Topic: Staking Altcoins For Interest Questions? (Read 388 times)

Staking stablecoins is the safest option, so I'd recommend that. But there are new projects who just started and have much less validators then Ethereum, for example, so they offer higher apr. For example, Waterfall Network launched less than 6 months ago and offer about 125% APR

Staking coins is definitely not worth the risk. Especially when we're talking about altcoins with unstable market prices. You can either win big or lose it all in an instant. When staking native PoS coins, you'd need to consider how much yield you'll get by holding long term (otherwise known as stake rate). A higher APY, means higher inflation, which equals to a lower price in the long term. A lower APY, means all of the contrary.

I'd avoid centralized staking platforms as they could easily go bankrupt or become a victim of hacks. Since they don't give you access to the keys or seeds associated with the wallet, you'd be nothing but doomed. For steady profits, it's recommended to "stake" (lend) stablecoins on a "De-Fi" platform. I'm talking about decentralized finance apps built on Ethereum and similar chains. Compound.Finance, and Aave are one of them. Just deposit your preferred stablecoin in one of those platforms, and you'll be good to go. As long as greed doesn't get in the way, there should be nothing to worry about.

with the price changes that need to be observed from the price fluctuations, because staking has weaknesses that you need to think about before entering it, because it is considered risky to do and can lose value when the price falls, of course, profits are difficult to get, although opportunities are always there, the need to consider.

Stablecoins though might better be referred to as shrinkingcoins or downwards coins or somesuch, at least if referring to ones whose peg or algorithimically targeted valuation is a "fiat".

Since fiat is almost invariably intended, by design or by "monetary policy" or however, to lose value over time, referring to it or anything deliberately attempting to follow in its footsteps as "stable" seems like one of those ox-pulled carts characterised as moronic...

...Oh yeah, got it, "oxymoronic", thats the ticket... I mean word, term. Situation. Case. Etc.


-MarkM-

The main difference would be is that the platform is holding our coin for us and they can give us an active incentive for it. About the risk, that is also the risk there because we don't know, what if they might collapse or turn into a scam one day and the assets that we stake on them will also be gone.

In investing or even in staking, one must be committed to it because this is the only way to earn decently but I think unexpected events won't also be avoided, so we can't help it but to touch what we put in sometimes. The only thing is that in staking we might not do it immediately because there is a lock-up period on the most of them if I am not mistaken.

Yeah, it's quite risky if you don't hope for the coin to be right in the long run.
Also, you do have your signature not put properly, as I've seen other people with it look a bit different judging that you are talking about the same platform, probably.

That is one of the risks in staking. Regardless of how much the interest is in your staking, if the coin's price goes down so does the value of your interest. You are also right that staking stablecoins is far safer because it is less volatile than other coins however you can see that other coins can be more profitable when staked. If a coin gains in price, you can definitely gain more profit than staking stablecoins
Staking on centralized platform possess certain risks such as the platform breaking down. The platform would need to be secure and functional all the time lest your funds be in danger.

Staking altcoins in platforms is different in concept and risk. If you hold an altcoin and are certain that you will not sell it in the near future, staking can be a profitable option. However, it is important to pay attention to potential risks related to liquidity, price volatility, and protocol security

I am looking to stake my altcoins though which is already converted altcoins to stable coins USDT, but i am really confused to choose high reputed platform, in centralized exchange will be high risk, but i trusted to keep on Binance because they have SAFU, if exchange will face any hack incident they will refund my money. Please suggest me, tell in details about stable coin staking where you staked your coins and how much APY.

Depends on the altcoin, if you are investing into an altcoin that has a future then you should not be worried about it and you could get a good result, but it will not be simple and you could end up losing a lot of money. I personally believe that we are going to end up with something much worse and if we deal with what we know then it is not going to be that easy neither.

We are going to see this changing for the long term and because of that we should consider this as a good thing. I know that we are not going to have something that changes much, but if we deal with it then we are going to be doing much better. Hopefully, staking for a good altcoin could give you a good return, like for example staking ETH would give you a good return.

I agree with this, it doesn't make sense to me that we put stablecoins into interest, I mean if all I wanted to make money from is interest from dollar, then I would have kept myself in the fiat world, not get into crypto at all. I agree that staking in crypto is fine, but with cryptocurrencies, not with stablecoins, that doesn't make sense to me at all.

I feel like the best way to move forward would be just making sure that we deal with crypto itself and not stablecoins. Interest is something I do prefer to get if I can, because I am a long term holder and if I can make even just a small bit more then I would be happy with that, but it depends on the risk I am taking, if I am giving my money to some risky place, then I rather not do that.

If you check on some exchanges such as Binance, Bitget, Bybit and other exchages, you will see the percentage of each coins. You can choose any coin you want to join in the staking. But for the safety, that will depend on the exchanges security because as long as the exchanges can protect their site from the attacker, your fund will safe but the next thing that you should think is how long the exchange can online.

No one will force you to staking your coin especially if you are afraid with the risks of losing your coins in the 3rd party. You can still hold the coin in your private wallet like ledger, trezor and you can also use their staking feature.

We can stake BTC but using bitcoin layer 2 that enables staking for bitcoin, of course it also carries risk, much like wrapped BTC with the risk of depegging.
but I find bitcoin layer 2 to be able to compensate for the need of staking platform so i'm okay with it. there are also plenty of lending platform or dex in BTC layer 2 where we can become liquidity provider.
so I think staking BTC is as good as staking other coin.

Planning on holding altcoins for very long and you won't sell until it has reach a price that you think it'll get to. You can stake your altcoins to earn more rewards on them. Deciding not to stake is your own loss because you'll still have to hold that altcoins so why don't you stake it to earn some rewards and get a double win for yourself. Lots of hates are on staking because they tend to freeze your altcoins for sometime before they release it for you but the new staking method has it that you can release your coins and withdraw them anytime that you want hence staking is no longer a hostile program.

The only reason I won't stake my coin is because I have intention to sell them very soon but if I'm going to hodl for more than 1 months, I'll have to stake the coins for that time so I can.ewen more reward on my coins.

Stablecoin interests do not really appeal to me, if I wanted to do that then I would have just taken dollar out and put it in a bank and make money that way, I do not understand why people think that we could make much from it. I believe that it is not a good idea and we should stay away from it as much as we possibly could. I know that it is going to take some time but it can be done and we could make some money from it.

I feel like the best way to make money from staking would be to ETH, it has natural staking now and it brings in a good chunk of money while also going up in price as well. It allows you to gain from both sides and it is a great way to retire if you want to keep investing for long term as well. It could allow you to eventually have enough income to just live with the staking interest.

there are many staking platforms out there and offer different interest rates, but usually the higher the interest they offer, the higher the risk, because the higher the interest, the greater the responsibility of the staking platform to pay its stakers. that's why popular staking platforms like binance, etc., don't offer such high interest rates, and they tend to be safe for stakers.

and usually stakers are people who plan to hold their altcoins for a long time, or those who don't really like the hustle and bustle of the market, so they prefer to stake their tokens because their goal is to hold them long term and in the process they stake tokens to get interest from it.

but it should be noted that not all long-term holders like to stake their tokens, some feel that they don't need staking interest and prefer to manage their own tokens, since staking tokens means that stakers entrust their tokens to third parties and they don't know whether it is safe or not.

Safe is only when your coin is in your non-custodial wallet, if you stake your coins with any third party or you lend it out to any service, there is definitely risk in it; not your keys is not your coin. Thus if you are allured by the interest of staking or lending, you should understand the risks too.
You cannot stake bitcoin, it uses the proof of work consensus mechanism and not proof of stake.

Staking crypto coins does have risks, especially related to price fluctuations of the coins. While you can gain profits from staking, if the coin value drops significantly, the losses from the price drop could be greater than the profits from staking itself. Regarding USDC (USD Coin) on platforms like Coinbase or Gemini, it is usually considered safer compared to staking crypto coins because USDC is a stablecoin that is pegged 1:1 to the US dollar. Therefore, price fluctuations are relatively small. However, there are still risks associated with the platform itself, such as the risk of bankruptcy or security issues that could affect your funds.

Totally valid.
Stables are go-tos in terms of staking.
Otherwise - it's your responsibility to do the research if it's really worth it.

The only thing that justifies staking especially when the price of the said asset goes down is if you have zero plans to sell and want to hold long term. Staking will provide an opportunity for you to offset some of the asset value. if the value of the token goes down, the rewards from stakimg will go a long way to offset it. If the price goes up instead, that's even better.

The only crypto staking that doesn't pose any risks apart from infrastructure/protocol risks are stablecoins. The only risks with this is if the stablecoin project or say the firm handling the staking management (like coinbase) shutdowns.

There are safety risk everywhere but provided you as a user and the platform too are doing good practices, there are defi staking or stable coin to stable coin liquidity pair that would earn you much higher in USD interest. I'm getting around 24% in USD staking. There are obvious risk of the platform being hacked in some way or your private key being compromised from your side but if we maintain security steps from our side and only choose the best ones, it's a good approach to beat bank and inflation.

I believe that we are going to end up with staking becoming something bigger when crypto prices rise even more. We are talking about something that will be getting us income from something bigger. There are so many people who held bitcoin and other coins until they are rich, and they know that they can make so much more money from just staking and they will try to use that for as long as they can, which is an important deal and I think they are going to be happy with it.

I think that's going to eb something that takes time, but we should consider that as something that's not really that complicated to handle, we should consider this as a good thing, but it shouldn't really be worrying, just keep making rich people richer with this method.

I don’t know about such legitimate lending platform for staking my coins, can you recommend to some trustworthy platform? With how much APR in daily/weekly/annually. Yeah, centralized exchanges are too risky to keep holding coins, so staking is also risky. I try to find out about staking on Binance exchange i see they offered 12% maximum APR in annually, but i don’t want to stake in CEX's.

I don't think it is exactly the same, as if you stake in a decentralized manner (doing it by your own) it is safer, as you do not depend on the platform doing the stake for you, you only depend on the network itself to be secure enough and do not suffer from security flaws, which could affect your stake on it.
Take the process of staking Ethereum as an example, you can stake Ethereum both in centralized services like Binance and Coinbase, and also you can do it by your own (if you have enough balance). In the case Binance or Coinbase fails because their interest was not sustainable or because they suffered from a hacker's attack, those who had the stake within tthr exchange wallet would certainly suffer complete losses. On the other hand, if you had your balance staked on your own wallet, using your own private keys to interact with the network, it means it would take Ethereum to suffer a cryptographic vulnerability for your money to get stolen.

So if your balance comply with the minimum staking amount, it is ideal to do so by yourself, instead on going with third party services. Needless to say that there is indeed no sense in staking a Shitcoin, as the reward will be always more shitcoins.  

I don't know about staking on exchanges, but watch out for coins like ATOM, DOT, and probably some others that have unstaking periods (which I've heard the rationale for and still think are ridiculous).  Also, if you can stake a coin using your own wallet and having custody of your own private keys, do that and don't use an exchange.  You've been around long enough to know that, even if we're talking about exchanges with decent reputations and strong regulations like Coinbase and Gemini.


Don't you know you can't stake BTC by now?  Sure, there are places you can use for lending and such, but it's not a PoS coin.


Appealing to fucking idiots.

You're right, it may be a double-edged sword to settle down. Even though one could realize a profit from one's investment, wildly fluctuating silver prices can offset those gains. It is for this reason that many investors weigh the potential return of an investment against the risk of price movements.

In the case of USDC from Coinbase, yielding 5%, the investment is usually low-risk compared to the investment in other much more volatile assets. USDC is a stablecoin pegged to the US dollar. So while it's very stable, it is less valuable compared to more volatile assets.

However, in the context of both Gemini's GUSD and its competitors, the average volume becomes quite attractive. But there is always a trade-off between reward and risk. Often, different strategies and different risk profiles come along with stablecoins and interest rate accounts. Understand specific passwords and the security measures for each particular platform-that is very important.

The options of staking on Ledger Live, such as 9% Tezos and 3% ETH, are really good. But yes, such options are provided by third-party applications, which do the wrapping of your coins in a safe way. This safe wrapping of your coins may be of various natures. Risk is many times related to the protocol and platform you use. Therefore, researching its safety and reliability is important.


Controlling your coins is very important, and it is understandable why one would not want to gamble on them, especially with the risks involved. Staking through an exchange or a platform like Ledger can bring in attractive profits, but as you've pointed out, it comes with its own risks. So long as you get your coins and the platform is safe, that is all that matters.

Whether you bet on any platform or maintain control completely depends on your risk tolerance and your investment strategy. If you value or control, then you take into consideration safety or you will have problems with the fence platform. You can handle your currency directly in case you feel comfortable with the security measures of the platform and the tariffs it offers. Staking is among the means of getting extra returns on your assets.

Finally, in Conclusion It is very paramount to weigh up the benefits of a bet against the risks involved. It is good to carefully weigh these factors, and choose to manage it in accordance with your investment objectives and risk tolerance.

Well those are good interest rates you will earn if you do stake alts like tezos and eth. I did useed to stake coins on a exahnce but now I like to have full control of my coins.
There is still alot of people that does stake coins on exchanges and ledger. But there is people that will not stake just because we never know what is going to happen to those coins.
And it can take some time to get them back if they are being staked. You can stake if you want but it is a good reason you will get those good rates to do it.

as far as I know, most of the LST platform (LIDO, ETHERFI) and so on allow instant withdrawal, no need to wait for lock up period, other platform is mostly the same, but we don't advise to stake if you aren't well versed with how dex works and how to avoid scams, too many scam out there and simply making mistake of connecting your wallet to some random malicious dex will drain your money.

If i were you i'd stick with launchpools from big exchanges, it's easy and usually safe enough, the key here is just to stick with the reputable exchange to not risk your money.

after all, APY is useless if our money got drained by the hacker.

That's the thing with stable coins, you get a stable value of what you're holding but its value is tied with the currency of its attachment and with that, the US dollars. And the rates from these exchanges does varies, it could be 5%-7% but if it changes in the nearest future, don't be surprised because once a lot of people started to stake or deposit their stables on them, they have to adjust the rates due to high demand.

Yes, they're from third parties. You're not holding them anymore on your ledger if you happen to stake there because you pass it on the platform where you'll stake which is the partner of ledger in that case.

Me, I choose not to stake the altcoins that I am holding. I just want to be free and I can sell it wherever I want and even its quantity doesn't add up, I'm just relying to the increased value of it through price increase. Risk free it is and I don't have to be bothered if defi platforms or staking platforms get exploited.

Of course for investment purposes, buying and accumulating of AltCoins is of one goal which is a point of gaining profits and staking of the coins is like holding your your assets in the market where your goals are being determined if going to be achievable or not.
That's why it's actually good to make research being staking an AltCoins in as much the periods of how long they could last to provide valuability differs due to their volumes of volatility and how they could maintain stable values in a specific period of time while coins are at staked.

Well, if you just purchased the coin or token and you are waiting for a temporary price pump before you sell off, while you are waiting, you can use the opportunity to stake your tokens just for a temporary period and when the price of the token has gotten to your expected price, it's better you just un-stake the token and sell it off at a better price, because if you don't sell, the token might dump and even the APY you will get from your staking period will be meaningless after the price dump.
 
I wouldn't risk any USDT on a third party exchange for a common 5% APY.

Staking the coin can give you return by getting the reward in some period. You can get the reward by daily, weekly, or monthly so you will not think about the other except the price of the coin. Staking the coin help you to increase the amount without you buy the coin.

But the risks behind that is if the coin price increase suddenly, you can not sell it because the coin is locked for some period. But if your goal is for long term and you know that the coin price can increase so high in the future, you will wait until the staking is end. You can use third party such as exchange to stake your coin with a nice percentage.

Each people will have their consideration to staking or not staking. If they only want to hold the coin because of not want to late to sell the coin when the price increase, they will not stake the coin. Besides that, you must know the other risks before you decide.

Wow! You have lots of questions there, which one is the most important to answer? I'll answer questions that I can answer, let's straight to the point.


Third parties can be safe or unsafe, depending on the entity that looks after them. If that entity has high credibility, there's nothing wrong with entrusting our tokens to them for staking.


Sure, if this holder has a speculative type, it's not good for staking, because we never know whether the tokens we're holding will rise in the near future or not, I'm one of the people who has regretted staking, I staked Oasis Network (ROSE) and a few weeks later the token price up 3 - 4 times, I was helpless with my staking because I couldn't sell it and had an unstake period before the token was returned to me.

All points were well delivered. Some more research should be put while going into the DEXes (checking contracts, what to choose exactly, etc.), but, overall - it all depends on the platform and maybe there is a promotion of sorts (on CEXes, usually) which would get a person better options for staking.

Can you unstake them at any time? 


Are there any safe places to stake btc, eth and those top coins?

You can stake in defi with stablecoin, for example lending platform or providing liquidity (higher risk of volatility) in uniswap. the APR isn't any inferior to staking in cex.
even staking in cex with stabelcoin still have its own risk, which are if the cex somehow collapses like ftx or if the stablecoin lose its peg, I personally always avoid stablecoin with low market cap and unaudited reserves.

you should stake altcoin if you want additional profit, the only thing you should be concerned is the locking time (if any) since it will expose you to the risk of volatility that causes you to lose money like you mentioned and contract breach (be sure to stake only in audited contract).
 

I know many coins out there, you could stake and get interest on it.  The issue is if you buy that coin and say the coin drops in price, even if you earn money from staking, the price of the coin dropping means you would lose money.  It seems the only safe staking is coinbase with usdc where you get 5% correct?  However, is that still not safe like how gemini use to offer like 7% or more on their gusd?


On ledger live, it seems to show how certain coins you could earn interest in it like tezos which is 9%.  ETH is like 3%.  There are several other coins which is under 10%.  Those are with 3rd party right?  Are those safe?


Now if someone is going to hold an altcoin and can stake it, is there any reason not to stake it?  This is assuming you already bought that altcoin a while back and don't plan to sell it.  Staking altcoins isn't similar to like how people staked with nexo and celsius a while back or it's the same?