Top 5 Best Staking Coins To Earn Rewards In 2022

Staking coins involves the process of locking your coins either in your wallet or in a smart contract from where they can generate interest. The staking process also helps the network to operate more securely and efficiently, a win-win. In order to invest in a coin with staking capabilities, users will need to find one that is built on a Proof-of-Stake (PoS) blockchain network, or something similar.

As we look into the new year and the potential passive income opportunities that are waiting around the corner, we explore the best staking coins 2022.

Top 5 Best Staking Coins 2022

ETH 2.0 (ETH)

We can’t mention staking without mentioning Ethereum’s new upgrade. For the last year or so the platform has been transitioning into a PoS network, moving from Ethereum into ETH 2.0 territory. With that comes staking capabilities, and the network has seen sizable interest.

Since opening the testing phase in December 2020, users have already locked almost $30 billion ETH in the network’s staking pool. Staking ETH requires a strong commitment as the coins will be locked until the platform officially launches (currently estimated to be in the first half of 2022) as well as a deep pocket. In order to stake ETH users will need to fork out a minimum of 32 ETH (roughly $141,000 at the time of writing). The annual returns are expected to be in the region of 4.95%.

Polkadot (DOT)

Polkadot is a top staking option due to the fact that it has impressive scalable, multi-chain technology that was designed by one of the Ethereum co-founders, Gavin Wood (alongside Robert Habermeier and Peter Czaban).

In order to start earning rewards, users will need to have a minimum of 40 DOT staked in the network, roughly $1,150 (at the time of writing). The top 10 cryptocurrency also holds an impressive average annual return of 14%.

Tezos (XTZ)

With impressive gains in 2021, Tezos provides a lucrative staking option due to its more advanced infrastructure providing better smart contracts functionality and their liquid Proof-of-Stake (LPoS) model. Similar to a validator system, new Tezos are created through the network’s own “baking” system, and to become a “baker” requires one to stake XTZ in the network.

On the bright side, the start-up costs are significantly less than the previous two best staking coins, and the average annual rewards are still impressive. Requiring only 1 XTZ in your wallet to start (under $5 at the time of writing), the first rewards are paid out after 35-40 days, and every 3 days thereafter. The annual rewards are between 6.75–10.60%.

SushiSwap (SUSHI)

Known as the platform for staking and yielding, SushiSwap provides a staking service of its own using its native SUSHI token. Users can simply buy SUSHI through Oobit and then transfer it to wallets like MetaMask and Atomic Wallet in order to stake them.

Through staking SUSHI users can also earn xSUSHI earning 5% of all platform transaction fees from Sushi. The annual return rates associated with staking SUSHI are from 7-10%. It’s worth noting here that users will also need ETH to pay for gas fees. You can learn more about the staking process here.

Cardano (ADA)

Often described as an “Ethereum killer”, Cardano is another powerful PoS blockchain network currently sitting in the top 10 biggest cryptocurrencies. Known for its impressive transaction processing time as well as also being founded by (another) co-founder of Ethereum, Charles Hoskinson.

An advantage to staking ADA is that users are able to pull their funds at any time, with no time limits on how long the coins need to be staked. It’s worth noting that the more users staking in the same liquidity pool, the less valuable the rewards become over time. Cardano has two official wallets, Daedalus and Yoroi and an average percentage rate of 6%.

Solana (SOL)

Last but not least, to join the list of best staking coins 2022 is Solana, currently the fifth biggest cryptocurrency by market cap. With low fees and fast transactions, scalability is at the core of the blockchain platform.

Staking on Solana does not require a user to operate their own node, but instead to stake SOL with one of the over 600 validators already on the network. Rewards are earned based on the amount that the particular validator receives. With no minimum amount and a lock-in period of only 5 days, users can expect to earn around 6.6%

Staking Your Way Through 2022

Before you engage in staking we highly recommend that you do your own research and ensure that you understand the risks associated with the activity. While it is an excellent means of earning a passive income, as with anything, there are risks too. Once you’re comfortable with the process you can purchase any of the coins mentioned above directly through Oobit and send them to the relevant staking addresses.

________________________________________________________

Oobit Technologies Pte, 50 Raffles Place #37-00 Singapore Land Tower, Singapore (048623). is a company registered in Singapore (no:201716443G), that has been approved as Appointed Representative of Oobit Technologies OÜ, Harju maakond, Tallinn, Lasnamäe linnaosa, Väike-Paala tn 2, 11415, (no: 14852617 ). Which is authorized and regulated by the FIU (no: FVR001421 and FRK001304).