Staking is becoming very popular among investors as a way of earning passive income, in the same vein as dividends that are paid on stocks.
Staking is simply a reward paid for helping validate the transactions on a proof of stake (POS) blockchain. There are many POS blockchains, the most well-known being Ethereum which switched to the POS model in 2022. Other notable blockchains running this consensus method include Solana, Cardano, Polygon and many more.
Bitpanda, one of the leading European crypto exchanges, has made headlines recently with an eye-catching 30% staking rewards offer.
Hold Crypto, Get Rewards
Bitpanda’s staking program allows users to stake their crypto without any lock in periods (except for Ethereum staking). This means that there is no entry or exit queue, or waiting period to stake or unstake, except for Ethereum where the queue is unavoidable.
Another benefit is that staking rewards are paid out weekly, which is ideal for investors who like to see fast returns. Moreover, there is an auto-staking feature, which would effectively compound your rewards.
The headline rate of 30% APY applies to Coreum coin, however Bitpanda has 9 coins that currently pay over 10% staking rewards. It also has numerous coins available to stake that reward between 5-10% such as Solana, Polkadot and Iota.
Is Staking Crypto Safe?
Bitpanda highlights that staking services are currently not regulated under MiCAR, the regulation law in Europe. This can lead to increased risks so the old mantra applies: do not risk more than you’re willing to lose.
Staking is technically quite easy to do, however the value of the coin, given that these are not stablecoins, can rise or fall at any time. Investors should therefore choose coins that they are confident have utility and won’t lose value over time.
Best Crypto Staking Coins With High APY
Bitpanda offers a generous 30% APY on Coreum, earlier this year Coinbase also announced it would be offering up to 10.8% on USDC staking.
Having said this, exchanges like Bitpanda and Coinbase have KYC requirements in order to open an account. Moreover, with exchanges you don’t actually own the coin given that the exchange holds the private keys for your crypto.
This means that you’re at the mercy of the exchange if they decide to freeze your account, we saw this recently with the MEXC account freeze controversy.
Several non-exchange platforms offer competitive staking yields, often with higher flexibility or without KYC requirements. These platforms can appeal to users who prefer to avoid verification processes or who experience difficulty accessing traditional exchange accounts.
One of them is Best Wallet, a privacy-focused, self-custodial wallet featuring an integrated decentralized aggregator that sources the highest staking yields on the market. Being a self-custodial wallet, users still maintain full control over their staked tokens, an attractive attribute for anyone seeking financial freedom.
Ordinarily, accessing staking perks on centralized exchanges requires that users undergo extensive KYC checks. Best Wallet eliminates that barrier, letting users stake freely without jumping through the hoops of identity verification. Therefore, it is safe to refer to it as a perfect balance between convenience, privacy, and self-custodial ownership.
What also sets Best Wallet apart is its multichain functionality, ranging from Solana, Bitcoin, and Base to Polygon, Binance Smart Chain, and Ethereum, giving users more than enough flexibility to manage and diversify their assets across different networks. Considering it uses a staking aggregator, users can rest assured that they will always have access to the most competitive rates in real time.
It also has a native token, known as BEST, which not only offers significant APYs but also serves as a gateway for holders to access additional high-yield staking opportunities on the platform. With only a few days remaining before the end of the token pre-launch sale, investors continue to earn up to 77% APY.
However, Best Wallet isn’t just a self-custodial staking platform – the app also comes packed with other powerful features, including fiat payment support, cross-chain swaps, gamified rewards, and a built-in token launchpad.
It is therefore not without reasons that top crypto YouTube channels, including 99Bitcoins are recommending it to their audiences.
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