Kraken Staking Rates APY VS Coinbase Staking Rates Rewards

How to start staking at Coinbase or Kraken

Welcome, 

In this article we will compare Kraken staking rates APY VS Coinbase staking rewards

We answer questions like:

How to stake on Kraken or Coinbase?

What cryptocurrencies can I stake on Kraken and Coinbase?

Where can I earn the best interest rates on each cryptocurrency?

Staking is a great 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 Proof-of-stake?

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 staking validators.

What Cryptocurrencies can I stake on Kraken and Coinbase?

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.

Crypto

APY Kraken

APY Coinbase

Kraken Staking VS Coinbase staking

Below, we have summarized the Kraken VS Coinbase staking in a bullet list

  • Kraken has more staking alternatives than Coinbase
  • Kraken has better interest rates (staking rewards) than Coinbase
  • Coinbase is a larger exchange than Kraken 
  • Coinbase have a more user friendly interface than Kraken
Also, don´t forget too see other alternatives than just Kraken and Coinbase. For example, Binance, Celsius and NEXO is offering great interest rates on the listed cryptocurrencies as well. Read more in these articles
  1. Best Ethereum ETH interest rates
  2. Best Algorand ALGO interest rates
  3. Best Cosmos ATOM interest rates
  4. Best Tezos XTZ interest rates
 

Is Staking Crypto On Kraken and Coinbase worth it?

Many people ask themselves if staking cryptocurrencies are worth it?

Yes, of course it is worth it. It’s almost free money. 

Or another way you can look for it is that you actually lose in value if you don’t stake since the staking rewards are similar to the inflation in the network many times.

So you can earn extra crypto, or protect the value of your portfolio, by staking and there is actually no work input that has to be done. 

The only thing you should check up is how staking rewards income are taxed in your jurisdiction.

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.

Many countries are eligible for staking at Coinbase with more adding to the list all the time. For the most recent information, see this link about who is eligible for Coinbase staking.

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.

  • Ethereum 5-7%
  • Tezos 5.5%
  • Kusama 12%
  • Cardano 4-6%
  • Solana 6.5%
  • Kava 20%
  • Cosmos 7%
  • Polkadot 12%
  • Flow 4.6%
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 USA crypto exchange review.

Kraken VS Coinbase Summary

Let´s summarize the Kraken staking rates APY VS Coinbase staking rewards.

  • Kraken is offering better staking rates
  • Both Kraken and Coinbase are regulated US exchanges
  • Both Kraken and Coinbase are serious crypto exchanges with a great track record.
  • Coinbase user interface is a bit more user-friendly than Kraken’s user interface

Should I stake my crypto on Kraken or Coinbase?

Both are great alternatives but Kraken is offering better staking rates and APY for your cryptocurrencies. Also, Kraken has lower fees in general for deposit, trading and withdrawals. Therefor, we prefer to stake on Kraken rather than Coinbase between those two alternatives.

Facebook
Pinterest
Twitter