Centralised exchanges offer appealing opportunities to increase your cryptocurrency holdings, with Apecoin providing a potential return of up to 69%.
In this post, we will explore the Top 10 Crypto Staking Coins with the Highest Annual Percentage Rates (APR) available on centralized exchanges. This guide will not only help you find the best opportunities to grow your cryptocurrency holdings, but it will also provide a clear understanding of what staking is and its potential benefits
What is Staking
Crypto staking is a term you might often come across as a cryptocurrency investor. It refers to the process of committing your digital assets to support a blockchain network and validate transactions. Staking is available with cryptocurrencies that use the proof-of-stake (PoS) consensus mechanism, which is a more energy-efficient alternative to the traditional proof-of-work (PoW) model.
In PoS, instead of using mining devices, participants pledge their coins to the network and are selected as validators to confirm transactions and add blocks to the blockchain. The more coins you pledge, the higher the chances of being chosen as a validator. When a new block is added, staking rewards in the form of newly minted coins are distributed to the validator.
Staking is an excellent way to earn passive income through your crypto holdings, particularly with cryptocurrencies that offer high interest rates. Before you begin staking, it's essential to understand how it works and which cryptocurrencies use PoS. You can stake your crypto through popular exchanges by selecting the amount you want to commit. Your coins remain in your possession, and you can unstake them anytime, although some cryptocurrencies have minimum staking periods.
In contrast to PoS, PoW consumes a lot of energy, making it less environmentally friendly, especially with cryptocurrencies like Bitcoin that use this mechanism. PoS consumes less energy, making it more scalable and capable of handling a larger number of transactions.
Top 10 Coins with Highest APR
1. Apecoin (APE)
APR - 69%
Locking period – 120 days
ApeCoin is a decentralized token governed by ApeCoin DAO. The token originated from the successful NFT series Bored Ape Yacht Club (BAYC) by Yuga Labs, who has adopted ApeCoin as the primary token for its projects, including NFTs and virtual land metaverse offerings. APE token holders can participate as members in the ApeCoin DAO's decision-making process.
2. Axie Infinity (AXS)
APR - 37.9%
Locking period – 90 days
Axie Infinity is a Pokemon and Tamagotchi-inspired card game built on the Ethereum network. The game uses NFTs to represent unique creatures, abilities, and assets. Players can earn AXS and SLP tokens by playing the game, with AXS serving as a governance token and SLP as the in-game breeding token. Visit the Axie Infinity website to start playing and stay updated through their blog.
3. PancakeSwap (CAKE)
APR - 30%
Locking period – 120 days
PancakeSwap is a Binance Chain BEP-2 based token, managed by Binance - the world's leading cryptocurrency exchange, processing an average daily trade volume of $20 billion. PancakeSwap was established by former Binance employees, and its security is guaranteed through a rigorous audit conducted by top smart-contract security firm, CertiK. Audited DeFi projects, much like audited financial statements of public companies, tend to be more trustworthy than those without an audit.
4. Kava (KAVA)
APR - 24.9%
Locking period – 120 days
Kava (KAVA) is a leading DeFi platform for lending and borrowing cryptocurrencies without intermediaries. Unlike most DeFi platforms, Kava uses the Cosmos blockchain for more functionality and to avoid scalability issues on Ethereum. Kava creates a stablecoin, USDX, pegged to the US dollar and rewards users who deposit crypto as collateral with KAVA tokens. The platform integrates with other protocols through Cosmos "zones", allowing users to add a variety of tokens to the Kava protocol.
5. Cryptex Finance (CTK)
APR - 23.9%
Locking period – 90 days
CTX is the governing token for Cryptex Finance, a platform that offers a token, using the TCAP protocol, that tracks the crypto market's total market capitalization. With CTX, users can vote for Cryptex protocol upgrades. Cryptex Finance focuses on decentralization and stability, offering real-time crypto market information and asset exposure. The platform operates on a collateralized asset model and incentivizes early adopters, liquidity providers, and the community through CTX rewards.
6. COTI (COTI)
APR - 23.65%
Locking period – Flexible
COTI is a decentralized payment network and cryptocurrency that aims to provide fast, cost-effective, and secure transactions through its Trustchain ledger. With a capacity for over 100,000 transactions per second, COTI combines traditional payment methods with digital currencies and offers various digital payment solutions, including COTI Pay and stablecoins.
The COTI network uses a unique combination of proof-of-work and proof-of-trust algorithms to validate and confirm transactions faster. The trust scores of participants, which are based on historical behavior and objective information, play a crucial role in the network's consensus algorithm. COTI is used as a means of payment, staking, and network fee in the ecosystem, with plans to implement a decentralized governance structure in the future. Currently, COTI is only supported on the Ethereum blockchain (ERC-20).
7. Biswap (BSW)
APR - 22.9%
Locking period – 120 days
Biswap is a decentralized exchange platform that offers low transaction fees and a 3-tier referral system for its users. The platform aims to provide fairness and innovation in the DEX market through its services and products. The utility token that supports Biswap is BSW, with a limited total supply of 700,000,000 tokens. Biswap uses a weekly token burning mechanism to reduce the supply of BSW and increase its value over time.
8. Cosmos (Atom)
APR - 21.9%
Locking period – 120 days
The Cosmos network is a blockchain ecosystem that enables interoperability and scalability among blockchains. The network operates using a BFT consensus algorithm along with Tendermint consensus to power its blockchains. The Cosmos SDK is an open-source framework for building multi-asset public PoS blockchains, while the Cosmos Hub serves as the economic center, offering interchain token exchange, interchain security, bridges to ETH and BTC, and interchain token custodianship.
The Cosmos platform addresses three key challenges in the blockchain space: sovereignty, scalability, and sustainability. The SDK aims to provide a cost-free environment for developers to build sovereign blockchain applications, while the network's interchain token transfers and horizontal scalability solutions aim to support millions of users.
9. Ontology (ONT)
APR - 20.38%
Locking period – 120 days
Ontology is a next-gen blockchain network designed to offer a platform for low-cost, high-speed, and decentralized identity and data solutions. The platform aims to enhance trust, transparency, and privacy of users and companies while offering flexibility in creating blockchain solutions within regulatory compliance. It is compatible with Ethereum through its Ethereum Virtual Machine (EVM) and seeks to protect user data and identity through encryption.
Ontology operates on a dual-token model, with ONT and ONG tokens powering its network and facilitating transactions. The ONG token is used to pay for transactions and fees, while the ONT token serves as the primary mode of transferring and storing value. ONT holders can vote on proposed changes and project direction, and earn ONG rewards by staking ONT and contributing to the network stability and security.
10. Tomochain (TOMO)
APR - 19.9%
Locking period – 120 days
TomoChain (TOMO) is a scalable public blockchain focused on enhancing scalability while maintaining decentralization. The network utilizes the Proof of Stake Voting (PoSV) consensus method, which incentivizes token-holders to actively stake and contribute to the network's stability and security. The platform aims to provide an improved EVM-compatible platform for enterprises, entrepreneurs, and institutions to build high-performance blockchain projects.
The TomoChain team aims to speed up the adoption of blockchain technology by equipping today's applications with technology that covers the friction points while preserving its benefits, and plans to expand its Dapps and game ecosystem to accommodate more developers. The PoSV consensus enables the infrastructure to support low fees, and with a two-second transaction validation time and a capacity of 2,000 TPS.
Overview
Staking is a lucrative way to earn passive income through your cryptocurrency holdings. By committing your digital assets to support blockchain networks, you can validate transactions and receive rewards in the form of newly minted coins. Before you begin staking, it's important to understand the process and the cryptocurrency you want to commit to. With a clear understanding of staking and the best opportunities available, you can grow your crypto holdings and reap the rewards.
FAQ - Staking on Centralised Exchanges
How does Simple Earned Staking work?
Simple Earn Staking allows you to earn rewards by holding your coins for a fixed or flexible period of time.
When will I receive my rewards?
How are daily rewards calculated?
What happens if I want to redeem early?
What is the difference between flexible and fixed staking?