Cryptocurrency plays an important role in the new generation’s way of earning. The industry has witnessed a steady rise in the number of users staking crypto to earn fixed interest or yield farming rewards. Staking is a practice where either the user blocks or hold his money in the cryptocurrency wallet to maintain the operations of a proof-of-stake (PoS)-based blockchain system. This activity is as same as crypto mining which helps a network to achieve consensus while rewarding users who participate. However, not every platform can be great for staking your cryptocurrency. The activity is accompanied by some terms and conditions which must be kept in mind while selecting a secure platform.
Here we have listed some secure platforms to stake your cryptocurrency:
Coinbase: Launched in June 2012, Coinbase is currently one of the most popular platforms for staking cryptocurrency. Since April 2021, users have been using Coinbase to stake their cryptocurrencies. Currently, this platform makes billions of dollars in annual revenue. The unique thing about Coinbase is that there is no ETH staking minimum. However, you will still require the 32 ETH minimum to become a validator. Although, you can easily join a staking pool on Coinbase. It is one of the most trusted and legitimate exchanges where you can also earn rewards via staking pools.
Kraken: Kraken is among the top crypto exchanges which were founded in July 2011. This platform allows you to buy and sell a wide variety of cryptocurrencies. Similar to Coinbase, this platform also requires you to have at least 32 ETH to become a validator and stake independently on Kraken. However, it offers the ability to join a staking pool with as little as 0.0001 ETH. Likewise Coinbase, this platform does charge a fee for staking your cryptocurrency. It is an administrative fee, which is taken out of your reward earnings.
Binance: Launched in 2017, Binance is a huge crypto exchange by businessman Changpeng Zhao. A user can stake up to more than 500 coins on Binance’s exchange platform. Just like Coinbase, and Kraken, Binance also mandates the 32 ETH requirement for independent validators. However, you can stake ETH in a pool for just 0.1 ETH. One thing that users must keep in mind is that the Binance exchange tokenizes BETH as the sole proof of your staked Ethereum in a 1:1 ratio. But there are no staking fees at all, so you can reap the rewards of your work without any frustrating cuts.
Bitfinex: The Bitfinex crypto was founded by Giancarlo Devasini and Raphael Nicolle in 2013 in Hong Kong. Currently, this platform is counted among the top choices for buying and selling crypto around the world. In this platform, there is no minimum requirement for ETH. It does not put limitations if you wish to stake without being an independent validator. However, if you want to become an official validator, the platform will require at least 32 ETH. One of the most unique factors about using Bitfinex as the best platform for staking is that it does not require any sort of fee for staking. You will receive exactly what you have earned.
Poloniex: Poloneix was founded in 2014, which is currently regarded as a well-established crypto exchange. Unlike other platforms, Poloniex does not stick to the 32 ETH staking rule for validators. Therefore, it emerges as a good opportunity for those who do not hold large amounts of cryptocurrencies. However, this platform charges a hefty 25% staking fee, which is deducted from your earnings. Keeping this in mind, users can consider exchanges that charge a lower fee or none at all.