Solana has become a popular open-source blockchain since its inception.
It has consistently held a position in the top best cryptocurrencies by market cap and staked amount.
The Solana protocol is built atop a POS (Proof-of-Stake) consensus mechanism.
This means community members can lock-up their tokens in a smart contract on a wallet, or exchange and receive variable rewards.
This guide will provide you with the best places to stake Solana tokens, and how to stake SOL to earn passive interests.
Let’s dive in…
Best ways to stake SOL
Let’s take a look at where to stake Solana, so you’ll be getting the best return on your crypto investment.
Cryptocurrency wallets
Solana holders can also stake their SOL using their wallets, and below are the recommended ones.
1. Phantom wallet
This non-custodial Solana crypto wallet allow its users a way to store and stake their SOL tokens safely.
Phantom wallet provides users with a list of validators.
Be sure to do your due diligence before choosing a validator, as you’re trusting them to earn interest on your behalf.
Additionally, if you have a Ledger hardware wallet, Phantom will also work with it.
2. Exodus wallet
Exodus is compatible with desktop and mobile, and that makes staking Solana simple and easy for its users.
It has its own separate app within the wallet, so you won’t get confused.
Additionally, like the Phantom wallet, Exodus can use crypto hardware wallet to keep your tokens offline.
Unlike Phantom wallet, Exodus supports other cryptocurrencies aside Solana.
On the flip side, you don’t get to choose your validator, you can only earn what Exodus allows you to earn.
Currently, Exodus users are getting 5.77% APY when staking SOL.
3. Atomic wallet
This decentralized wallet offers support for more than 500 different tokens and coins.
If you’re just getting started or looking for a simple way to store and stake your SOL token, Atomic wallet is a solid option.
If you want to purchase more Solana to stake, you can do so through the in-built exchange feature.
Those new to staking will find it a painless and user-friendly process when using Atomic wallet.
Current staking rewards through Atomic wallet are around 7% APY.
Centralized exchanges
CEx platforms are best for participating in Solana staking, so below are some of the best options in the market.
1. Binance (Editor’s Choice)
If you want liquidity when staking Solana, Binance is arguably the best exchange to use.
Being a popular exchange in the world, you’ll have no trouble earning interest on your SOL crypto.
This option may not be available in the United States.
However, keep it in mind that you won’t be able to access your Solana token for an entire lock-up period.
2. Kraken (Available in US Market)
If you are in the United States and want to stake Solana on a crypto exchange, Kraken would be an excellent option.
It’s a safe and reliable platform that offers users a way to earn rewards on their SOL tokens.
As a beginner, you may find the interface a little confusing at first, but with time, you’ll learn to earn rewards on cryptocurrency staking.
To buy or transfer in Solana, head to the ‘Earn’ tab, and enter how many SOL you would like to stake.
It’s really that simple.
On the same tab you will see all the crypto assets you can stake, along with their reward percentages.
Kraken users are currently earning around 6.00% on their staked Solana.
Decentralized exchanges
DEx platforms are yet another way to participate in Solana staking, but they pose more risk on your investment.
Marinade.Finance
This decentralized exchange is one of the first staking protocols developed on Solana blockchain.
Users can deposit their SOL token onto the Marinade platform, and delegate it to a validator of their choice.
In return, investors receive mSOL – a staked SOL token which can be swapped back when needed.
When using Marinade, users have complete control over their tokens – it doesn’t matter if it’s SOL or mSOL.
They also have access to over 400 validators, so they can decide exactly where they want their SOL to go.
Additionally, users have access to a secure and diversified platform that focuses on minimizing bad nodes and protecting against nefarious actors.
Marinade spreads its staked SOL across its validators to mitigate and decrease single points of risk or failure.
Currently, investors using Marinade.Finance can expect a return of 6.03% APY.
Where is the best place to stake Solana?
I recommend staking SOL token on Binance, because they maintain very high security of funds.
Which are the best SOL staking validators?
There are many validators you can select to stake your Solana (SOL) tokens for rewards.
When factoring in highest yields, best security and deepest liquidity for Solana staking, I would recommend these SOL validators as follows; Binance – best overall + highest rewards (13% APY), FTX Exchange – best for security (6% APY), Lido – best decentralized platform (5.7% APY), CoinSpot – best for Australians only (6.6% APY) and Stakefish – alternative on-chain SOL Staking platform (8% APY).
What is Solana staking?
Solana staking is a process where you lock up your SOL tokens to help secure the network and earn rewards.
Staking Solana is safe, easy and a great way to earn extra crypto income on the side.
How much can you earn staking Solana crypto?
Individuals that stake SOL tokens will receive a reward depending on method of staking, platform or exchange that is used and how many tokens staked.
The Annual Percentage Yield (APY) for staking Solana can range between 5 – 7%, although some platforms can offer higher or lower rates.
Why’s Binance the best exchange for staking Solana?
Binance is the best overall platform to stake SOL tokens, because they offer the best security and the highest yield.
As one of the largest centralized exchanges and custodians in the world, their wallet management is very secured.
They also provide advanced staking options that offer boosted yields by locking your SOL for 30, 60 or 90 days.
Is Solana staking safe?
Staking Solana (SOL) is safe, and can help you to earn interest or yield on your tokens.
It’s generally recommend that new users stick to centralized exchange platforms, because they have insurance as a back-stop.
Decentralized platforms may not offer the same assurances and therefore, could pose a higher risk to your funds.
Conclusion
Stop HODLing cryptocurrencies in your crypto wallets, hoping that the value will improve within time.
Put them to work for more passive income through staking.
It’s clear that, there are many places you can earn rewards for staking your SOL cryptocurrency token.
The options above are just for scratching the surface though.
If you’re more comfortable with decentralization, there are DExs which you can use to put your Solana to work.
Always do your research and find the best platform that suits the target goal for your investments.
