Synthetic staking refers to a process where users earn rewards from staking assets without having to hold the underlying tokens directly. Instead, they use synthetic or derivative versions of these assets, which track the value of the original tokens.This approach allows investors to participate in staking rewards while maintaining the flexibility to use their actual tokens for trading or other purposes. It also helps mitigate risks associated with price fluctuations in the underlying asset.Typically, synthetic staking occurs on decentralized finance platforms. Users can create synthetic assets by locking up collateral, which serves as a guarantee. In return, they receive a synthetic token representing their stake. As the original tokens generate rewards, those benefits can be distributed to holders of the synthetic tokens.Overall, synthetic staking offers a unique way to engage in staking activities, providing liquidity and enhancing the usability of assets while still capturing the rewards associated with staking.