- The FTX app allows users to stake their supported balances.
- Staking on FTX and earning rewards is quite simple.
- This guide offers a step-by-step process on how to stake on FTX.
The DeFi (decentralised finance) sector has largely popularised the ability to stake cryptocurrencies in order to earn passive income. This is something that can now be done on most blockchains that offer smart contracts, including Ethereum, Solana, and others.
Of course, staking is also possible on simple to use cryptocurrency exchanges, such as the FTX Exchange. FTX has its own application called the FTX app that allows you to stake your supported balances and earn up to 8% APY.
For the moment, the program is still in beta, and during beta, users will be able to earn a bonus on applicable assets. Staking with FTX is quite simple: you stake your cryptocurrencies and earn rewards on the amount staked.
If you are not familiar with staking, it is like earning interest on money that you hold in your bank account. FTX offers a lot of flexibility for stakers, including the ability to unstake their coins at any time.
If not, stakers can earn up to 8% on the amount staked, although this can vary.
What do you need before getting started?
Before you can get started, there is a short list of requirements — simple things that you need to do and prepare before you actually lock up your cryptos. Make sure that you have:
An account on FTX Exchange, or if you are in the US — its FTX US app (The US version of the FTX website does not offer staking, but the app does).
A cryptocurrency wallet that supports the tokens you will be working with, such as Ledger Nano X.
Cryptocurrencies for staking, which you can import from a private wallet, or buy on the exchange. Some of the more popular cryptocurrencies that investors prefer staking include FTT, SRM, SOL, RAY.
Assets available for staking will be shown in your FTX US account
You do not have to buy coins on FTX if you already own them in a private wallet
You can instruct FTX US to un-stake your coins at any time, retrieve them, and credit it (along with all earned rewards) to your account.
FTX accepts users from US and non-US jurisdictions. The difference is that US traders do not have access to derivatives yet, and the US version instead focuses on standard crypto trading.
How to stake cryptocurrencies on FTX US
Staking cryptocurrencies through your FTX app is fairly simple, and all you need to do is follow a few simple steps.
Ensure that you have cryptocurrencies available in your app. Once again, these can be bought within the platform itself, or deposited from your private wallet.
Next, locate the Invest Tab, and tap Stake.
After that, you need to find and tap the button that says Stake Your Crypto.
Finally, put in the amount and tap Start Staking
The app will transmit digital currencies to the applicable DeFi pool as soon as one is available, and you will start receiving rewards on the coins you staked.
How are rewards determined?
Rewards that you will receive from staking are not fixed, and they will vary from time to time based on several factors, such as the conditions in the crypto industry and the prevailing market conditions.
However, according to historical and current conditions, it is anticipated that your first $10,000 USD staked should earn approximately 8% rewards.
Amounts higher than $10,000 will bring back approximately 5%, although keep in mind that these are simply projections and expectations, and not actual amounts. The actual reward might differ.
Staking has grown to be a very popular way to use your cryptocurrencies without spending them or risking them in trade.
At the same time, FTX has proven to offer excellent staking conditions, as well as a user-friendly platform that allows even newcomers to quickly and easily find their way around. And, once the rewards start coming in, you will realise just how easy it is to use your money to make more money without having to do anything or get exposed to unnecessary risks.
Credit: Source link