Poker staking is the process of investing in a player and receiving a certain percentage of that player’s action (dependent on the size of the investment). Staking more commonly occurs within a tournament setting however it can also take place within cash games.To make the idea clearer let’s use an example from Slots Guide’s “Buy A Piece” Sub Forum in which user “Coronaandlime” is selling 50% of his $22 6-Max Turbo Tournament.
If we invest $2.20 (via sending the money to “Coronaandlime” we receive 10% of his action in the tournament. If he cashes for $50 we would receive $5 from our initial investment of $2.20. If he busts before the money, we would receive nothing due to there being no return on the investment. If he cashes for $1000 we would receive $100, which is why we can see there being such a demand for staking in the current poker climate, especially when you don’t have to sit and do all the work yourself!
Some players selling their own action may charge a “Mark Up” for their product due to them feeling they have a big edge in the tournament. Using the same tournament example let’s say “Coronaandlime” wants to charge 1.10 Mark Up for his $22 6-Max Turbo tournament. Instead of 10% of his action costing $2.20 it would cost $2.42. If he cashes for $50 we would still only receive $5 as we are still only paying for 10% of his action just at a higher price due to the potentially higher return on investment over time.
Of course, the most important thing in any kind of staking deal is trust. You need to trust the person you’re investing in otherwise they may not send you your return of investment. Slots Guide does an incredible job of collaborating with other sites as well as checking IPs and similar screen names to ensure the people we let into the community are people that everyone can trust.