Staking cryptocurrencies has been one of the most prominent trends within the world of cryptocurrency and DeFi investing. Staking cryptocurrencies is a strategy where investors lock their cryptocurrencies and get benefits as a result of doing so.
Today, we will be going over some of the best staking crypto exchanges out there, so you can make the best choice possible if you have a genuine interest in engaging in this strategy.
The Top 3 Best Staking Crypto Exchanges Ranking
Here, you will be able to see the top 3 best staking crypto exchanges which offer you solid returns as well as benefits when you decide to lock up your cryptocurrencies, which would otherwise just sit on your cryptocurrency wallet.
Kraken is a cryptocurrency exchange that was originally established back in 2011 and offers a wide range of cryptocurrencies alongside a lot of educational content for newcomer traders. Through its Earn Rewards offering, users can engage in staking coins on Kraken, whereas as a reward for doing so, they earn additional cryptocurrencies. In order for users to begin this process, all they have to do is buy assets or fund their accounts with assets that can be staked and select the asset they intend to stake. As a result, they can start earning rewards.
Binance is a cryptocurrency exchange originally founded in 2017, which makes it one of the newest platforms on this list. However, it has grown over time to become one of the largest and most reputable exchanges out there due to its low fees. Binance Staking is a platform that allows users to stake tokens in two ways, primarily, Locked Staking and DeFi staking. Locked Staking is the process of holding funds within a cryptocurrency wallet to support the operations of a blockchain network, while DeFi staking is the process of providing financial services to users through smart contracts, and these projects aim to provide higher annualized earnings for specific cryptocurrencies.
Crypto.com is yet another large cryptocurrency exchange that offers staking functionality. It also has its own native cryptocurrency token, known as the Crypto.com Coin (CRO), which adds additional functionality to the exchange. Through the Crypto.com Earn platform, users can receive a weekly payout and earn interest on their cryptocurrencies. The app gives users insights into how many coins they have staked and how much they are worth at the time of the payout. Note that this can go up to 14.5% on an annual basis.
Which exchange is the best for Crypto staking?
The best exchange which offers solid crypto staking options here is Binance, due to the fact that it has some of the lowest fees out there and offers both Locked Staking and DeFi staking, which leads to a higher level of flexibility for cryptocurrency investors who want to engage in the process of staking in numerous ways and leverage as many tokens as possible.
Which Crypto Exchanges offer Staking?
The top 3 cryptocurrency exchanges which currently offer staking functionality include Kraken, Binance, and Crypto.com. Note that there are other options out there, but these have proven to be the most exceptional options out there due to the APY they offer.
Is Crypto Staking worth it?
Crypto staking can be profitable if done correctly. Staking crypto is essentially a process that is reliant on how many cryptocurrencies you can hold. The more you can hold, the higher reward you will end up getting. If you have more secure coins, then you will be chosen as a block validator, and you need to submit tokens to the service of a blockchain network, where in exchange for doing so, you can get rewards in the form of new tokens. If you can stake cryptocurrencies safely and properly, it will be a worthwhile experience.
Is Staking at Exchanges safe?
Cryptocurrency exchanges do have a lot of security measurements in place as a means of protecting your data. They have two-factor authentication (2FA), SSL encryption, and some even keep a majority of their cryptocurrency holdings in cold wallet devices. That said, nothing is ever 100% secure, as due to the fact that they are hosted online, there is always the slim possibility of them getting compromised.
Hopefully, now you have a much-heightened perspective in regards to the best cryptocurrency exchanges that will allow you to stake your tokens with ease. That said, each option has its own benefits, as well as its own drawbacks, so ensure that you do proper research in order to make the best and most well-educated decision before beginning the process of crypto staking at an exchange.