Is it worth staking stablecoins?

[Pezroly]

Stablecoins are not worth for staking. The better way would be to exchange them to another altcoins and then stake - max profit ~48% per year or less. You can PM me and I will send you the link, where you can exchange and stake to up to 48% profit per year.

[rahulzx]

I have some USDT and USDC in my portfolio that I'd want to stake in a "De-Fi" dApp without worrying about it in a long time. There are liquidity pools in Uniswap with attractive stake rates, but there's also Compound. Finance with its lending services. Both of these platforms are built on the ETH blockchain, so gas fees would be astronomically high. I've read about some platforms being compatible with Polygon (MATIC), but I'd have yet to see if it's worth the shot (especially in terms of security/reliability).

Do you know the safest way to stake stablecoins without breaking the bank? Also, do you think it's worth it? Or should I consider other options? Any suggestions and/or recommendations would be greatly appreciated. Thanks in advance.

Have seen some misleading ideas about USDC you can do proper research and take your own decision about your funds mate! The thing is security and trustfulness of crypto space.

[Abiky]

I just stumbled across this thread, and I'm sure you know what you're doing by now--but goddamn, all of this sounds extremely risky.  Not even just the risk of handing your coins over to someone else; I'm wondering how these....whatever they are, sites, smart contracts, whatever....make their money that they return to you.  Are they lending it out?  Investing in something that's even riskier?  

These are stablecoins we're talking about, correct?  These de-fi services have got to be doing something similar to what banks do, else there's no return to be had.  If I owned any stablecoins (which I don't), I'd be way too afraid to invest them that way.  Eek.

"De-Fi" protocols usually reward lenders with every stablecoin deposit. Rates can vary depending on how many people are borrowing coins on the platform. The lower the number of people borrowing, the lower your annual income (APY) will be. It's all driven by algorithms. The only risk would be losing all of your hard earned money if the stablecoin loses dollar parity in the long run. Of course, you can also lose it all with a PoS coin if it loses value. But at least you're not given false promises that they will always retain their value unlike stablecoins.

If all that comes to pass, who needs stablecoins?  What's the advantage of them over cash if they're regulated in such a similar manner that they're equivalent?

I think the only advantage would be sending "Fiat" faster and cheaper across borders. Not to mention, stablecoin issuers are able to "freeze" or blacklist your address from being able to send/receive any coins at all (you can do a quick Google search to see for yourself how USDC has been able to blacklist addresses in the past). It's the perfect tool for bankers to get what they want. Therefore, cash is the only solution if you want to "stick" with plain-old Fiat. Otherwise, I'd suggest you go all-in Bitcoin for the long term.

[nicolas1979]

I have some USDT and USDC in my portfolio that I'd want to stake in a "De-Fi" dApp without worrying about it in a long time. There are liquidity pools in Uniswap with attractive stake rates, but there's also Compound.Finance with its lending services. Both of these platforms are built on the ETH blockchain, so gas fees would be astronomically high. I've read about some platforms being compatible with Polygon (MATIC), but I'd have yet to see if it's worth the shot (especially in terms of security/reliability).

Do you know the safest way to stake stablecoins without breaking the bank? Also, do you think it's worth it? Or should I consider other options? Any suggestions and/or recommendations would be greatly appreciated. Thanks in advance.

Actually staking is the same as letting go of your money and trusting other people to manage it, and you get a small portion of that (interest). In general, the loan interest is determined by the lender, while the staking concept of the platform determines the interest on our money.
If we have some money, why are we staking, which we should be able to use to benefit from Bitcoin trading.
It's also not wrong when someone is staking, remembering to avoid financial risks when trading. For me, staking unstable coins is more profitable than staking stable coins.

[Abiky]

Actually staking is the same as letting go of your money and trusting other people to manage it, and you get a small portion of that (interest). In general, the loan interest is determined by the lender, while the staking concept of the platform determines the interest on our money.
If we have some money, why are we staking, which we should be able to use to benefit from Bitcoin trading.
It's also not wrong when someone is staking, remembering to avoid financial risks when trading. For me, staking unstable coins is more profitable than staking stable coins.

That can be said about centralized staking. But with decentralized staking, that's another story. You're trusting your funds to the protocol, instead of a third-party. Things can go wrong if the platform is hacked or the stablecoin loses its parity to the US Dollar in an instant. Those are the risks involved with decentralized staking. But I still think it's a better alternative than just saving money in a bank.

With the collapse of major banks across the US, no one is safe these days. It's all a matter of diversifying your investment to reduce the risks of loss as much as possible. Who knows if stablecoins improve to a point where they will become "immune" from real world events? Just my opinion

[nicolas1979]

Actually staking is the same as letting go of your money and trusting other people to manage it, and you get a small portion of that (interest). In general, the loan interest is determined by the lender, while the staking concept of the platform determines the interest on our money.
If we have some money, why are we staking, which we should be able to use to benefit from Bitcoin trading.
It's also not wrong when someone is staking, remembering to avoid financial risks when trading. For me, staking unstable coins is more profitable than staking stable coins.

That can be said about centralized staking. But with decentralized staking, that's another story. You're trusting your funds to the protocol, instead of a third-party. Things can go wrong if the platform is hacked or the stablecoin loses its parity to the US Dollar in an instant. Those are the risks involved with decentralized staking. But I still think it's a better alternative than just saving money in a bank.

With the collapse of major banks across the US, no one is safe these days. It's all a matter of diversifying your investment to reduce the risks of loss as much as possible. Who knows if stablecoins improve to a point where they will become "immune" from real world events? Just my opinion

I can't understand decentralized staking and centralized staking yet. In general, staking is betting our money on a platform. Do the platforms just ignore the money there and they give us interest? Of course what is given is the advantage they get. Many staking platforms fail because they are unable to pay the promised APY/APR.
It's a different story with hacks or stable coins being strong in the future.
For example, if we are staking with one ETH, we will get 2.7% APR in 120 days or 0.027 ETH. If we trade a 120 day timeframe with 1 ETH, I think we will get more profit than that. From that basis I say trading is better than staking.

[cute nmp]

 Staking stablecoins is not highly profitable but it more secured than staking non-stablecoins .We are currently in a bear market staking non-stable coins can be very risky and result in a loss.So it is better to go with stable currency during the bear market.But during the bull market staking non-stablecoins can be very profitable so staking really depends on the market situation.

[Xampeuu]

Actually staking is the same as letting go of your money and trusting other people to manage it, and you get a small portion of that (interest). In general, the loan interest is determined by the lender, while the staking concept of the platform determines the interest on our money.
If we have some money, why are we staking, which we should be able to use to benefit from Bitcoin trading.
It's also not wrong when someone is staking, remembering to avoid financial risks when trading. For me, staking unstable coins is more profitable than staking stable coins.

That can be said about centralized staking. But with decentralized staking, that's another story. You're trusting your funds to the protocol, instead of a third-party. Things can go wrong if the platform is hacked or the stablecoin loses its parity to the US Dollar in an instant. Those are the risks involved with decentralized staking. But I still think it's a better alternative than just saving money in a bank.

With the collapse of major banks across the US, no one is safe these days. It's all a matter of diversifying your investment to reduce the risks of loss as much as possible. Who knows if stablecoins improve to a point where they will become "immune" from real world events? Just my opinion

staking on unstable coins is indeed more profitable, especially if our goal is for the long term, so that our coins increase and if there is an increase in price when the allotted time is over, then we will get double profits. it's different if we do staking on a stable coin, then the profit is that we only get a few coins at a flat price, but this method is indeed less risky than staking on unstable coins, so both have their own consequences, we just have to choose which one, besides the unstable coin, what do we choose for staking

[kelonmusk]

I think, staking stablecoins can be a great way to earn passive income, but it's important to consider the security and reliability of the platform you choose. In terms of gas fees, yes, they can be a bit steep on the ETH blockchain, but I think it's worth exploring options like Polygon to see if they offer better rates.

[Abiky]

I can't understand decentralized staking and centralized staking yet. In general, staking is betting our money on a platform. Do the platforms just ignore the money there and they give us interest? Of course what is given is the advantage they get. Many staking platforms fail because they are unable to pay the promised APY/APR.
It's a different story with hacks or stable coins being strong in the future.
For example, if we are staking with one ETH, we will get 2.7% APR in 120 days or 0.027 ETH. If we trade a 120 day timeframe with 1 ETH, I think we will get more profit than that. From that basis I say trading is better than staking.

Trading is better than staking. But not everyone knows how to do it. Thus, the only option would be to deposit coins at a "De-Fi" platform or an exchange to start earning money without doing nothing in return (staking). For many, centralized staking would be the easiest path to take since all of the responsibility of securing coins lies on the third party himself. Not to mention, centralized staking platforms (often exchanges) have a user-friendly interface.

Decentralized staking may be safer, but it's a hell of a lot more difficult to use. With gas fees tied to Blockchain networks underpinning decentralized staking platforms, people will look elsewhere. For a long time, stablecoins promised to hold their value of $1 per coin for the foreseeable future. But recent events, tells us nothing is guaranteed in this world. You can lose it all in an instant if you become too greedy. Therefore, saving money at a bank would be your best bet to minimize risks of loss as much as possible. Just my opinion

[bitgolden]

I can't understand decentralized staking and centralized staking yet. In general, staking is betting our money on a platform. Do the platforms just ignore the money there and they give us interest? Of course what is given is the advantage they get. Many staking platforms fail because they are unable to pay the promised APY/APR.
It's a different story with hacks or stable coins being strong in the future.
For example, if we are staking with one ETH, we will get 2.7% APR in 120 days or 0.027 ETH. If we trade a 120 day timeframe with 1 ETH, I think we will get more profit than that. From that basis I say trading is better than staking.

I think the most common staking is when the platforms use your money to stake in the system. Like when there is a proof of stake, then they use it and they make a money and give you your cut. For example ETH has that these days, so if we all pool our money and stake, then we all make returns. However, for things that do not look like they have staking, they do, it's called liquidity providing, if you provide your coins for these risks, then you help the platform to make money.

Think about it this way, we all give our money to banks, and banks give loans, sure some people may not pay it back, but most do, and that's how banks make money, if we give the bank 300 dollars, they won't do much, but if we give 300 billion, they will do a lot. That's why we are offered money.

[abralzain17]

what I know is that staking stablecoins does not have a big risk and the profit that can be achieved from staking is also not that big. the point is that depending on what platform you use for the security of your assets, of course risking usdc or usdt is not wrong, but you must have large capital to do that.

[sana54210]

I think the most common staking is when the platforms use your money to stake in the system. Like when there is a proof of stake, then they use it and they make a money and give you your cut. For example ETH has that these days, so if we all pool our money and stake, then we all make returns. However, for things that do not look like they have staking, they do, it's called liquidity providing, if you provide your coins for these risks, then you help the platform to make money.

Think about it this way, we all give our money to banks, and banks give loans, sure some people may not pay it back, but most do, and that's how banks make money, if we give the bank 300 dollars, they won't do much, but if we give 300 billion, they will do a lot. That's why we are offered money.

Yeah, that is the reason why they offer us money and not the other way around. Like they offer people interest rates as high as they are allowed to, and sometimes that's bad because some of them like Silicon Valley Bank do not make enough profit with the money they have and they lose profit and they bankrupt.

But, most of the time they give you 3% and they ask for 5% from people who take a loan and the 2% difference is their profit. Same with staking of course, they take your money, make people invest with it, they take more than they offer you and that's how they pay you for staking. I believe most places are doing a great job, unless it's one of those 100% return fake places of course, the realistic ones are doing a good job.

[ammo121810]

For me staking stable coins are worth it while you are waiting in what coin you will invest your stablecoin. Based on my experience i had been staking my stable coin for quite sometime and i can say it is worth it because my coins earns while waiting. I will wait for the market to go down again and invest in my chosen crypto currency. You just need to know the best platform to stake your stable coin so that you will not regret it.

[alik111]

It is not too much worthy to stake stablecoins because the apy is too low and you should invest your usdt in Bitcoin as it's now in a low price. So that will be a good investment. After all if you want to stake your stablecoins then find a good defi project and then stake with zero risk.

[JayTrain]

Staking stablecoins can be a great way to earn passive income, but as you mentioned, high gas fees can eat into profits. Using De-Fi platforms built on the Polygon (MATIC) network can help mitigate those fees while maintaining security and reliability. Some popular options include Aave, QuickSwap, and SushiSwap.

[DeathAngel]

I don’t think it’s worth staking anything, it’s just too risky. Look at what happened only recently, various platforms that allowed staking went bankrupt & with that went users funds. I just don’t think a 5 - 10 percent staking reward is anywhere even close to a good enough reward for risking your money, leaving it in control of another party. Just don’t do it please.

[smile1218]

For me staking stable coins are worth it even though the percentage of profit is not that much but still it is a profit. If you are still undecided to invest your stable coins to your chosen currency better to stake it. I myself do stake stable coin while waiting for the price drop of crypto currencies, we need to wait for the proper timing to invest. Waiting will be all worth it if we could buy crypto currencies at low price and let us just wait for the bull run for us to be able to harvest our profit from our investment.

[LastKiss]

For me staking stable coins are worth it even though the percentage of profit is not that much but still it is a profit. If you are still undecided to invest your stable coins to your chosen currency better to stake it. I myself do stake stable coin while waiting for the price drop of crypto currencies, we need to wait for the proper timing to invest. Waiting will be all worth it if we could buy crypto currencies at low price and let us just wait for the bull run for us to be able to harvest our profit from our investment.

Yeah, staking is really nice when crypto winter coming or when the price is going to drop really hard. I prefer to do staking when crypto winter is ongoing so when I got profit I can buy the crypto at a low price using the profit I got. But even staking can become a risk if we don't choose the platform carefully since not every platform is safe.

[WalkerIVIV]

it's not so much anymore, many of these staking programs are actually quite low in term of APY when it comes with these stablecoin, everyone quite literally wanna stake their stablecoin and these platform hardly finds any way of growing the current available capital, therefore there's nothing left but reducing the APY which means no more good profit.