Binance Smart Chain (BSC), one of the lucrative blockchain technologies, runs on a proof-of-stake authority (PoSA) consensus which confers lower gas fees and faster transactions on the network. Staking is a more sustainable alternative to PoW-related mining where users earn rewards on their staked tokens.
The staking protocols are evaluated by taking a wider look at its features such as staking reward options, annual percentage yield (APY), incurring fees imposed and the lock-in period, duration of the token’s custody on protocols.
Top 7 Contenders
AQRU is a beginner’s crypto staking platform which is user friendly. Investors can deposit a minimum fund worth of $100 USD either as fiat via banks, credit and debit cards or as cryptos via their crypto wallets. BSC supported stable coins such as Tether (USDT), DAI and USDC earn a 12% APY whereas major crypto coins, Bitcoin and Ethereum, earn upto 7%. Interest rates are generated on the tokens by lending them to borrowers and other DeFi protocols that later on provide their liquidity fees in return.The returns are paid on a daily basis.
Staked assets have no lock-in period on AQRU. No fee is charged for any fiat withdrawal. However, a $20 USD is charged on crypto withdrawals, making this incompatible for small and short-term investments.
Crypto.com, one of the popular crypto exchanges, offers 250 tokens along with other crypto services such as crypto loans, credit and debit cards. Interest rates are paid daily through the acquisition of the borrower’s fee. APY offered on BSC stablecoins such as USDC and True GBP ranges upto 12% whereas on non-stablecoins, it is upto 3%. Returns on this platform are paid weekly.
Crypto.com provides customizable lock-in periods of 1 month to 3 months. Different payment options and easy fiat-to-crypto conversions are offered by charging low fees.
BlockFi is an on-chain and off-chain staking protocol especially meant for the intermediate and pro-crypto community. It offers an APY upto 11% on 13 different crypto assets including BSC tokens such as DAI, USDT, USDC, BUSD, MATIC and LINK. Interests are paid monthly to users who possess BlockFi Interest Accounts (BIAs). Despite providing flexible lock-in periods and no required minimum deposit, the restrictions on monthly withdrawals and non-availability in the US are major cons.
Coinbase, one of the largest crypto exchanges, offers custodial and user-friendly staking services to six crypto tokens and the seventh one, ETH 2.0 will soon be up on the list. It supports BSC tokens such as Cosmos (ATOM), Tezos (XTZ), DAI and USDC. The platform provides 5% APY on non-stablecoins and 2% APY on stable coins.
Investors can easily purchase and stake tokens using debit or credit cards on the exchange by paying a 4% incurring fee. The lock-up period varies for every tokens and the payout cycles also depend on those.
Binance, the native crypto exchange for BSC tokens, is popular among investors for its high interest rate rewards and brief lock-in periods of 10 days, 30 days or 90 days. Solana (SOL) which has 10-day lock-in period gains an APY upto 10.72% whereas Shiba Inu (SHIB) earns an APY upto 8.78%. Stablecoins gain yields upto 3.78% whereas non-stablecoins gain upto 150%. These returns are paid daily.
Binance offers crypto saving accounts that provide interest rates on passive crypto assets. It charges a 0.10% fee on every trade.
Kraken, one of the oldest exchanges existing since 2011, supports more than 100 cryptocurrencies. Kraken supports BSC tokens such USDT, DAI< USDC and ATOM. ATOM is the only BSC token to earn a double-digit interest rate, 12%, on the platform. Depositing funds on this platform is easy via fiat or any digital asset. The rewards are paid out twice a week and it varies depending on the tokens.
Crypto funds or fiat funds can be withdrawn from the network without being charged any incurring fees. Staking in Kraken is user-friendly to the newbies and pros of the crypto world.
Nexo, a famous digital asset institution possessing over a 3.5 million user base, provides an APY upto 17% on 37 BSC tokens. Tokens such as AXS, MATIC, ATOM, BNB and LINK are listed. Users are more lured by the flexible lock-in period of the tokens and insurance coverage for staking. Additionally, NEXO tokens with a 2% interest rate are also added to the staking pools. Rewards are paid daily to the stakers.