Latest Crypto Staking Rewards
See the latest rewards for staking, as well as details on how to stake and keep track of your favorite coins' staking rates.
Staking is a great way to earn passive income in the crypto world. It comes with little risk, requires little expertise, and, when done properly, can help crypto investors make a living. That is why there have been many staking platforms recently, each with its unique rates and parameters.
So, if you are considering cryptocurrency staking as an investment option, you likely will be concerned about where to get the best and latest staking rewards. That is what this article will address. We will also discuss what staking is and how you can choose the best staking rates.
What Are The Latest Staking Rewards Rates?
Because staking is a dynamic activity, the rewards rate for blockchain staking may vary from time to time. However, below are the current rewards rates across the most popular staking blockchains:
Ethereum: 7% APY
Solana: 11.9% APY
Cardano: 16.47% APY
BNB Chain: 11% APY
Avalanche: 23.79% APY
Polkadot: 24.39% APY
Polygon: 21.99% APY
Please note that the rates described above are obtained directly from the blockchain. If you stake with a crypto platform or validator, the final rates you get may differ. See the staking rates for more coins across various exchanges.
What Is Crypto Staking?
In purely technical terms, crypto staking is the process of being a validator of a blockchain by locking up some tokens in it. Thus, it is essentially a fixed-deposit arrangement that ensures the continuity and security of the blockchain. Staking ensures that transactions are correctly validated on the blockchain. Without it, the blockchain will be prone to attacks and quickly disintegrate.
To an ordinary crypto investor, however, staking is simply the process of earning passive income on crypto holdings by locking them up with a staking platform. You could either stake directly on the blockchain as a validator or delegate your tokens to a validator to stake for you.
Many crypto exchanges and platforms also offer a more simplified approach to the staking process. You do not need to interact at all with the blockchain; they do all that for you. All you need to do is to deposit your tokens with them and expect staking rewards.
On many of these staking platforms, you also do not need to lock up your tokens. You can engage in flexible staking - an arrangement where your assets earn rewards for you while still being freely accessible to you. Some exchanges also offer staking pools, allowing users to aggregate their resources so as to increase their staking weights.
How Does Staking Work?
Because blockchains have no central entity that regulates and validates transactions, they need a verifiable mechanism to achieve consensus. It is like a code of conduct that all partakers in the blockchain agree to follow. Without this code, there will be no way of differentiating legitimate transactions from illegitimate ones, and the blockchain will descend into anarchy.
Staking, also known as Proof-of-Stake (PoS), is one of the most commonly used consensus mechanisms in the crypto world. When willing investors lock up their tokens with the blockchain, they essentially become stakeholders and are more interested in seeing the blockchain progress. Therefore, they are entrusted with the responsibility of validating transactions to ensure the legitimacy of the blockchain. The bigger their stake, the more responsibility they get.
To incentivize crypto investors to start staking, PoS blockchains offer crypto rewards to loyal stakers. These rewards vary from blockchain to blockchain and are usually readjusted from time to time. Some protocols also reward investors with governance duties, allowing them to make other decisions for the network, apart from validating transactions.
Most staking protocols enforce cooperation from investors by punishing bad actors. Bad actors are validators who go offline for long periods or send duplicate transactions. The punishment may be in the form of withholding rewards for some time or cutting part of the validator's stake (also known as slashing).
How Are The Staking Rewards Calculated?
The staking rewards you get depend on what staking platform you use, what crypto staking coins you hold, the number of staking participants, and the volume of staked assets. Let's see how each of these factors affects staking rewards.
Many crypto exchanges and staking platforms are actually validators in blockchain protocols. They then invite their users to delegate tokens to them and receive rewards. As a result, they have complete autonomy over how much reward they give you for staking crypto with them. That is why staking rates differ from platform to platform. For example, you stand a chance to earn up to 21.99% APY by staking MATIC on Binance, while you only earn up to 5% APY on Uphold for the same coin.
The crypto assets you stake also affect how much annual percentage yield (APY) you will get. Not all coins were created equal, so some give better yields than others. For example, the staking rewards rate on the Solana blockchain originally started at 8% and is now 5.78% APR, while that of Avalanche started at 9.02% and is now 3.12% APR.
Number Of Stakers
More does not equal merrier when it comes to crypto staking rewards. This is because the rewards given out are usually fixed, either as a percentage or a flat number. Therefore, the more validators and delegators there are, the more the rewards will be divided. Still, a staking platform or validator with a massive number of participants is likely more stable than that with only a few participants.
The more you stake, the more you earn. It's that simple. So you have a better chance of making a living off staking if you stake 10,000 SOL than if you stake only 10 SOL. Also, the smart contracts that guide PoS blockchains prioritize validation privileges to those with a weightier stake in the blockchain, allowing them to earn staking rewards more often than those with smaller stakes.
Is Crypto Staking Safe?
Even though earning staking rewards is cool, you need to worry about the security of your staked coins so that you don't lose your profit and capital in one swoop. So, here are some things to keep in mind regarding the safety of staked digital assets:
The Crypto Wallet you use
If you choose to stake directly on the blockchain either as a validator or delegator, you'll likely need to create a wallet that supports the crypto asset you want to stake. Since these wallets are usually non-custodial, the responsibility falls on you to ensure that your wallet does not fall into dubious hands.
You can protect your assets by not revealing your seed phrases to anyone and by not clicking on malicious links. Most crypto staking protocols also support more than one wallet, so you should consider all wallet options and choose the one that puts your mind at ease.
The Staking Platform
If you stake crypto with an exchange or staking platform, you should be concerned about how secure the platform is. It's best to use a platform that is regulated and insured by the appropriate authorities. You should also be wary of platforms that promise unreasonably high staking returns because some of them may be fraudulent.
If you plan to delegate tokens to a validator, you should not just pick any validator that comes to your view. This is because some validators are out to scam delegators by increasing their fees later on such that you end up with a loss. You should also choose a validator with a high online presence. That way, you can prevent your stake from being slashed (cut off as a penalty).
Your Staking Method
One risk of staking is that you need to lock up your assets for some time before you can receive staking rewards. It's risky because the crypto market moves swiftly at times, and you may need to quickly sell your assets to stay above water. But if your assets are fixed, that will not be possible.
Therefore, you may consider flexible staking as an alternative to mitigate this risk. Even though you may not earn as much, you will be more poised to save your portfolio if the crypto world goes down a red streak.
Best Crypto Staking Platforms
Because of the passive income opportunities that staking offers, there have been a host of crypto-based platforms that offer staking either as their main deal or one of their services. Which ones should you go for? Consider some of the best:
It is a crypto savings platform that offers some of the best staking rates in the crypto universe. Besides allowing users to stake assets directly on the platform for boosted yields, Midas Investments also offers a unique investment product known as YAPs (Yield Automated Portfolio).
A YAP is a basket of equally weighted crypto assets that allow investors to diversify their portfolios. Investing in a YAP is riskier than direct staking, but it usually brings much higher returns. To invest in a YAP, simply deposit on the platform and use your deposit to buy a YAP share.
Learn more about the Midas.Investments platform.
Uphold is a comprehensive financial asset platform that offers crypto brokerage services along with the ability to convert your crypto assets to precious metals, stocks, and fiat currencies. It also offers staking for 13 cryptocurrencies with an APY of up to 19.1%.
Another appealing attribute of the Uphold platform is that it doesn't charge any fee for trading crypto with other assets. Therefore, it is one of the cheapest options when seeking out a crypto platform that supports staking.
Check out an unbiased review of the Uphold exchange.
This is the best choice for beginners because of its easy-to-use interface and comprehensive crypto education programs. It allows you to directly stake up to eight crypto assets with varying APYs. You can also earn rewards by signing up for Coinbase's DeFi yield, which involves lending your tokens to DeFi protocols.
What is the Coinbase exchange, and how can it benefit you?
How To Get The Best Crypto Staking Rates
On a concluding note, here are some tips that will help you get the best and safest crypto staking rates:
Choose a staking coin that offers high staking rewards.
Stake your coins with a platform that offers the best staking rates without compromising security.
If your chosen crypto platform has a native token, stake it. Most platforms offer high returns if you stake their native tokens.
Keep your ears to the ground to know of any promotions or special offers on crypto platforms. Sometimes, you may grab a chance to earn a higher-than-usual staking rate due to these special offers.
If you are up for it, be a validator. Validators earn direct rewards from the blockchain. They also gain from the fees they charge to delegators who stake with them.
You can make a living, or at least some much-needed extra income, from staking. In this article, we have shown you how to do that. We have also introduced you to some of the best rates in the crypto staking world. Hopefully, you'll utilize your newfound knowledge and earn sizeable rewards by staking your crypto holdings.
Frequently Asked Questions
Can I Stake Crypto in Offline Wallets?
Yes, you can. This act is known as "cold staking" and is much safer than staking with online wallets. Your potential rewards are usually similar to those of hot staking. However, since your staked tokens are held offline, you will lose staking rewards if you transfer them out of your offline wallet.
Is Staking The Same As Lending?
No, it is not. Crypto lending is a more personal process because it involves lending out assets to borrowers either directly or through a mediator. On the other hand, when you stake crypto, you add the tokens directly to the blockchain.
What Are The Best Staking Coins?
There are several good options. Ethereum is perhaps the most secure, as it is the second largest cryptocurrency by market capitalization. Solana, Avalanche, Matic, and BNB are also good options. You can get a better idea of the staking rates for various coins here.
Where Can I Get the Highest Staking Rewards?
In terms of direct staking on the blockchain, you can currently get the highest rewards with coins like Polkadot, Polygon, Solana, and Avalanche. If you decide to stake with a crypto exchange or platform, the most rewarding ones are Binance, Matrixport, and Midas Investments, among others.
Will My Staking Rewards Remain The Same?
Most blockchains start with a fixed staking reward rate and then reduce it periodically to reduce inflation. So, your gross staking rewards may reduce over time, according to the blockchain's rewards schedule. The staking rewards may also change due to the transaction fees of the blockchain.
Will Staking Cost Me Money?
Staking directly as a validator will cost you some initial capital. That is because you will need to get a computer with high processing power and remain constantly online. If you are a delegator, you may only need to invest some money in buying the staking tokens. You will also have to pay a fee to the validator you choose. Staking on exchanges and crypto platforms usually comes with no fee attached.