How to Stake Crypto at Coinbase or Kraken?

How to start staking at Coinbase or Kraken

Welcome, in this article we will teach you what staking is and how you can do this with Coinbase or Kraken.

Staking is a way to get crypto passive income.

However, staking is only possible for certain cryptocurrencies running proof-of-stake (PoS). For example, Bitcoin is running proof-of-work(PoW) and is not available for staking.

 

Intro - What is staking?

When you stake you actively participate in transaction validation on a proof-of-stake blockchain. Staking can be compared to mining for a proof-of-work blockchain.

For staking on a PoS blockchain you need a minimum balance to stake into the blockchain for validating transactions and earn staking rewards.

The rationale behind this is that you can lose your staking amount if you misbehave. 

Staking on exchanges, like Kraken and Coinbase, makes it easier since you don´t need the minimum amount yourself for staking. Coinbase and Kraken pool their users staking deposits and become validators.

Below, you can see an intro video for staking published by Kraken.

What Cryptocurrencies can I stake?

As previously described, you can only stake proof-of-stake cryptocurrencies. In addition, if you are going to stake on an exchange, like Kraken or Coinbase, you are even more limited.

At Coinbase you can stake Cosmos and Tezos. Kraken support Tezos, Cosmos, Polkadot and Flow for staking.

How to stake Crypto on Coinbase?

Staking crypto on Coinbase is an easy process. We will walk you through how to do this, step-by-step.

On Coinbase you can stake Cosmos and Tezos.

1. Create an account with Coinbase and Deposit

First, you must sign up with Coinbase and create an account.

  • Minimum staking balance for Cosmos is 1 ATOM
  • Minimum staking balance for Tezos is 1 XTZ 
You can buy crypto with a credit card on Coinbase, bank transfer, or deposit the crypto.

2. Make sure you fulfill the Coinbase staking requirements

First, you must sign up with Coinbase and create an account.

These countries are eligible for staking at Coinbase

Belgium
France
The Netherlands
Slovakia
Spain
The UK
The US*
*excluding New York and Hawaii residents

Also, you must have your identity verified, hold the minimum balance required and hold them at Coinbase and not Coinbase pro.

3. How to start staking on coinbase

Below you find short, step-by-step guide to deposit your Coinbase balance into staking.

Desktop

  1. Login
  2. Go to Settings and select Financial Services
  3. Here, you can toggle the Staking Rewards icon on to opt in or out

Mobile

  1. Login
  2. Go to Settings on the iOS or Android app and select Financial Service
  3. Here, you can toggle the Staking Rewards icon on to opt in or out
If you are interested in other services offered by Coinbase, we recommend our Coinbase review.

How to stake Crypto on Kraken?

With Kraken you can stake four different cryptocurrencies. Also, Kraken doesn´t have regional restrictions as Coinbase.

1. Create an account with Kraken

First, you must create an account with Kraken.

2. Log in to Kraken and Get staking assets

Log in to your Kraken account and buy or deposit any of the supported staking coins.

 

3. Select an asset to Stake

Click on Staking in the header menu.

Now, your screen will look similar to the screenshot below.

Make sure you have a positive balance of any of the staking coins.

  • Polkadot
  • Cosmos
  • Tezos
  • Flow
Now, click on the “+Stake” button in the upper right corner. After this, you enter how much you want to stake. Now you can relax and enjoy your staking returns.

If you are interested in other features from Kraken exchange, we recommend or Kraken review.

 

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