In this article · 4 sections
Staking lets you earn a yield by helping secure a proof-of-stake network. It sounds like free money. It isn't — here's how it actually works and what you're risking.
How staking works
On proof-of-stake blockchains, participants lock up ("stake") tokens to validate transactions and, in return, earn newly issued tokens. You can stake directly, run a validator, or use an exchange's staking service.
Updated hourly · as of · CoinGecko · Data provided by CoinGecko
Realistic yields
Advertised yields vary widely and change with network conditions. Treat very high 'APYs' with suspicion — sustainable staking rewards are typically modest, and a headline number often hides fees or extra risk.
Get the Exchange Safety Checklist
Get the free exchange safety checklist (opens right away) and be first to know when our monthly fee update launches. We'll only email you about that; unsubscribe anytime.
We store only your email to tell you when our monthly fee update launches. See our privacy policy.
The risks nobody mentions
Lock-up/unbonding periods can freeze your funds for days or weeks. 'Slashing' can cut your stake if a validator misbehaves. Exchange staking adds counterparty risk. And the token's price can fall further than any yield you earn.
Exchange staking vs self-staking
Exchange staking is convenient but means trusting the platform. Self-custody staking keeps you in control but requires more setup. Neither is 'safe' — both are trade-offs.
Keep reading