Kickstart your passive income with crypto Staking rewards

Staking is the process of locking up your crypto assets as collateral to become a validator on the blockchain. It’s a simple way to generate passive income. The more you stake, the more you earn.

Staking rewards are an incentive that blockchains provide to participants. When you stake in a blockchain protocol , you become a validator within the network. Validators are responsible for minting blocks and validating transactions. In return for these services, the validators get staking rewards. Staking rewards are paid out in the native crypto asset of the protocol in which its staked (eg. ETH for Ethereum).

No, you do not. We will do the validation for you.

Staking allows you to put some “skin in the game.” Validators have a lot of power within the network since their involvement in the network allows them to determine which transactions go through and which don’t. Locking up coins in the network ensures that you are incentivized to act for the betterment of the network.

No, you can’t as staking is permitted for crypto assets that run on a proof-of-stake network. Bitcoin is a proof-of-work (PoW) system, not a proof-of-stake (PoS) one. 

In PoW, miners use their computational power to solve cryptographically challenging puzzles. Whoever solves these puzzles successfully gets to add a block to the blockchain and earn mining rewards.

In PoS, validators lock up their coins within the network and earn opportunities to mint blocks. The more coins you lock up, the more chances you get to mint blocks.

Currently, CoinSmart allows you to stake Ethereum (ETH), Polygon (MATIC), Solana (SOL), and Polkadot (DOT)

In a staking pool, users combine their funds to stake and participate in validation. Each member gets a reward that’s proportional to their stake. If you join a small pool, you will not get a lot of chances to mint blocks. If you join a large pool, your rewards will be spread too thin. You must thoroughly vet different pools and find one that suits your needs.

A simpler way is to stake with a platform that’s reliable and has obtained regulatory approval, like CoinSmart.

While you can keep track of your rewards in real-time, different coins will have different reward unlocking periods. Please refer to  each specific asset for details.

Assets staked with CoinSmart will continue to remain in cold storage with our Custodian –  Coinbase – for maximum security.