Ethereum (ETH) is an open-source, decentralized blockchain that is one of the most popular tokens to stake to earn staking rewards paid in ETH. In this article, we explain where to stake Ethereum to get the best ETH staking rewards.
Best Places To Stake Ethereum In 2023
These are the best one-click exchanges to stake Ethereum without a node and less than 32 ETH:
- Binance (best overall for Ethereum staking)
- ByBit (best for active ETH stakers)
- Kraken (best for no ETH staking minimum)
- Coinbase (best for USA customers to stake ETH)
- Ledger Wallet (best hardware wallet to stake ETH)
- eToro (best for beginners)
- OKX (best for ETH staking methods)
- Huobi Global (best for airdrops)
- Atomic Wallet (best non-custodial ETH staking wallet)
- Guarda Wallet (runner-up Ethereum staking wallet)
- Bitfinex (best for traders to stake Ethereum)
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Where To Stake ETH2.0 With Less Than 32ETH
One-click crypto exchanges are ideal for beginners to stake Ethereum with minimal effort required. The table below provides a comparison of the most popular staking exchanges that support ETH with the fees and minimum staking amount.
|Platform||Staking Fee||Minimum Amount||Estimated ROI||Rating||Promotion||Website||Review|
|Binance||None||0.1 ETH||1.20% to 11.20% APY|
|Up to $100 welcome bonus||Visit Exchange||Binance Review|
|Bybit||None||0.01 ETH||1% to 1.8% APY|
|Deposit bonus up to $30,000||Visit Exchange||Bybit Review|
|Kraken||15%||None||4% to 7% APY|
|None available at this time||Visit Exchange||Kraken Review|
|Coinbase||25%||None||Up to 3.89% APY|
|$5 BTC bonus (USA only)||Visit Exchange||Coinbase Review|
|Ledger Wallet||None||0.1 ETH||4% (Kiln) or 7% APY (Lido)|
|None available at this time||Visit Exchange|
|eToro||Up to 25%||$25||Up to 4.3% APY|
|None available at this time||Visit Exchange|
eToro USA LLC; Investments are subject to market risk, including the possible loss of principal. Archived, "Virtual currencies are highly volatile. Your capital is at risk."
|Huobi||None||0.1 ETH||Up to 6.71% APY|
|None available at this time||Visit Exchange||Huobi Review|
|OKX||None||0.1 ETH||0.43% to 13.6% APY|
|None available at this time||Visit Exchange||OKX Review|
|Bitfinex||None||None||Up to 3.5% APY|
|None available at this time||Visit Exchange||Bitfinex Review|
|Atomic Wallet||None||1 ETH||Up to 5.5% APY|
|None available at this time||Visit Exchange|
|Guarda Wallet||None||0.1 ETH||Up to 3% APY|
|None available at this time||Visit Exchange|
Ethereum Staking Platforms & Wallets Reviewed
Binance is undoubtedly one of the best crypto-staking platforms with a generous number of tokens available. The exchange introduced ETH2.0 staking on its cryptocurrency trading platform to provide investors that have less than the required 32ETH to become a validator. Existing users on the popular trading platform can stake Ethereum in a safe, secure and easy way.
Binance users can stake Ethereum under two terms: Fixed and Flexible. This option comes under the Simple Earn Program and offers 4.28% APR (Annual Percentage Return) for staking ETH on fixed terms, and 1.20% APR for staking ETH under flexible terms. With ETH 2.0 staking, investors can gain up to 11.20% APR. A minimum of 0.1ETH is required to start staking on the Binance platform. The major benefit of using Binance is that traders can use a wide variety of other products and services on the exchange such as leverage trading in the futures market or earning interest on Ethereum and other cryptocurrencies.
To start staking ETH on Binance, the users will need to convert the ETH tokens into BETH that represents the staked ETH on a 1:1 ratio. For example, a person that stakes 100ETH will be issued 100BETH tokens. The BETH tokens will remain locked in until Phase One is completed and shard chains have been implemented before they can be instantly swapped back to ETH.
Binance distributes 100% of all on-chain rewards to customers that stake ETH2.0 without any fees. This incentivizes existing Binance customers to stake their Ethereum as opposed to becoming their own validator and incurring operating expenses for hardware and bearing the risk of on-chain penalties. For residents within the USA, Ethereum staking is currently not supported on Binance.US.
ByBit is a low-cap cryptocurrency exchange that offers a small, but effective APY for Ethereum staking. Investors can stake ETH on multiple terms and earn up to 1.8% APY. Traders can choose between flexible staking which returns an APY of 1.2% or fixed-term staking where locking their assets for 30 or 60 days will give them 1% or 1.8% APY respectively.
Unlike the other platforms on this list, ByBit does not offer ETH 2.0 staking. This means that the staking rewards provided on the platform are off-chain and returns aren’t compounded – tokens held for a long time won’t automatically be staked again. Investors must delegate new tokens and then the APY rewards will be generated for those tokens.
Read our full ByBit review.
Kraken is a digital asset exchange that connects willing cryptocurrency buyers and sellers on a simple and intuitive trading platform. Since its inception in the market, Kraken has become a leading crypto exchange in several countries with a high reputation for ease of use, safety, and competitive pricing that is suited for experienced crypto investors. Kraken offers staking of 12 digital assets including support for on-chain Ethereum 2.0 staking to earn ETH rewards. With ETH 2.0 staking, users can earn from 4 to 7% APY on Kraken.
Similar to Binance which issues a BETH token that is 1:1 with staked ETH, Kraken provides a trading pair ETH2.S/ETH that allows users to buy in and out of staked ETH coins and trade un-staked ETH for staked ETH. However, this feature is not available to residents of the United States or Canada.
ETH that is purchased or transferred to a Kraken wallet for staking will undergo a 20-day resting period before it will start earning ETH2 rewards. The duration can be longer depending on the network traffic. Once the coins start to earn rewards, they will be displayed on the 'Kraken Earn' page along with other top staking coins such as Cardano (ADA). Similar to the above exchanges, the staking rewards cannot be withdrawn or traded until Ethereum 2.0 is live.
Kraken has an administration fee of 15% on all rewards earned which is reflected in the estimated 4-7% APY staking return. The reward rate is determined by the Ethereum network and is expected to vary depending on a variety of factors outside of Kraken's control.
Read our full Kraken review.
Coinbase is one of the best exchanges for cryptocurrencies that has revolutionized the digital currency environment by providing a simple and easy-to-use platform for individuals and institutions to buy, trade, store, and sell digital assets. The exchange expanded its core products and services on April 15, 2021, to include Ethereum 2.0 staking to earn up to 3.89% APY while holding ETH in a Coinbase wallet. The platform also added ETH2.0 staking on Coinbase Prime for institutional investors in August 2022.
Unfortunately, ETH2 staking on Coinbase is limited to the United States only except for the states of Hawaii and New York. This means new and existing Coinbase users that reside outside of the United States will not be permitted to stake Ethereum and earn staking rewards. For eligible users that have a verified account, there is a waitlist and the exchange will send a notification once a staking position is available to convert ETH into ETH2. The funds will be locked and cannot be used to trade, send, or sell Ethereum into fiat.
Unlike Binance, there is no minimum amount of ETH to stake on Coinbase which makes it easy for beginners to get started with ETH 2.0 staking with a small amount.
Using a centralized cryptocurrency platform can come with certain risks such as loss of initial funds due to an exchange hack or if the validator does not meet their staking obligations. However, Coinbase will cover these risks at no extra cost to the user which provides a reasonable level of assurance. Not to mention, Coinbase is one of the safest platforms for the custody of cryptocurrency assets. However, Coinbase will take a 25% commission fee of the staking profits for providing this service which is expensive to Binance which does not have any fees.
Read our full Coinbase review.
5. Ledger Wallet
Ledger wallet offers the most secure wallets to store Ethereum and has the ability to stake ETH – through hardware. Stored inside a physical asset and away from the internet, Ethereum assets would remain safe inside a Ledger Wallet. The APY rewards generated in the Ledger wallet depend on the decentralized application - dApp – used to stake Ethereum, Staking with Kiln offers an average return of 7% APY, and staking with Lido offers an APY of 4%.
Ethereum staking through Ledger is for those that want to directly interact with the Ethereum ecosystem and contribute to the security of its blockchain. Staking is done through the accompanying app - Ledger Live – and the rewards are transferred automatically to the wallet.
eToro is a leading social trading platform for cryptocurrency, stocks and CFD trading. In 2021, eToro introduced one-stop cryptocurrency staking to its platform for its users to grow their crypto asset holdings. There is a USD 25 minimum amount required unlike the other crypto exchanges. Users that stake their ETH will not have access to the staked ETH and accrued rewards once ETH 2.0 is live. With ETH staking, users can potentially earn up to 4.3% APY on eToro.
The social trading platform uses a tiered staking reward system as opposed to a fixed or flexible rate. The highest tier can earn up to 90% of the staking rewards. Silver, Gold, Platinum Club Members are entitled to 85% followed by 75% for Bronze users. The percentage retained by eToro is to cover the operational staking costs and is quite high compared to Binance, Huobi and OKX which don't have fees.
The benefit of using eToro to stake ETH2 is the ease of use, simplicity for beginners and trustworthiness associated with the company. Ethereum tokens held on the eToro Money app will begin to accrue rewards. The only downside to ETH2.0 staking on eToro is the country's availability. At the time of writing, eToro.US does not support Ethereum staking (yet).
Read our full review on eToro.
OKX is the seventh biggest cryptocurrency exchange and like the ones we have listed before, introduced ETH 2.0 listing after Ethereum’s shift to the Proof-of-stake consensus mechanism. OKX is also a unique cryptocurrency exchange in a way that it offers two versions of crypto trading - centralized and decentralized. The centralized exchange is accessible to only the listed countries whereas the decentralized exchange – which only offers a swapping utility – is available to every trader on the planet.
ETH staking, however, is only available in countries in which OKX has the license to operate, and they are few in number. Nevertheless, it does provide a good, 4.42% APY in the ETH 2.0 staking mechanism. Like Binance, OKX also implements a 1:1 staking ratio – 1 ETH stake will reward users with 1 BETH. A minimum of 0.1 ETH is required for staking and OKX will then issue BETH as staking proof every day at 11:30 pm.
Once investors have their BETH holdings, they can acquire their ETH once the Shanghai upgrade goes live, which, according to the latest reports, is scheduled for release in the second half of 2023.
Read our full OKX review.
8. Huobi Global
Huobi has been providing a safe and trustworthy place to buy Ethereum for staking. The exchange has introduced a new feature called Huobi Earn which offers flexible and fixed lock-up terms to earn interest on coins and tokens in a Huobi wallet including a simple ETH2.0 One-click Exchange.
To stake ETH2.0 on Huobi a minimum amount of 0.1ETH will need to be deposited to the exchange which is an attractive alternative for small investors and beginners to have 32ETH and become a validator. Currently, Huobi Global offers up to a 6.71% APY and rewards a 7-day average APY of 4.42%.
Similar to Binance, users will need to convert the ETH tokens into BETH that represents the staked ETH on a 1:1 ratio which can be traded on the exchange with BETH/USDT and BETH/ETH pairs. The staking rewards also include HPT airdrop bonus which will be distributed the day after the BETH holdings snapshot. According to the Huobi blog, there do not appear to be any fees.
9. Atomic Wallet
Atomic Wallet is a software wallet that allows users to directly engage with the ETH ecosystem and stake ETh tokens in return for APY rewards. But it is a non-custodial and decentralized wallet, leaving the responsibility of securing the assets up to the users. Users can earn up to 5.5% APY on the atomic wallet. Like the Ledger Wallet, the atomic wallet also makes it easier for people to stake ETH holdings as all users need to do is deposit the crypto and choose the validator to stake ETH.
Furthermore, users can estimate how much ETH they are going to earn on Atomic wallet’s official website. Overall, Atomic wallet is a great option for staking for users that want to directly interact with the platform but don’t want to pay the upfront costs that come with a hardware wallet.
10. Guarda Wallet
Guarda wallet is the last wallet option in our list and it offers up to 3% APY for staking Ethereum. Like Binance, the minimum staking amount on this wallet is also 0.1 ETH. The tokenized staking method offered by Guarda wallet involved GETH, a crypto that allows trades to hold and stake their assets without the need to wait for the second phase of Ethereum 2.0. The ETH and GETH ration is also 1:1 and GETH rewards were started to get distributed every three months starting from January 2022.
Other than staking, Guarda wallet also offers a way to buy cryptocurrencies using fiat method. There are over 400k assets that can be bought through the Guarda wallet and there are 15 tokens available for staking.
Bitfinex is a well-known cryptocurrency platform that offers a variety of markets and assets to buy, trade and sell. The exchange has launched its own staking service that allows investors to deposit 10 coins to earn staking rewards including Ethereum 2.0. The staking rewards shown on the website state up to 3.5% APY.
There is no minimum requirement on the amount of ETH to be held on the exchange for the users to participate in staking. It is on a first-come, first-served basis until the full 32 ETH are collected in a pool. The delegated funds will still be available to trade on the Bitfinex platform, however, the ETH2.0 staking rewards cannot be traded or withdrawn.
Furthermore, there are no fees to stake Ethereum, however, Bitfinex will take a small undisclosed amount of the staking reward. At the time of writing, Ethereum 2.0 staking on Bitfinex is not available to residents in the United States or Canada.
Read our full Bitfinex review.
What Is Ethereum 2.0?
Ethereum 2.0 (ETH2) is the next iteration of the Ethereum network that has shifted from a Proof-of-Work (PoW) model to a Proof-of-Stake (PoS) that runs on the Beacon Chain. The set of upgrades is split into 3 phases designed to increase the scalability, increase the speed of transactions, reduce fees, and improve the security of the blockchain.
The PoS consensus model will use complex algorithms to choose a node to win a block of transactions to validate and process, as opposed to the current method of nodes competing for blocks using large amounts of power. The shift to Eth2 will dramatically reduce the energy requirements of miners to process and validate transactions by up to 99.95%.
What Does Staking Ethereum 2.0 Mean?
Ethereum investors that decide to lock up ETH will contribute to the security and governance of the Ethereum network. The person that deposits ETH is referred to as a 'validator' or 'Ethereum Staker' and is responsible for processing transactions and adding new blocks to the blockchain. The person will receive a staking reward or return on their investment denominated in ETH for processing transactions. Staking crypto is a similar strategy to Bitcoin mining and lending to earn passive crypto. To learn more about what is crypto staking and how it works, read this article.
How Much Can You Earn Staking ETH?
Investors can earn approximately 5-6% APY for staking Ethereum 2.0 network based on the current amount of ETH2 locked in for staking. The ETH2 staking rewards are contingent on the amount of ETH staked and the number of validators on the network. If the total amount of ETH staked becomes low, the protocol will increase the rewards to incentivize people to deposit ETH and become a validator. In contrast, the ETH staking reward will reduce as the amount of ETH that are staked increases. Given the number of participants and growing network value, Ethereum 2.0 is one of the best cryptocurrencies for staking rewards.
For example, in 2020 the total amount of ETH locked in for staking was approximately 500,000 ETH which yielded an average of 20% APY throughout the year. In comparison to 2021, the amount of ETH staked increased to over 6,000,000 ETH which reduced the staking reward to around 6% APY. Besides the staking rewards, validators will also receive a portion of the daily network transaction fees. Fluctuating reward is a key risk associated with staking crypto that needs to be acknowledged.
How Much ETH Do You Need To Stake ETH 2.0?
Ethereum 2.0 requires a minimum of 32 ETH to become a full validator on your own. At the current price of ETH, the minimum amount of ETH would be worth more than $100,000. Individuals that do not have the minimum amount or necessary hardware equipment, can join an ETH2.0 pool or use a crypto exchange.
For example, a person can begin staking without a minimum amount of ETH using Coinbase and Kraken. However, the exchange may take a cut or fee for providing the staking service which can vary between 10% and 15%.
When Are ETH Staking Rewards Paid?
Staked rewards will not be paid until the Shard Chains are completely implemented once Ethereum 2.0 is live. The ETH will remain staked until Phase 1 is complete which cannot be withdrawn or traded. However, certain exchanges like Binance and Kraken have created tokens that represent staked ETH on a 1:1 basis to use for trading or withdrawing purposes.
How To Stake Ethereum
1. Run An Ethereum Node
A popular method to stake Ethereum is to run a full network node and become a validator using the eth2 launchpad. The minimum entry requirement to run a node is to deposit 32 ETH to activate the validator software. In return for storing data, processing transactions and adding new blocks to the Ethereum blockchain, the validator will earn passive ETH staking rewards.
The validator will need to install the ETH1 and ETH2 clients on a computer with specific hardware specifications to operate on a 24/7 basis to run the Beacon node software. The configuration of the hardware and software can be challenging for non-technical investors. Certain risks can result in losing ETH due to malicious actions, an offline node and failing to validate transactions. However, the benefits to stake ETH solo by running an Ethereum node include higher staking rewards.
2. Use A Crypto Exchange
The fastest and easiest way to begin staking on Ethereum 2.0 is to use a reputable crypto exchange or staking pool. This method is suited for beginners that do not have the technical knowledge to operate a full node or do not possess the minimum 32ETH. These platforms may charge a fee between 15% and 25% of the staking rewards for the infrastructure, security and convivence. Crypto exchanges are also one of the easiest ways to buy Ethereum which can then be used for staking.
Want to stake now? Read our guide that explains how to stake crypto on an exchange.
How To Stake Ethereum on Binance
For those with less than 32ETH, the best way to stake Ethereum on Binance by following these steps:
- Create an account with a reputable platform such as Binance
- Purchase or transfer ETH tokens to a Binance wallet
- Navigate to 'Binance Earn' and select ETH2.0 Staking
- Click on 'Stake Now' and choose the amount of ETH to stake
- Convert the ETH into BETH (1:1 ratio to ETH)
- Review details and distribute BETH to begin staking
Frequently Asked Questions
An Ethereum 2.0 staking pool allows users to stake any amount of ETH by collating the ETH from other individuals. It helps lower the entry barrier of 32ETH and the specific hardware and software requirements associated with running a node. Joining a staking pool is best for beginners as it provides an easy way to earn ETH rewards. The administrator of the pool bares the full staking risks and operating costs.
Operating an Ethereum 2.0 node or delegating ETH to a staking pool offers an attractive return on investment. The rewards are tied to the overall amount of ETH staked in the network which can range between 4.9% to 21.6%.
According to data from Ethereum.org, there are over 10 million eth2 staked which will provide an estimated APY of 4.9% for investors. Minus operating costs for running a node or fees associated with staking pool (i.e. 10% and 15%), investors that stake ETH2.0 can earn a reliable source of passive income.
Ethereum is moving away from a Proof-of-Work consensus model that required high-energy consumption by miners to validate and process a transaction on the blockchain. In return, the miners were rewarded with a portion of the block subsidies and rewards. As part of the ETH2.0 upgrade to Beacon Chain that will utilize a Proof-of-Stake model, the existing Ethereum miners will become obsolete and replaced with 'validators' once the transition is fully completed.
Ledger has updated the firmware to the Ledger Nano X wallet to support Ethereum 2.0 staking. To become a validator, the staker must deposit at least 32 Ether on the Beacon Chain using what is called a “deposit contract”. The Ledger Live software application allows investors to sign a deposit contract transaction directly from an Ethereum wallet.
The benefits of staking Ethereum 2.0 go beyond earning passive rewards in ETH. Locking up a portion of Ether to validate the eth2 Beacon Chain contributes to securing the future of the ecosystem. This will bring faster transaction speeds, lower ETH fees, reduced energy consumption, and greater stability to attract more developers to the network.
For investors that decide to stake Ethereum solo with 32 ETH or join a staking pool with a lower amount using a cryptocurrency exchange, it is important to note that the ETH rewards cannot be withdrawn until the Ethereum 2.0 upgrade is fully completed.