Staking crypto can be a lucrative business. By staking tokens within a blockchain protocol, you contribute to the operation and security of the network. As a reward, the network pays out coins to the people who have helped the network. As a result, it is possible to earn a return on your tokens. In this article, you can read what Coinmerce believes are the 5 best crypto coins to stake in 2022.
1. Mina Protocol (MINA)Mina Protocol
is an incredibly "small" blockchain that always has a size of only 22kB, regardless of the number of transactions the blockchain has already processed. This means that the blockchain is smaller than most images on your smartphone. In early 2022, Vitalik Buterin, co-founder of Ethereum, was still praising Mina Protocol.
Within the network of Mina Protocol, a Proof of Stake mechanism is used. To be able to send and receive transactions, you will need to set up your own node within the network. It is therefore possible to stake MINA, although there are other ways to do so too.
How can I stake Mina Protocol (MINA)?
You can stake MINA by setting up a validator in Mina Protocol's network, although it is easier to do this at Coinmerce. Here you can stake Mina Protocol directly from your wallet. First, you have to buy MINA tokens, after which you can earn an interest of 6% per year on the MINA tokens you use for staking. It is only possible to stake MINA when you have at least 10 euros invested.
2. Tezos (XTZ)Tezos
is a blockchain that can be compared to Ethereum. This is because the blockchain supports smart contracts, which allows developers to program a decentralized application (dApp) on the blockchain. In addition, it is also possible to run NFTs on Tezos' blockchain. As recently as 2022, Tezos came out with a Manchester United partnership, which has given the blockchain a lot of attention.
One big difference from Ethereum is that Tezos uses Proof of Stake. Anyone can set up their own validator node within the Tezos network, contributing to the security and operation of the network.
How can you stake Tezos (XTZ)?
It is possible to stake Tezos at Coinmerce. You do this by first purchasing the XTZ-tokens at Coinmerce, after which you can use the tokens for staking with just a few clicks. You don't have to do anything more, and Coinmerce will take care of paying out the returns. By staking Tezos (XTZ) at Coinmerce, you can earn an interest of 4% per year. For this, you will need to stake a minimum of 10 euros worth of Tezos.
3. Polkadot (DOT)Polkadot
is a popular blockchain for application development. Within Polkadot's ecosystem, developers can create new blockchains called parachains. These parachains provide a basic blockchain framework, allowing developers to fully focus on their application development.
Polkadot's network uses Nominated Proof of Stake (NPoS) and can process transactions at lightning speed and at low cost. Partly because of this, this blockchain is becoming increasingly popular among developers and crypto traders. It is possible to stake within the network of Polkadot to contribute to the further development of this blockchain.
Where can you stake Polkadot (DOT)?
You can stake Polkadot's DOT token at Coinmerce. So you don't need to set up your own validator node within Polkadot's network. Instead, you buy Polkadot with for example iDEAL, SEPA or Bancontact, after which you can stake the tokens directly from your wallet. Staking Polkadot (DOT) at Coinmerce can earn an interest rate of 5% per year. You will need a minimum of 10 Euros in Polkadot to start staking.
4. Kusama (KSM)Kusama
is a parachain within Polkadot's ecosystem. It is also referred to as Polkadot's test network, as this blockchain is widely used to test out new features and applications for Polkadot. This way, developers can get bugs and vulnerabilities out of their software before they go live.
Like Polkadot, Kusama also uses a consensus algorithm based on Proof of Stake. Therefore, it is also possible to stake on Kusama's network, where you can earn rewards of up to 10%.
Where can I stake Kusama (KSM)?
You can stake Kusama at Coinmerce. First, you'll need to purchase KSM tokens, then you can use them for staking directly from your wallet. At Coinmerce, you can earn a return of 8% when you use KSM tokens for staking. You'll need a minimum of 10 euros in Kusama to start staking.
5. Cardano (ADA)
is a project that has an awful lot of potential and has already increased in value significantly since its launch. Because the network uses a Proof of Stake based algorithm, it is possible to stake ADA.
How and where can you stake Cardano (ADA)?
Staking ADA tokens is done easily and quickly on Coinmerce's platform. After you purchase ADA tokens, you can stake Cardano directly from your Coinmerce wallet. You can stake from 10 euros, after which it is possible to earn a return of 4.5% per year on the ADA tokens you stake.