Best Crypto Staking Platform in Australia – How to Stake Crypto in 2023

A stake in crypto involves locking up your digital tokens for a while, which helps to ensure the security and efficiency of the blockchain.

Staking your tokens will allow you to earn interest in exchange. This guide reviews the best crypto staking platforms in Australia for 2023 and walks you through how this segment of the industry works.

Best Crypto Staking Platforms in Australia List 2023

Before we review the best staking solutions, let’s look at some of today’s best crypto staking platforms.

1. DeFi Swap – Overall Best Crypto Staking Platform In Australia
2. OKX– Availability of several tokens to earn a variety of APYs
3. AQRU – An Easy-to-use Crypto Staking Platform in Australia
4. Crypto.com – Top Crypto Staking Platform With Flexible Withdrawals in Australia
5. BlockFi – The Best Stablecoin Crypto Staking Platform in Australia
6. eToro – The Best Crypto Staking Platform for Low Fees and Regulation in Australia
7. Coinbase – Popular American Exchange That Also Offers Crypto Staking In Australia
8. Binance – Excellent Platform For High Staking Rewards In Australia
9. Kraken – The Best On-Chain Staking Platform With Attractive Yields in Australia
10. Nexo – Earn APY of up to 8.5% on Bitcoin Holdings in Australia

Best Crypto Staking Platforms in Australia Reviewed

While searching for the best crypto staking platforms for 2023, we focused on specific criteria. An investment perspective included metrics such as yields, lock-up terms, and supported tokens.

In terms of security, we looked into whether each platform is licensed and what precautions are in place to ensure your crypto staking is conducted safely.

Below are the results of our crypto staking platform reviews.

1. DeFi Swap – Overall Best Crypto Staking Platform In Australia

As a fascinating alternative to the world of cryptocurrency exchanges, DeFi Swap has garnered a great deal of attention. By introducing its native DeFi Coin (DEFC) token, one of the main goals of DeFi Swap is to make staking more convenient for users.

Users can earn interest rates ranging from 30% to 75% APY with four participation periods. The returns will be higher the longer the time passes from the day your coins are locked to the day they are unlocked. You can select various periods, including 30, 90, 180, and 365 days.

Using this service works much in the same way as liquidating pools, except you will not be able to withdraw your assets until the lock-up period is over.

Not just the DEFC coin can be purchased via the DeFi Swap platform. Additionally, numerous pairs of digital assets can be traded on the exchange such as DAI and ANKR. Similarly, it is possible to use stablecoins to purchase native currency so that investors can get a higher return on investments with cryptos such as USDC or USDT.

Cryptoassets are a highly volatile unregulated investment product.

2. OKX- Availability of several tokens to earn a variety of APYs

OKX offers a token known as OKB, which you can benefit from if you want to invest in Australia. The APY ranges vary based on holding or flexibility. Also, in the case of Ethereum, for example, you will not be able to bet less than 0.02 ETH.

On this platform, you can not only make stakes, but you can also use it to save, make loans backed by cryptocurrencies, and even mine. Furthermore, OKX has a fully decentralized mode called OKX Wallet, in which you can make trades if you use a DEX, explore the market, and discover the best DApps.

OKX also supports margin lending, earning cryptocurrencies through stakes and savings, cryptocurrency-backed loans, and advanced products such as mining pools and its blockchain, OKC. The platform also features a decentralized method - OKX Wallet, which you can exchange through a built-in DEX, explore the NFT market aggregator, and discover the best DApps.

Your Money Is At Risk.

3. AQRU - An Easy-to-use Crypto Staking Platform

The second crypto staking platform that should be considered is AQRU. This provider's website was designed with an easy-to-use interface and minimal jargon to attract new users. As a result, it appealed to newbies. Additionally, you can easily access your crypto staking account from the Aqru app.

Besides fiat currency, this cryptocurrency lending platform also supports digital tokens. EUR and GBP are included in the former, including large-cap tokens like Bitcoin and Ethereum and stablecoins like Tether and USDC. There is a wide range of yields depending on the type of crypto asset that you choose to stake.

As an example, supported stablecoins return 12% per year. Ethereum and Bitcoin, respectively, yield 7% per year. For this reason, Aqru tops our list of the best crypto interest accounts and staking platforms.

These platforms can offer you these APY rates by lending your capital to retail and institutional investors. Therefore, take the risk into account. For example, there are no fees associated with withdrawing funds in fiat currency from the AQRU platform. In contrast, Aqru charges a flat withdrawal fee of $20, making it unsuitable for small investments.

In addition to its great interest rates, Aqru is also one of the best crypto loan sites.

Cryptoassets are a highly volatile unregulated investment product.

4. Crypto.com – Top Crypto Staking Platform With Flexible Withdrawals

With millions of clients, Crypto.com is now one of the world's largest cryptocurrency exchanges. Crypto.com offers simple, low-cost exchange services for over 250 tokens, and it is also involved in several other crypto-centric products.

Crypto.com offers digital asset loans, crypto credit cards, debit cards, and NFT markets as part of its Crypto Earn program. After you deposit your chosen digital tokens, Crypto.com will allocate the funds to loan capital to your account. In addition, you will receive daily interest from the end-borrower once the end-borrower repays the funds.

Three factors determine the rate. First and foremost, APY rates will vary based on the token. For example, a stablecoin such as USDC or TrueGBP offers an annual yield of 12%, while Bitcoin and Ethereum offer 6.5%. A second factor that affects the rate you receive is whether you lock up your tokens for one month or three months.

Finally, Crypto.com's native digital asset - CRO tokens - will earn you a higher APY. You must remember that Crypto.com lends out the funds, so the tokens can generate interest no matter which tokens you choose to stake. A credit card can buy various digital tokens with Crypto.com for just 2.99%, making it an attractive option for active traders.

Cryptoassets are a highly volatile unregulated investment product.

5. eToro – The Best Crypto Staking Platform for Low Fees and Regulation

With an SEC-regulated low account minimum and competitive fees, eToro is an e-commerce cryptocurrency broker. eToro offers a platform for staking idle cryptocurrency investments. At eToro, your tokens are staked as soon as you purchase digital assets.

eToro offers automated staking rewards for three crypto-assets at the time of writing. Ethereum, Cardano, and Tron are among them. eToro membership fees differ based on your location and membership status. Bronze members and US clients, for instance, will receive 75% of the eToro staking yield, while diamond and platform+ account holders will receive 90%.

eToro also offers the best crypto staking platform for 2023 if you wish to have a flexible arrangement. In other words, your cryptocurrency tokens are not locked up. eToro tokens will continue to earn staking rewards until they are cashed out. The result is that no stake coins need to be moved between competing platforms.

Staking with eToro provides various additional benefits. You may also deposit US dollars for free using a debit/credit card, a bank wire, or an e-wallet if you wish to buy crypto on eToro. You only need to cover a spread of 0.75 % instead of paying expensive commissions.

Cryptoassets are a highly volatile unregulated investment product.

6. Coinbase - Popular Exchange That Offers Crypto Staking As Well

Crypto enthusiasts who want to buy or sell digital assets in a safe environment might consider Coinbase a possible crypto staking platform. It is because Coinbase provides a regulated and user-friendly exchange platform, in addition to staking. The platform currently supports six cryptocurrencies.

Ethereum, Algorithm, Cosmos, Tezos, Dai, and USDC are part of the list. USDC offers an APY of 0.15%, and Cosmos offers an APY of 5%. There may be more staking coins added in the future. On Coinbase, staking rewards are not dependent on cryptocurrency purchases. Tokens can be staked from external wallets as well.

It takes less than five minutes for you to open a Coinbase account after providing some basic information and a copy of your government-issued ID. Afterward, you can immediately purchase staking coins with your debit or credit card if you do not already have any. However, this payment method is associated with a fee of almost 4%.

Cryptoassets are a highly volatile unregulated investment product.

7. Binance – Excellent Platform For High Staking Rewards

If you are interested in earning high rewards from crypto staking, Binance is a great tool. This popular exchange platform supports almost 100 different staking coins of varying APYs and projects. Binance also offers a variety of options for how long your tokens will be locked up. Generally, this covers a period of 10, 30, or 90 days.

Binance's website shows Moonbeam (GLMR) as having a lock-up period of 10 days and a yield of 239%. Shiba Inu and Solana also offer APYs of 8.78% (30 days) and 10.12% (10 days), respectively. Binance typically offers higher yields for shorter lock-up periods.

You are unlikely to lock in an APY for more than one month because rates change daily. As a result, the best deals tend to sell out quickly in each staking pool, with a maximum allocation. As soon as you've met your staking requirements, you might want to consider cryptocurrency trading with Binance. The platform offers access to over 1,000 markets (60 in the US) at industry-leading prices.

For trading, Binance charges a maximum of 0.10% per slide. Each $1,000 trade is charged a fee of $1. Bitcoin savings accounts are also available on Binance. You will receive interest on idle crypto assets if you deposit funds. Additionally, you will have access to a specific APY rate based on the cryptocurrency and lock-up period. The lowest APY rates are typically found with flexible savings accounts.

Cryptoassets are a highly volatile unregulated investment product.

Best Crypto Staking Platforms in Australia - Rates Comparison

What is Crypto Staking?

Those who invest in cryptocurrencies are likely to hear about staking quite often. Many cryptocurrencies use staking to verify transactions, allowing participants to earn rewards.

But what is crypto staking? Staking is committing your crypto assets to support a blockchain network and confirm transactions.

Cryptocurrencies that use the proof-of-stake model can be used for payments. That is more energy-efficient than the original proof-of-work model. However, computing power is needed to solve mathematical equations in the proof of work process.

Staking is a great way to generate passive income from your cryptocurrency, as some cryptocurrencies offer high rates for staking. However, before you can begin staking cryptocurrency, you must thoroughly understand how it works.

How Does Crypto Staking Work?

Some of your digital tokens are locked up during crypto staking to facilitate safe and efficient transactions on a proof-of-stake blockchain.

Therefore, you can earn regular income from your tokens over and above capital gains instead of keeping them idle in a traditional wallet. Here's a brief explanation of how crypto staking works:

Let's say you want to stake ADA on the Cardano network

• The APY here is 10%
• If you stake $5,000 worth of ADA tokens over three months
• A stake of $5,000 over a year will earn you $500, so a stake of $5,000 over three months will earn you $125

You will receive stake rewards in the token of your choice. As a result, in the example above, you would receive your $125 stake reward in ADA.

In addition, when your crypto is locked away, you will still enjoy an increase in the token's value. For example, if you stake $1 at the beginning of the lock-up period and $1.50 at the end, your tokens will increase by 50%. Crypto staking rewards you on two fronts, which makes it attractive.

We should note that staking requires downloading the ledger nodes of each blockchain network to your computer. Therefore, you staked tokens directly with the blockchain ledger via a supported wallet.

Over the years, staking has become much more convenient for both beginners and experienced investors.

At this time, the best crypto staking platforms are third-party providers that only require token deposits to earn interest. Consequently, staking rewards are possible even on non-proof-of-stake coins since leading platforms offer savings accounts with interest.

Lock-Up Periods

Almost always, staking crypto directly through a blockchain node requires a lock-up period. After the lock-up period, your crypto assets will not be able to be withdrawn.

You will still receive stake rewards if the tokens are locked up. Therefore, you do not need to spend your original principal investment before the end of the agreement.

Our research also revealed that the best crypto staking platforms offer flexible programs. For example, despite receiving a lower interest rate, you can always withdraw your staked coins.

Mining vs. Staking

Often, people confuse mining and staking. However, these are two distinct processes.

• Mining is used to verify and confirm transactions on blockchain networks.
• Mining usually requires expensive hardware inserted into specialized devices that consume a lot of electricity.

New tokens are minted in exchange for the contributions of miners, which can be used to earn rewards. A Bitcoin miner receives 6.25 BTC every ten minutes, for example.

Moreover, mining is highly inefficient, especially on popular networks like Bitcoin.

Staking is, therefore, more advantageous. You don't need to buy hardware devices or use a lot of power to stake cryptocurrencies online.

You have to choose the best crypto staking platform for your needs, deposit the tokens, and then sit back and enjoy passive income.

On-chain vs. Off-chain Staking

Additionally, staked cryptocurrency also involves understanding whether the process will be initiated on-chain or off-chain. As its name suggests, on-chain staking consists of staking your tokens directly on the respective blockchain network.

This involves downloading the entire blockchain ledger to your desktop and connecting to a node using a wallet that supports it. While this method allows you to interact directly with the blockchain, on-chain staking should only be used by those with a deep understanding of cryptocurrencies.

You're better off using an off-chain staking provider to keep things simple as a beginner. The majority of staking platforms today provide off-chain services, so you don't need any prior experience to get started.

As opposed to the blockchain network, your agreement is with the staking platform; therefore, you need not do anything else once you have selected the platform, cryptocurrency, and lock-up period.

Benefits of Staking Crypto

Crypto staking is not for everyone, especially if you intend to trade digital currencies actively. If you're considering whether or not to stake your cryptocurrency, consider the following benefits.

Earn Interest on Crypto Investments

If you hold traditional stocks in your portfolio, they will pay you dividends every month.

By holding cryptocurrencies, you can only make money if their value rises and you sell them. Therefore, staking platforms are the only place where you can invest your long-term crypto funds.

You will earn interest while you stake your tokens for as long as you choose. As a result, you will be able to increase your crypto wealth from two fronts simultaneously - as you will still benefit from the rising value of the underlying digital asset.

Compound Interest Strategy

Using dividend stocks as a guide, you can benefit from compound interest.

• You can immediately reinvest it back into the same stock whenever you receive a dividend payment.
• If you received $150 in dividends from Johnson & Johnson, you could purchase two additional shares based on the current price.

When you repeat this process to earn more interest, dividends are paid on a larger number of stocks.

In this space, the best staking platforms distribute rewards every day. As a result, your holdings increase every time you receive staking rewards in the form of new tokens. Furthermore, by reinvesting the tokens back into the staking platform, you can increase your daily payouts exponentially.

Hedge Against Falling Crypto Prices

Crypto staking also offers the benefit of protecting you against falling crypto prices. Think of yourself as a long-term investor with a portfolio of $5,000 worth of digital currencies.

Seeing your portfolio's value decline can be disheartening as the broader markets decline.

Staking your cryptocurrency tokens will still give you rewards, even if a digital asset is underperforming.

Staking Doubles up as a Storage Facility

You will need to deposit digital currencies into a wallet controlled by the crypto staking platform to earn interest.

While it may seem risky at first, you will not have to worry about it if you use a regulated entity.

• Among other reputable financial organizations, the SEC has authorized and regulated eToro.
• As a result, you can rest assured that your stake tokens are secure.
• Furthermore, if you use a trusted staking platform, you won't have to worry about keeping your private keys safe.
• It is the staking site's responsibility to keep your wallet secure.

It is important to avoid assuming that all crypto staking platforms are safe. Make sure you thoroughly research your chosen provider since anyone can set up a website offering staking services.

The 5 Best Crypto Staking Coins

You can invest in many cryptos if you're wondering which one to choose. Regardless of whether it's a proof-of-stake project, the best staking platforms in this industry let you earn rewards on digital currencies.

Here are the five best crypto staking coins to consider for your portfolio.

Cardano – Overall Best Crypto to Stake

Because of its popularity as a proof-of-stake cryptocurrency, Cardano is one of the best blockchain networks for earning rewards. You invest in a legitimate protocol with Cardano, an asset class worth billions of dollars.

The best crypto staking platforms list includes eToro and Binance, supporting Cardano. Moreover, the tokens you stake on your chosen platform will still increase.

With Cardano generating gains of over 1,000% in 2021 alone, this is a great chance to double your income and capital gains.

USDC – Best Stablecoin to Stake

Stablecoins like USDC are the best bet if you wish to earn passive income and avoid the volatility of broader markets when staking crypto.

You can stake other stablecoins, but Coinbase backs USDC, so you can rest assured that you are investing in a trusted digital asset. In addition, USDC's reserves were audited, unlike Tether, its fellow stablecoin provider. In other words, every USDC token is backed by a US dollar 1:1.

With USDC, you can earn interest without worrying about volatility, allowing for some of the best staking rewards. For example, with USDC staked at Aqru, you earn 12% per year.

The Graph – Best Crypto to Stake for Growth Potential

If you are looking for cryptocurrencies with high upside potential, consider The Graph. As a result, The Graph's underlying technology allows blockchains to index data, backing this cryptocurrency.

Because of this, blockchains can automatically move unnecessary data off-chain, resulting in a more efficient network by eliminating unused space. Moreover, The Graph can be easily staked on several leading platforms, with some providers offering double-digit APYs.

Ethereum – Best Crypto to Stake On-Chain

Ethereum is still transitioning from proof-of-work to proof-of-stake, although rewards can still be earned directly on the blockchain. To become a registered validator, you must stake 32 ETH. Considering current prices, this amounts to a capital investment of over $85,000.

On the Ethereum blockchain, you can also participate in a staking pool. You can stake Ethereum with a small amount of money if you join forces with other token holders. The rewards offered to depend on how busy the network is and how much fees are collected.

BNB - Best Crypto with No Fees to Stake

Staking Bitcoin with the Trust Wallet cryptocurrency app would be an appropriate alternative if cryptocurrency staking platform fees are a deterrent since the app does not charge you a fee for staking BNB. Therefore, you stand to gain 100% of the stake reward generated.

By staking BNB tokens through the Trust Wallet app, you will earn an attractive APY of 11%. The rewards are also paid out daily to earn compound interest. Moreover, Trust Wallet does not require any lock-up period so that you can withdraw your BNB tokens.

Is Crypto Staking Taxed?

The specifics of cryptocurrency taxation depend on your residency status and personal profile. Therefore, it would be advisable for you to seek the advice of a qualified professional regarding tax matters.

In addition, some countries will tax stake earnings - though the rules may vary from country to country.

As an example, Coinbase notes:

Like mining profits, staking rewards are taxed the same way: based on the fair market value of the reward on the day it was received

Potential Risks of Crypto Staking

In addition to potential rewards, there are some risks to consider. Consider the following risks before investing since the sentiment also applies to stakes.

Platform Risk

Staking crypto is directly associated with the risk posed by third-party platforms.

You will need to deposit your crypto tokens into the wallet of your chosen provider before you can begin staking.

Therefore, you must trust that the platform is working for your benefit. Even if the staking platform is hacked, you could still be at risk.

Market Value Risk

Often, stakes are viewed as an income guarantee. However, it is still important to consider the market value of the respective cryptocurrency regardless of whether the staking platform meets its advertised APY and makes subsequent payments on time.

For example, assume you join a staking platform that offers a 50% yield per year on your cryptocurrency of choice.

Suppose you decide to invest $1,000 in tokens. With one year of staking, you have earned 50%, or $500.

However, the value of the respective cryptocurrency has increased by 80% after a year of staking. As a result, even though you earned 50% more tokens, your original investment is now worth just $200

As a result of the above example, you should probably try to diversify as much as possible when staking crypto coins. Doing so will reduce the risk of overexposure to a particular project.

Conclusion

This comprehensive guide covers every aspect of crypto staking. In addition, we include a list of top crypto platforms for 2023 and the best coins to consider.

Additionally, we have discussed the advantages and risks of crypto staking and whether we should opt for off-chain or on-chain agreements.

When it comes to crypto staking platforms for complete beginners, we found Aqru to be the best.

AQRU – Best Platform to Stake Cryptocurrencies in Australia

Cryptoassets are a highly volatile unregulated investment product.

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