewards remain under your custody and can be claimed anytime.
Your STRD are locked (can't be transferred or sold) when staked at a validator. Unlocking ("unbonding") your tokens takes three weeks (21 days). During that period your funds do not earn rewards, are illiquid and may still be subject to slashing. This is stipulated by the protocol.
You can simply repeat the initial delegation process that you find in the guide above.
Unfortunately we cannot answer this question in a general manner as tax regulation differs among legislations. Nevertheless, we advice you to always track your staking operations so you can provide a detailed history of your staking rewards.