What is staking crypto?
Along with new technologies come new terms, like blockchain, or cryptocurrency, and staking is one you should pay attention to. So, what does staking crypto mean?
Staking lets you earn an income on your crypto by adding it to a special ‘Proof of Stake’ network, which makes this network more efficient and secure in return for a reward. Think of this like adding the cash in your savings account to a secure, larger shared account for a return.
Unlike the <1% ROI of a savings account in a bank, staking your crypto can earn you up to 20% ROI per annum. That is no small number.
Can all coins be staked?
No, only a select group of coins can be staked for a return.
Where to stake crypto
It’s possible to join private networks or set up your own, however, we do not advise beginners to attempt this. Major exchanges like Coinbase, Kraken, or Binance allow you to securely stake your assets in a couple of quick taps. We currently stake on Kraken and Coinbase. Places to stake your cryptocurrency:
The best coins for staking
We have curated this list based on the best ROI per year on trustworthy and secure platforms. While some of these coins are available for staking on multiple platforms, we have listed for each with the highest annual rewards.
- Kava (KAVA) | Annual Reward : 20%
- Polkadot (DOT) | Annual Reward : 12%
- Kusama (KSM) | Annual Reward : 12%
- Algorand (ALGO) | Annual Reward : 8%-10%
- Cosmos (ATOM) | Annual Reward: 6%-9%
- Tezos (XTZ) | Annual Reward: 6%-7%
- Ethereum (ETH 2) | Annual Reward: 5%-7%
- Solana (SOL) | Annual Reward: 6.5%
- Cardano (ADA) | Annual Reward: 4-6%
- Flow (FLOW)| Annual Reward: 4.6%
- ONE | Annual Reward: 2%-3%
- Vechain | Annual Reward : 1%-3%
- DAI | Annual Reward : 2%
- Quantum (QTUM) | Annual Reward : 1%-2%
- EOS | Annual Reward : 0.5%-1%
If you’re holding for the long term like we are, why not move your assets to one of these platforms and make your money work for you? To use an example, if we stake 1000 Cardano for a year and the price goes to $30 as some project, that’s over $1600 profit for doing nothing. Happy staking folks!