The best coins for steaking cryptocurrencies: top coins with high annual returns

Forecasts for Sponge V2 from analysts are quite good, as the value of the coin can grow significantly depending on the goals of the new project. The community of followers is enthusiastically spreading news about the token, thanks to which the number of subscribers has increased by another 2,000. Features of the cryptocurrency:

• The potential annualized return is 287%.
• You can only get new coins through staking the original token.
• There will be two versions of the game – free and with Play-to-Earn (“play and earn”) mechanics.

Meme Kombat

The Meme Kombat project unites all meme coins through its MK token to fight in the blockchain arena. In the Play-to-Earn game offered by the platform, PEPE, SHIB, DOGE and other well-known heroes of the crypto market will meet in battle.

Along with active income opportunities based on betting predictions, Meme Kombat also offers passive income through staking rewards.

According to the project’s white paper, investors can specify what percentage of the total funds they would like to allocate to a specific bout, taking into account risk tolerance and gaming preferences. Importantly, MK’s re-posting initiates a 10-day asset lockup period designed to discourage frequent withdrawals and ensure the stability of the token’s liquidity.

The presale is almost complete, as only $200k remains to be raised before the hard limit is reached. The final and current value of the MK asset is $0.279. This Stake-to-Earn token could have a positive trajectory as this is the first such pre-sale combining memes with game mechanics. Additional upside:

• The founder of this campaign has publicly revealed his identity.
• Current investors can earn up to 129% on staking.
• Meme Coins has a very large number of subscribers online, which can transfer to Meme Kombat due to the concept of the project.

Olympus

This is a decentralized finance protocol (DeFi) that aims to create a stablecoin backed by cryptocurrencies. The project uses three mechanisms to control the price of its OHM asset: liquidity ownership, staking, and a protocol-driven treasury. Many other platforms, such as Uniswap, rent liquidity, meaning they depend on traders to provide it.

Investors can lock their OHM into the protocol and receive passive rewards. Olympus uses steaking as the primary resource for accumulating OHM value.

Both the project and investors benefit when the protocol accumulates more tokens. This means: more funds are available in the treasury, and therefore participants are entitled to remain relatively confident that the current APY can be maintained and potentially increased. Thus, the success of the platform going forward will depend on the number of users. Positive aspects:

• OHM is designed to be a means of accumulation, not just a stablecoin, so steaking makes tokens scarce.
• Participants in steaking receive a large portion of newly issued OHM every 8 hours.
• Thanks to the assets held in the treasury, the project can ensure that each OHM token has an intrinsic value of at least 1 DAI (a stablecoin on the Ethereum blockchain).

PancakeSwap

This is the leading decentralized exchange (DEX) in the Binance network. According to the DefiLlama portal, as of January 2024, the total blockchain value (TVL) of the platform reaches about $1.5 billion.

The exchange operates on an automated market maker (AMM) model. This means that traders can trade assets as well as staking cryptocurrencies and earn interest for adding liquidity to the platform’s pools.

PancakeSwap’s own token is called CAKE. The coin is deflationary due to the implemented burn mechanism: through token exchanges, placement in liquidity pools and Play-to-Earn (“play and earn”) games.

As a result of these mechanisms, the total stock of assets is constantly decreasing. This makes CAKE a rarer and more valuable token. In addition, its utility is reflected in the additional benefits that holders receive – for example, lower commissions on the exchange. Benefits and prospects:

• Approximately 150 million CAKE tokens are issued annually, and about 1 million are burned daily.
• Support from Binance can help PancakeSwap grow into a market leading DEX.
• The “Fixed Steaking” feature earns investors 5% of the exchange’s profits.

Binance cryptocurrency steaking: pros and cons

One of the leading platforms that helps traders perform cryptocurrency steaking. Binance remains the world’s largest crypto exchange with a daily trading volume of over $7 billion.

The trading platform’s Earn feature offers passive income opportunities by staking 13 coins including ETH, SOL, BNB and USDT. The annual interest rate varies greatly depending on the asset, ranging from 0.2% to 82%. Each token has a minimum lock-in amount, but investors can also choose between two options – “flexible” or “fixed”. Overall, the exchange has pros such as:

• The safest trading platform on the market, offering risk-free token-stacking.
• Profits can be high on some assets (for example, APR on DOT is as high as 72%).
• Offers DeFi rates with a fixed duration.
• There is an additional feature – ETH 2.0 token steaking.

Nevertheless, making profits from placing on Binance is difficult due to the following disadvantages:

• Poor customer support, often user queries go unanswered for days.
• Asset locking options are limited and most of them are usually sold out.
• ETH 2.0 staking rewards are paid in BETH, not ETH.

Wrapping up

• Once again answering the question of what is cryptocurrency steaking, I would like to emphasize – it is a way for investors to get rewarded while keeping certain cryptocurrencies safe.
• Staking also involves risks. Given that the tokens will be blockchained, their value may decrease during this time.
• Staking increases the security and efficiency of the blockchain, making it more resilient to attacks and able to process transactions.
• Taking part in staking is as simple as buying tokens. You need to choose an exchange that supports it and open an account.
• Pre-sale projects conduct staking on their platforms, which allows early investors to start earning even before the official release of the asset.