[news] Binance Launches Staking Platform with Support for 8 Cryptocurrencies

[bbc.reporter]

I can smell a possibility of a new Binance pump game hehe. Changpeng Zhao might also be creating this platform in preparation for the most valuable proof of stake coin coming, Ethereum 2.0 if released.

However, encouraging holders to deposit their coins on Binance to stake is very dangerous for the holder and the cryptocoin itself. If there is a high percentage coins on the exchange and the exchange is hacked, the hackers might have influential advantage over the coin by staking with the stolen coins themselves.



Binance, the world’s leading cryptocurrency exchange, announced the launch of its staking platform allowing its users to earn their staking rewards simply by depositing their funds on the exchange.

Right from the start, the staking platform will support eight cryptocurrencies: NEO (NEO/GAS), Ontology (ONT/ONG), Vechain (VET/VTHO), Stellar (XLM), Komodo (KMD), Algorand (ALGO), Qtum (QTUM), & Stratis (STRAT).

Read in full https://beincrypto.com/binance-launches-staking-platform-with-support-for-8-cryptocurrencies/

[omone1]

I have never love to stake altcoins because of instability of price, and sometimes the price can badly dump, and good traders win big. I once traded Tokenpay instead of staking, and I made in 3 days what I should have made in 2years or more. Later on, the price of Tpay went badly down because of market forces, I had taken profit. I am not against staking but it's good for the conservative investors who can wait for long.

[leavolnhals]

 This is a program to keep the price of BNB high or stable. This is the strategy of CZ since he learned that the trend of IEO could not last long and continuously introduced preferential policies to increase the number of BNB holders. but he did not say he would keep the price of BNB high and now its value is only $ 15.
Seems like this is the biggest trap I've ever seen. Those who have trusted Binance now are regretting joining this Staking program.

[ChrisPop]

CZ has always been looking into the future and planning ahead like a good CEO does, but I have never been a fan of keeping cryptocurrencies on exchanges. In my opinion is much much safer to keep them in a hardware wallet or even better a paper wallet where no one besides you have access. Keeping the crypto on an exchange exposes you to a series of risks that you have no control upon. Basically you have to trust a third party to take care of your crypto instead of yourself.

Are you willing to do that? - That is the question you need to ask yourself.

[Mila52]

We all risk  by investing in cryptocurrency despite its volatility, hoping for a profit.So why refuse a profit in this  staking campaign? I personally participate in the staking of XLM, I am attracted by the opportunity to get bonuses for storing this young and promising coin.I trust the Binance's policy. Even when it was hacked, they compensated for the loss to customers.

[airdropan]

Binance, the world’s leading cryptocurrency exchange, announced the launch of its staking platform allowing its users to earn their staking rewards simply by depositing their funds on the exchange.

depositing and holding you fund on exchange to get stake isn't bad things, but the big problem is about the price, stabilizing the price is really problem here. it will dump whenever the stake holder selling their coin

[Greatchu]

Staking coins have disadvantages as well, the most popular one is price instabilities and while your staking is ongoing the project token might see a big price dump, i trust binance exchange and i can trust them with my funds as well so its won't be a problem

[josephdd1]

This is quite concerning for me.
The exchange that was the biggest and hottest thing when it came to exchange is now trying to diversify its income source by launching lending programs, and now this, a staking platform. But why? Or more precisely, why now? Is the cryptowinter affecting Binance as well? Is this a forewarning of tougher times to come?

[Novatech8]

If Ethereum ends up fulfilling the POS upgrade as planned i'm sure binance exchange will add ETH to the list as well, the rewards will vary too since you can stake on ETH platform aswell hopefully this will make ETH receive more demanding adoption rate

[bartolo]

Why they call it staking instead of lending which is what this is? This model consists of users lending their coins to the exchange for they to stake them and give them the reward, but I guess the exchange will take a part of that reward for themselves. Would not be better that holders staked the coins themselves?

[Ucy]

It is such a dangerous idea.
I wonder which exchanges the staking will take place, Binance decentralized or centralized exchange? I guess this is a more convenient way to stake cryptocurrencies, but not advisable. Many people may end up using the service. People want convenience.

[plast555]

I think that's good news. Even all exchanges need to integrate such staking operations into their own exchanges. There are wallets that do this, for example, COBO wallet. Although staking rewards are not too much for cryptocurrencies counted, I think it is an important step for adaptation.

[FaucetKING]

What's going on with these exchangers nowadays? I'm smelling something harmful coming soon.
I remember seeing Kucoin having something like this feature called coldstaking, it's not really a coldstaking because they are showing a disclamer and insisting that there's a high chance to be in danger/to lose the coins. Now, binance is doing the same?
I don't feel safe, remember if 1M btc gets stored in the same exchange to get stakes, what might happens? have you started to think? A HACK/A SCAM!
Sorry for the caps lock but it's necessary to yell, never trust any third party wallet or exchange to store your savings.

[South Park]

This is quite concerning for me.
The exchange that was the biggest and hottest thing when it came to exchange is now trying to diversify its income source by launching lending programs, and now this, a staking platform. But why? Or more precisely, why now? Is the cryptowinter affecting Binance as well? Is this a forewarning of tougher times to come?

That could be a possibility but I doubt it, it seems to me that they are really trying to just diversify the source of their income because they know that no matter what they do they cannot be the biggest exchange forever, however I really think that depositing your coins in an exchange and keep them there is a terrible idea, we know how susceptible are exchanges of being hacked or scamming their customers, but I do not doubt that there will be many people that will accept those conditions in order to earn some dollars, I just hope that they do not regret it.

[Bananington]

This is a great good strategy, CZ has been ahead of the game from day one. I enjoyed staking benefits from NEO and VET. I've earned a lot of GAS and VTHO and I'm grateful for that, even though price ain't too good right now. Talking about Binance targeting ETH staking later in future, it's a superb plan IMO. Someone mentioned that all these is to boost BNB price increase, well development updates are very essential no matter how you see it.

[jhenfelipe]

It would benefit those who rarely make trades, but hold the said tokens in the exchange.

At first, I think it's unlikely for those who use their own wallet in holding and staking their coins to send it to Binance for just the sake of staking. But thinking that they will not do anything after transferring the funds, it's really an advantage.

For example Komodo (KMD), to receive a reward you need to hold a minimum of 10 Komodo and make at least one transaction per month using the wallets. If I'll hold it in Binance, I'll get a reward whether or not I make a transaction monthly (correct me if I'm wrong).

The only problem really is the security, it's an exchange after all and you don't have a control over the private keys. It's up to the individual if he wants to take the risk.

[jcarlo]

It is such a dangerous idea.
I wonder which exchanges the staking will take place, Binance decentralized or centralized exchange? I guess this is a more convenient way to stake cryptocurrencies, but not advisable. Many people may end up using the service. People want convenience.

I do not understand where the danger is because with the staking there are benefits to be gained by the exchanger or the binance customer. It is clear that Binance is a centralized exchanger and with staking, Binance can further develop its lending platform and customers benefit from coins that are stake

[robelneo]

This is a big leap and a win-win situation for both holders and Binance, three years ago when I was very active in accumulating a lot of Staking coins there was a site I can't remember the name,  where you deposit your coins for the site to stakes, most of the coins deposited there are Bitcoin derivatives.
I'm sure with Ethereum turning to stake algo many will find this platform interesting it will allow them to make a profit, and with Binance behind it it will gain approval.

[FanEagle]

I once don’t like staking that much because I feel that it is just a very big trap by most projects to just keep the investor and tie him down after he must have staked his coin within a short period of time which anything could happen before the contract time expires.

I learnt that staking actually gives profit because I have never done it before, but now that binance has created a staking platform, and I am sure that they will run it the same way that they are running their IEO platform by ensuring that any project that they have registered for staking is one that will give the client the assurance that the project is no dyeing any time soon and they will always fulfill their interest obligation to the said investors at the particular time of promise. I think I will like to try binance staking out.

[Perfect35]

Coming up with this initiative might be good, however, I will support the standpoint of the OP. Under normal circumstances, keeping fund on exchange these days is not exchange these days is not encouraging, most especially with an exchange that was once a victim of hack.
If CZ can guarantee holders that their funds will be safe and not only that,but also,if any form of hack occurs, there will be a refund, then it worth trying and going for.