Want to know which crypto has the highest staking rewards in 2023? From ETH to ADA, there’s plenty of coins to research. Read our guide on some of the best coins to stake in 2023 according to their reported profitability.
For informational purposes only. Not financial or tax advice. Learn more → Editorial Policy.
How to pick which crypto to stake?
There are a few factors to consider when you’re choosing a cryptocurrency to stake, including:
- Cryptocurrency: Although most investors new to staking immediately jump to Ethereum as the best staking option, there are many PoS cryptocurrencies available to pick from including Cardano, Tezos, Cosmos, and more. Many investors opt to stake alternative PoS cryptocurrencies, as opposed to market leaders like ETH. This is because with fewer active validators in the network, higher returns may be available.
- Return: How much can you expect to earn in staking rewards for your capital? Most of the time, the return is estimated based on the total value locked and the popularity of the network - the more investors are involved, the more rewards are split between validators.
- Validator or delegator: Validators run a node and participate in staking, which takes a little more technical know-how. Meanwhile, delegators are token holders who want to participate in staking but instead choose to use and trust an existing validating node and delegate their tokens to that node. Validators generally earn a little more, as they take a small fee from delegators' rewards in exchange for running the node.
- Limitations: Many PoS networks have limitations around staking - for example, minimum deposits or lock-up periods in order to stake. You can often get around these by using staking platforms, but they’re worth knowing if you’re going to stake directly using a non-custodial or full-node wallet.
- Staking platforms: There are a huge number of staking platforms available that can help you more easily stake crypto, with fewer downsides, for example, liquid staking platforms. Learn more about some of the best staking platforms in 2023.
- Ease of reporting taxes: In most countries, staking rewards are treated and taxed as income. It's important to check that the coin you're staking offers decent reporting, via the staking platform you choose.
What’s the best crypto to stake for the highest reported rewards in 2023?
Some of the best crypto coins to stake in 2023 for profitability include:
- Near Protocol
*Estimated APY for validators, not delegators, and not adjusted for inflation/deflation. These rates are subject to change
From a quick glance at that table - you’d think you’d just pick the crypto with the highest return rate and lowest deposit amount and get staking - but it’s not quite that simple. The rates above don’t factor in the inflationary and deflationary effects, nor the lower rates or deposit requirements for delegators instead of validators. So let’s take a look at each in more depth.
Ethereum is the most popular crypto to stake and a market leader, trailing just behind OG Bitcoin in terms of market capitalization. There are many ways to stake ETH, each with its own pros and cons, including:
- Solo staking as a validator
- Staking as a service (delegating)
- Pooled staking
- Centralized staking
Best ways to stake Ethereum
Staking Ethereum as a validator may be profitable but comes with some limitations. Firstly, you’ll need a minimum of 32 ETH as a deposit - which is no small sum ($57,800 at the time of writing). For many investors, this immediately means solo staking is off the table - although there are some staking platforms like Rocket Pool that allow you to run a node for Ethereum with a lower deposit of 16 ETH. As well as this, you’ll need a little technical knowledge to solo stake as a validator for the Ethereum network, and for your computer to be online 24/7.
As such, many investors may find delegating and staking as a service more appealing. Although you’ll still need a minimum of 32 ETH, in this instance, you don’t run a node and there’s no need to have 24/7 internet access. But in return, you'll lose a small monthly fee for node operations from your protocol rewards. You'll also need to consider that you'll need to trust your node provider, because if they act maliciously, you may lose your staked ETH.
The 32 ETH requirement is why many investors have moved to pooled staking. Not only can investors start staking with as little as 0.01 ETH and earn rewards, but in many instances, pooled staking protocols, like Lido or Rocket Pool, also help you maintain liquidity. So whereas when you stake as a service or as a validator, your ETH is locked up for a given period of time, with pooled staking, you'll often receive ERC-20 tokens (for example, stETH) representing your staked ETH, which you can use and invest as you'd use any other token.
Finally, there’s centralized staking. There are a huge number of centralized ETH staking providers, including Binance, Kraken, and Coinbase. Centralized staking makes staking ETH incredibly easy for beginners as you can often do it in one click. The trade-off is that you'll generally pay a fee to do so, and there's the risk of the exchange having custody of your ETH. The Ethereum project developers also criticize centralized staking providers as they create a large point of failure for the network.
How much are Ethereum staking rewards?
Correct at time of publishing
At the time of writing, validators earn an estimated 2.48% APR, while those staking as a service earn an estimated 2.25% APR. Meanwhile, pools like Lido or Rocket Pool offer 4.5% and between 4.04% - 7.09% respectively, while centralized exchanges claim around 4% APY. It’s worth noting that the figures quoted for validators and delegators are APR - so they don’t adjust for compound interest, while APY does. As well as this, These figures would generally be higher if you adjust the reward to reflect the inflation of the network supply.
There are no wrong or right answers when it comes to how to stake ETH. The right way to stake ETH will depend on your circumstances, including the amount of ETH you have available and your technical knowledge.
Staking Cardano allows ADA investors to earn passive income and support the security and safety of the Cardano network. With a market cap of more than $13 billion, Cardano is a top 10 cryptocurrency and a very popular staking option. Like with other PoS cryptocurrencies, there are a few different ways you can stake Cardano including:
- With a full node wallet
- Delegating ADA
- Centralized staking platforms
Best place to stake Cardano
Unlike many PoS networks, Cardano makes staking ADA easy using non-custodial wallets, whether that’s a full node wallet like Daedalus or a light wallet like Yoroi. This means most investors opt to stake Cardano directly, instead of with a service, as both wallets are easy to use, and offer the added security of having control over your crypto by using non-custodial wallets.
Daedalus is a full-node Cardano wallet. This means it stores the entire history of the Cardano blockchain and validates all blocks and transactions for fully trustless and autonomous operation. However, you’ll need a little more technical knowledge to use Daedalus, as well as around 16GB of RAM. Once you’ve got Daedalus downloaded and set up, just head to delegate to stake your ADA.
For investors looking for an easier staking option for Cardano, Yoroi is the most popular Cardano wallet and a light wallet that lets you stake your ADA easily and is available on Chrome, Firefox, Android, iOS, and Edge. Like above, just head to delegate to stake your ADA and pick a Cardano staking pool.
Unlike many other blockchains, there’s no minimum staking deposit to stake ADA - though you will pay a 2 ADA refundable fee for the transaction (you’ll get it back when you unstake your ADA).
Of course, there are centralized exchanges to help you stake ADA as well if you prefer to use custodial solutions, including Coinbase, Binance, and Kraken. The best Cardnao staking solution for you will depend on whether you prefer to retain custody of your crypto or not, as well as the potential ROI.
How much are Cardano staking rewards?
Correct at time of publishing
At the time of writing, if you’re staking directly using a non-custodial wallet and delegating your ADA, you may earn an estimated 4.6% APR. If you’ve got the technical knowledge to set up a Cardano stake pool, this could increase to a 22.8% yield per year. Meanwhile, if you use centralized Cardano staking platforms - you could earn anywhere between 2% to 6%. As such, the majority of Cardano stakers use non-custodial wallets to stake ADA.
A top 50 cryptocurrency with a market cap of more than $1 billion USD, Tezos remains one of the most popular coins to stake. XTZ hodlers can earn staking rewards by:
- by running a node (known as baking)
- or through centralized staking platforms.
Best place to stake Tezos
There are a few options when it comes to staking your Tezos, and you’ll need varying amounts of technical knowledge to do it.
In the Tezos ecosystem, running a node is known as baking - in other words, the act of signing and publishing blocks on the Tezos blockchain, as well as ensuring all the transactions in a given block are correct.
To 'bake' Tezos, you need a 'roll'. A roll of Tezos is equivalent to 6,000 XTZ currently (though formerly it was 8,000 and 10,000 XTZ). To set up, you'll need to install Kiln (learn how).
Of course, the obvious downsides of becoming a baker are the minimum staking deposit requirements and the technical knowledge necessary to get set up. That’s why many investors opt to delegate instead.
Delegating your XTZ allows you to avoid the hassle of becoming a baker - essentially you lend your coins to a baker as you would a validator, giving that baker a higher probability of being selected to bake and earn rewards. You can delegate Tezos easily in a variety of non-custodial wallets including Ledger (using Ledger live) and Exodus. Delegating your XTZ doesn’t mean you’re handing it over to a baker either, your XTZ stays in your wallet and is never frozen, you’re just loaning out your voting rights essentially. As usual, bakers take a small cut of staking rewards for those delegating in return for running the node.
Finally, you can also stake Tezos on centralized crypto exchanges like Coinbase or Kraken. This, of course, comes with the usual risks of not having custody of your crypto.
How much are XTZ staking rewards?
Correct at time of publishing
If you’re baking Tezos (so running a node), you'll earn an estimated 5.89% APR, meanwhile, if you delegate your Tezos to a baker using a non-custodial wallet, you'll earn an estimated 5.31% APR. Rewards for staking Tezos using a centralized crypto exchange vary between 3% to 7% depending on the platform.
A top 10 cryptocurrency with a market cap of more than $7 billion, Solana is a popular choice when it comes to the best coins to stake for 2023. There are multiple ways to stake Solana, so let’s take a look at each.
Best place to stake Solana
As with most PoS blockchains your options for staking Solana are:
- Run a node
- Delegate your SOL
- Use a staking protocol or centralized exchange
Running a node for the Solana blockchain takes quite a bit of technical knowledge. You'll need to connect to what's known as a Solana cluster and you can see instructions on how to connect to a Solana cluster in the Solana product docs.
There's no minimum staking deposit for Solana in order to run a validator, however, you'll need a voting account and you'll also pay a small fee (a vote transaction fee) for each block you agree with - which can cost up to 1.1 SOL a day. As well as this, there are a number of hardware requirements you'll need in order to successfully be a validator for Solana including 128GB+ and 2.8GHz or faster.
The technical knowledge and hardware requirements necessary to become a validator on Solana means many investors opt to delegate Solana instead.
You can delegate Solana using a variety of non-custodial wallets, including Phantom and Ledger (Live). Delegating is easy, just choose a validator to stake with, the amount you want to stake, and then select stake. Remember, you'll need to make sure you can trust, but there are sites like validators.app or StakeView.app to help you find a reliable validator.
Finally, you can opt to stake Solana using either a decentralized liquid staking protocol like Lido or a centralized staking platform like Coinbase Earn. Decentralized protocols like Lido come with the added benefit of maintaining liquidity, as you’ll receive stSOL tokens representing your staked Solana that you can trade as you would any other token.
How much are SOL staking rewards?
Correct at time of publishing
At the time of writing, if you run a validator on Solana, you could earn an estimated 7.38% APR, while if you delegate using Solana using a non-custodial wallet, you could earn an estimated 6.43% APR. Decentralized liquid staking protocols like Lido offer an estimated 6.7% APR and come with the added benefit of maintaining liquidity, while centralized exchanges offer between 2.4% to 7%.
Want to get involved in Polkadot mining? Well, you can’t mine Polkadot because it’s PoS, but Polkadot is a very popular staking option and a top 20 cryptocurrency with a market cap of more than $7 billion alongside a daily trading volume in the millions. It’s a multi-chain network and layer 0 protocol founded by the former CTO of Ethereum that seeks to resolve the issues of scalability and interoperability that the Ethereum network currently struggles with. As such, staking DOT is a popular investment in 2023 - and there are plenty of ways to do it.
Best place to stake Polkadot
Your options for staking DOT are:
- Running a validator
- Opening a nomination pool
- Nominating directly
- Joining a nomination pool (delegating)
- Using a custodial exchange
As usual, running a validator for Polkadot requires technical expertise as you'll need to use a cloud server running Linux. As well as this, you'll need a minimum staking deposit of DOT. There is no static deposit, instead, the minimum DOT stake is dynamic based on the amount of stake behind each active validator. You'll need to have a stake higher than the lowest ranked validator in the active set in order to earn staking rewards - at the time of writing, this is around 350 DOT.
For investors who want little less responsibility or don’t meet the hardware requirements, you can also opt to open a nomination pool or nominate directly. You can think of this as a middle ground between simply delegating your DOT by joining a nomination pool and running a validator.
If you’re lacking the technical expertise, no worries, you can delegate your DOT to a nomination pool instead. You can do this using non-custodial wallets like Ledger (using Ledger Live) or Fearless Wallet, just select stake and pick a validator.
Finally, you can stake DOT using centralized custodial exchanges like Kraken and Coinbase. These one-click staking solutions are often the easiest option, but remember, you will not retain custody of your crypto.
How much are Polkadot staking rewards?
Correct at time of publishing
At the time of writing, for running a validator, you could earn an estimated 15.31% APR, or an estimated 14.34% APR for delegating your DOT. Meanwhile, custodial staking providers offer anywhere between 7% - 14%.
Polygon is a layer two blockchain that scales the Ethereum network, allowing for faster transactions with lower fees, and MATIC is the native currency of the Polygon network. In order to secure the Polygon network, investors can stake MATIC and earn rewards.
Best place to stake MATIC
There are a few different options to stake your MATIC. First, you can run a node. You can see detailed steps on how to set up and deploy a node for Polygon in the product docs but suffice to say, you'll need a decent amount of technical expertise to do so. As well as this, you'll need a minimum MATIC staking deposit. This is dynamic - but you'll need more than the balance of the 100th validator to join the active set of validators for Polygon.
No worries if you don’t fancy the technical work - you can delegate your MATIC instead using a non-custodial wallet. Just head over to Polygon Staking, select delegate, pick a validator and the amount you want to delegate.
If you prefer to make things even simpler while retaining custody of your tokens, you can use a non-custodial wallet to stake Polygon, like Lido. Lido has the added benefit of helping you maintain liquidity, as when you stake your MATIC, you'll receive stMATIC in return which you can use in a variety of other DeFi protocols to compound your yield.
Finally, you can use centralized exchanges like Binance or Kraken to stake your MATIC. While these are extremely easy to use for beginners to staking, you do not retain custody of your crypto when it’s on an exchange and this comes with implicit risks.
How much are MATIC staking rewards?
Correct at time of publishing
At the time of writing, if you run a validator, you could earn an estimated 7.91% APR, or a slightly lower, estimated, 7.35% APR for delegating MATIC. Decentralized protocols offer an estimated 4.2% APR, while centralized exchanges offer between 2% to 6%.
Avalanche is a highly scalable, low-fee blockchain, and similar to Ethereum in that it has smart contract capabilities. AVAX is the native token of the blockchain and investors can stake AVAX to earn passive income and support the security of the network.
Best place to stake Avalanche
You can stake AVAX in the usual ways: by running a node, delegating your AVAX, or using a centralized exchange.
To run an Avalanche node, you'll need to install AvalancheGo node software (or third-party software). You can find out how to do that in the Avalanche docs, but as ever, it will require a decent level of coding knowledge. As well as this, you’ll need a minimum of 2000 AVAX - or around $34,000 at the time of writing!
Alternatively, Avalanche makes it incredibly easy to delegate your AVAX. Using Avalanche Wallet. Just go to Earn in your wallet and select delegate, enter the amount you want to stake (a minimum of 25 AVAX is required), pick a validator and period of time to stake for and you're good to start earning your staking rewards. If you’re not sure who to pick as a validator, you can always choose an established non-custodial node and staking solution like Stakely for extra assurance.
Finally, you can always stake your AVAX using a centralized exchange. Most exchanges offer one-click solutions to make it simple to stake your AVAX, however, you’ll generally receive fewer rewards and you will not retain custody of your crypto.
How much are AVAX staking rewards?
Correct at time of publishing
At the time of writing, becoming a validator for AVAX offers an estimated 9.51% APR, while delegating your AVAX returns a slightly lower estimated 8.94% APR. If you're using a centralized exchange, rates vary between 6% to 10% depending on the platform.
Cosmos is a blockchain that aims to make a network of interoperable crypto ecosystems using independent parallel blockchains, while ATOM is the native currency. Investors can stake ATOM to earn passive income for supporting the security of the network.
Best place to stake Cosmos
To run a Cosmos node you'll need a simapp application - and plenty of technical knowledge. As well as this, Cosmos SDK is releasing a new version soon which will change the current instructions, you can see more information in the Cosmos product docs. You'll also need a minimum ATOM staking deposit - which needs to be more than the balance of the 175th active validator in order to earn rewards, as this is a dynamic figure, but currently sits at around 86,000 ATOM, so it’s no small sum. You can of course though increase your voting power by allowing other ATOM investors to delegate to you.
Not to worry if you don’t have the funds or technical expertise to run a node - you can also delegate your ATOM easily. You can stake with a variety of non-custodial ATOM wallets, including Cosmostation and Keplr, just find the delegate option, select your stake and choose your validator. Remember, when you stake your ATOM though, you'll lock it up for a given time period and be unable to use it until you unstake.
As ever, you can also opt to use a centralized crypto exchange in order to stake your ATOM. But you’ll generally receive fewer rewards (due to the fees taken) and you do not hold custody of your crypto when you do this. However, it’s a good place to start for those who are less confident in choosing a secure and reliable validator.
How much are ATOM staking rewards?
Correct at time of publishing
At the time of writing, those running a validator node could earn estimated returns of up to 25.2% APR, delegators could earn an estimated 23.3% APR. Meanwhile, centralized exchanges offer between 6% and 21% APR.
Algorand is a blockchain aiming to become the next major payment processor by offering speed, security, and decentralization simultaneously. As the blockchain uses a proof of stake consensus mechanism, investors can stake ALGO in order to process transactions and secure the network, and earn ALGO as a reward.
Best place to stake Algorand
It's really easy to stake ALGO - just go to the Algo Governance Portal and connect your wallet. Supported wallets include Pera, MyAlgo, Defly, WalletConnect, and more. Once you're connected, select commit ALGOs, enter an amount, and sign the transaction. Please note, you'll need to make sure you're signing up during an active sign-up phase on ALGO. These are cyclical, if it isn't open, you can just wait until the next one. Unlike many PoS mechanisms, ALGO uses pure proof of stake. This means the rewards are decided before the beginning of each active voting period of 3 months, and your rewards aren't paid out until the end of each period.
Alternatively, you can also stake using a centralized custodial exchange, like Kraken or Binance. Many of these exchanges offer one-click staking solutions, but given how easy it is to stake ALGO directly - and retain custody of your ALGO - many investors opt to stake using a non-custodial wallet.
How much are ALGO staking rewards?
Correct at time of publishing
You could earn an estimated 7.2% APR through ALGO governance rewards by staking directly with a non-custodial wallet. Alternatively, centralized crypto exchanges offer between 1% to 6%.
NEAR Protocol is a smart contract capable, dApp platform that aims to build the Web3 future using sharding technology. NEAR is the native token for the network, and users can stake NEAR in order to secure the network and earn rewards.
Best place to stake NEAR
You have three options for NEAR staking:
- Run a validator
- Delegate NEAR
- Use a centralized crypto exchange
To run a node, you'll need plenty of technical expertise as you'll need to install Docker and run nearup, which requires a decent understanding of inline coding. As well as this, you'll need a minimum NEAR staking deposit of the current seat price. At the time of writing, this is 25,205 NEAR, equivalent to $48,645 at the current price.
So instead, many investors opt to delegate their NEAR instead. You can use NEAR to delegate your tokens to existing validators, just go to the staking tab and select your staking pool.
As well as this, you can use centralized exchanges like Binance to stake NEAR. Of course, the risk of this is that you no longer retain custody of your cryptocurrency.
How much are NEAR staking rewards?
Correct at time of publishing
At the time of writing, if you're running a node, you could earn an estimated 9.9% APR, while if you're delegating your NEAR tokens you could earn 9.2% APR. Meanwhile, centralized staking providers offer up to an estimated 11.9% APR.
More questions about the best coins to stake or how to stake? We got you,
What’s the difference between validators and delegators in staking?
A delegator is a token holder, who wants to participate in staking but chooses to trust an existing validating node through delegation. Meanwhile, a validator runs a node, participates in staking, and may accept delegators to increase their stake.
What’s the difference between APR and APY?
APR and APY sound similar, but they're very different. APR, or annual percentage rate, is the interest you gain from your investment in a year. Meanwhile, APY is the annual rate of compound return earned on investment - so it calculates the rewards you'll earn on your earned rewards within a year as well.
What’s the difference between reward and adjusted reward?
Reward and adjusted reward are two very different things. Your reward rate is pretty simple - it's the percentage you'll earn throughout a given year, usually as APR. An adjusted reward rate however takes into account the annual dilution of a given cryptocurrency, in other words, the growth in the token supply - which means even though your rewards may stay the same, the value of the coin is falling, so your rewards are adjusted to reflect this.
Which coins have the highest ROI staking?
As you can see in our table above, DOT and ATOM currently have the highest estimated APR. However, these rates are all subject to change under market conditions, and the value of tokens may rise or fall - all of which will have an impact on your ROI.
What is the most stable coin to stake?
Ethereum is widely considered one of the most stable PoS cryptocurrencies and is a market leader, trailing just behind Bitcoin in terms of market capitalization.
What is the cheapest coin to stake?
The lowest value coin to stake in our list is ALGO - but this is all subject to change in market conditions. The reality is thanks to delegation, it’s the total value you have invested in the asset that matters - so whether you have $300 in ETH or $300 in ATOM, it’s the APR you should be looking at to calculate the best value coin to stake in your circumstances, as well as whether the coin is appreciating or depreciating in value.
What coin is best for staking?
The best coin to stake depends on your portfolio, your aversion to risk, and the market conditions - the latter of which no one can predict. Some investors prefer to stick to the staples like ETH, while other investors will flock to less widely adopted coins with a higher ROI. You should always DYOR before investing to understand the risks involved in staking.
What are the easiest cryptos to stake?
Thanks to non-custodial wallets and delegation, it’s pretty easy to stake pretty much any cryptocurrency now. You don’t need technical knowledge to do this, in most instances you can simply find the delegation option within your wallet, pick a validator and stake your crypto.
Where should I stake my crypto?
There are four main options for staking most cryptocurrencies:
- Running a node
- Decentralized staking platforms
- Centralized exchanges
Each has its pros and cons. Running a node often requires a large deposit and technical expertise, but has the highest rewards. Delegating your crypto doesn’t require technical expertise and you keep custody of your crypto, but you need to trust your validator. Decentralized staking platforms allow you to retain custody of your crypto and potentially maintain liquidity, but they come with unique risks like depegging. Finally, centralized exchanges often offer one-click staking solutions, but the rewards are often reduced and you do not retain custody of your crypto.
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