TL;DR – Should I use Bitvavo to stake my crypto?
Bitvavo offers flexible staking on 17 coins, including 3 stablecoins. Rewards are minimal compared to direct rivals, but Bitvavo does offer more than 6% APY on all 3 of its stablecoins. The platform is easy to use and perfect for beginners looking to learn more about staking and how it works, but advanced and more experienced traders will find it lacking in suitable coin offerings and returns.
Types of staking on Bitvavo
The Bitvavo exchange was developed to be simple and beginner-friendly, so it’s no surprise to see a very simplistic approach to its staking products too. Bitvavo has two different types of staking: on-chain and off-chain. On-chain staking is the most common type of staking. It uses blockchain POS (Proof-of-Stake) protocol to validate transactions on a blockchain, which generates rewards, normally in the form of the currency that is being staked. Off-chain lets you earn rewards on your crypto sitting idle in your account or wallet without locking them into a blockchain.
Bitvavo has support for 17 staking coins, including BTC, ETH, and LTC. It is flexible, meaning you don’t need to lock your crypto into the exchange or blockchain to earn rewards. With the volatility of crypto, this is a great way to stake but without the risk of losing money should your asset depreciate while it is locked in and being staked. Rewards are paid out weekly and vary from 0.49% for VET and LINK and 7.50% APY for ICX.
You can control all your staking from one central staking dashboard. If you didn’t opt into staking when you signed up, you’d need to enable staking on your account before accessing any staking features. You can do this in your account preferences, and once enabled, you’ll be able to access your staking dashboard and start staking any of your assets. You can see your estimated APY, estimated reward value, rewards that have already been paid, and your pending rewards from the dashboard.
Staking on the app
The Bitvavo mobile app’s functions are minimal and have only really been developed to buy and sell crypto and don’t have any advanced features. So, unfortunately, you’ll need to do all your staking on the desktop platform.
Staking with Bitvavo is easy, and most beginner and intermediate traders not familiar with staking shouldn’t have any issues understanding how staking works. We like that it’s flexible, and there’s no need to lock up your crypto to earn rewards on it. Unfortunately, though, we think the rewards are pretty meagre compared to Bitvavo’s rivals. If we had to do a like-for-like comparison, Kraken offers up to 5% for Tezos, whereas Bitvavo only offers 0.66%. That being said, we were impressed with the rewards on its stablecoins.
If you’re looking for a staking platform to learn how staking works, then you will find value in using Bitvavo. If high rewards are important to you, we don’t think you’ll be happy using Bitvavo and would find more value from using Binance or Kraken to stake your crypto.