USDT staking, how sustainable is it?.

[YoungBoyCrypto]

Okay, so first of all, I would be very careful with random staking platforms. It seems this particular exchange you mentioned has more than half negative reviews on Trustpilot. That's a huge red flag! Also, didn't BingX experienced a security incident not too long ago? Anytime a platform gets hacked, it raises serious questions about their security measures.

There are lots of scams out there, and you don't want to lose your money. Maybe look into staking options on big exchanges you already know.

Bingx did but they bounced back all right and has had no issues since then. From CMC they're top5 derivative rn. Thanks for the tip though, I'll explore

[CTM_Marketing]

Now many exchanges offer USDT staking but a lot depends how safe is this exchange and what profit it offers.

[TastyChillySauce00]

I think there is a risk in staking rewards on centralized platforms, so as long as the market is collapsing, it is better to stay away from any service that gives a high APR. Therefore, the highest return is not the priority, but rather a good platform or being satisfied with POS coins, especially after what happened with ByBIt.

I think the most viable way of staking is just flexible saving that automatically put our money into their staking plan while it's dorman because often time I have money that's not going anywhere because I'm waiting for the price to dip to make trade and if the exchange automatically includes that to their flexible saving plan with good enough APR that'd be great.

other than that, the APR is too low for the risk accompanied because as we all know, centralized exchange could get hacked and all our money frozen just like past events.

[Kusunoki_Samurai]

Staking becomes risky. It is possble to lose all your USDT. Just remember the situation with Garantex. Such situation can happen with every exchange. And how it is possible to trust Tethere where you coins can be frozen.

[Bushdark]

Staking becomes risky. It is possble to lose all your USDT. Just remember the situation with Garantex. Such situation can happen with every exchange. And how it is possible to trust Tethere where you coins can be frozen.

You are correct 💯 but you know many holders are still looking for ways to make money more from their holdings.
I wouldn't support the motion that you have stake all your eggs at once because you are looking for ways to make money from the market.  Rather than staking everything you have, it is better to stake a few percentage and keep holding the rest in a secured wallet where you are the only one that have full owner and access to it.

 There are many staking pools that are being watched by hackers and any slightest error or bug, all holders tokens could be wiped off. We ought to be patient and take decisions wisely to avoid future regret because of lack of understanding of the crypto space. Take risks but the ones you can afford to loss.

[Kavelj22]

Staking becomes risky. It is possble to lose all your USDT. Just remember the situation with Garantex. Such situation can happen with every exchange. And how it is possible to trust Tethere where you coins can be frozen.

One of the biggest problems facing Tether and increasing the lack of transparency of the company is the company's cash reserve. For at least 4 years now, there have been many rumors that the company's USDT stock is not 100% backed by real cash cover. This causes a big problem, as what gives Tether USDT value is that it is backed by a dollar cash cover that maintains the currency's price against the dollar. Since the company's digital currencies are not 100% backed, this means that the price of the Tether dollar against the US dollar is supposed to decrease.

The biggest problem is that so far, no official audit has been issued by Tether regarding this matter. The company has repeatedly denied these rumors and claimed that all digital dollars have a 100% cash cover. However, the company has not issued any reports proving this in the past period. Until now, many investors are still waiting for an official audit report proving that there is a cash reserve supporting the Tether dollar.

[Tipstar]

It's about ease and what you are comfortable in. Bingx is a reputable platform and you can go with it if you feel the interest you getting is okay. There are risk associated with centralized exchanges and USDT as a coin but they might be fewer than having to convert to some other coins for staking or using defi.
Personally, I don't feel like holding a fiat pegged coin for too long. My local banks are giving similar interest rate on 3 months FD and I'd any day chose them instead of holding USDT. I have used some defi staking platforms that provides around 18% on USDT staking but doing a grid trading on bitcoin too would result in similar results.

[Hispo]

Staking becomes risky. It is possble to lose all your USDT. Just remember the situation with Garantex. Such situation can happen with every exchange. And how it is possible to trust Tethere where you coins can be frozen.

One of the biggest problems facing Tether and increasing the lack of transparency of the company is the company's cash reserve. For at least 4 years now, there have been many rumors that the company's USDT stock is not 100% backed by real cash cover. This causes a big problem, as what gives Tether USDT value is that it is backed by a dollar cash cover that maintains the currency's price against the dollar. Since the company's digital currencies are not 100% backed, this means that the price of the Tether dollar against the US dollar is supposed to decrease.

The biggest problem is that so far, no official audit has been issued by Tether regarding this matter. The company has repeatedly denied these rumors and claimed that all digital dollars have a 100% cash cover. However, the company has not issued any reports proving this in the past period. Until now, many investors are still waiting for an official audit report proving that there is a cash reserve supporting the Tether dollar.

Assuming all the stablecoins they issue are not one hundred percent backed by their reserves, still it would take some kind of digital "bank run" by thousands or hundred of thousands of people to claim money from Tether at the same time for them to show they have not enough liquidity to issue all the claims for dollars in bank accounts or cash. That is still very unlikely to happen, as the whole crypto community has chosen to trust and not to verify what is behind the vaults of the organization...
In the end, there is no much we can do as users, but avoid to use those tokens and move onto others which are willing to keep more transparency or are over-collaterized by other assets like Ethereum on smart contracts (which is the case of Dai).

Do not even think on putting your hard earned money on algorithmic stablecoins, which have been proven to fail once and once again, being terra/luna the most painful lesson for many people out there...

[Barikui1]

Okay, so first of all, I would be very careful with random staking platforms. It seems this particular exchange you mentioned has more than half negative reviews on Trustpilot. That's a huge red flag! Also, didn't BingX experienced a security incident not too long ago? Anytime a platform gets hacked, it raises serious questions about their security measures.

There are lots of scams out there, and you don't want to lose your money. Maybe look into staking options on big exchanges you already know.

When I saw this post, this was my exact sentiment about it entirely, because by the look of things people don't actually know the full risk attached to staking, they mostly don't know that as long as staking is concern, it always happens in an exchange, and you will be forced to keep your asset in the exchange in the duration of time you are staking your asset, so if during that time interval that you are staking your asset something happens to the exchange in question, either hacking or internal theft like the case of FTX,   your asset is a good as gone, so the risk is too much to bear for a right thing person to risk his or her asset for, especially if the person is not ignorant about it, because staking can take even more from you, comparing to what it might give you if things goes as planned.

[asriloni]

Staking becomes risky. It is possble to lose all your USDT. Just remember the situation with Garantex. Such situation can happen with every exchange. And how it is possible to trust Tethere where you coins can be frozen.

It's not apple to apple when you took Garantex as an example, it's getting shutdown by the Government due to the money laundering. It's facilitated so many criminals to laundering their money. That's why when you compared it to the BingX, It's same like you're comparing orange to apple.

As for Tether, as long as you're not doing fraudulent activies related to the hacked case or something like that. Your money won't be frozedn by them. If people are worrying to use USDT, there would never be billions in circulating supply. The better to stop overthinking to the stable token because it's not as bad as you think.

[crwth]

Well, it depends on whether you use your USDT or not. Staking is ideal if you have a lot of extra money sitting around, mostly because you are not going to be able to do anything with it once you stake it in a certain amount. You are definitely going to be receiving rewards for it, which is a good thing about it.

In terms of sustainability as you make it as a source of income, it's not ideal because the return may vary, and it would take years, unless your stack is huge, that 8% would be enough for you to live on for 12 months. Why not?

It depends on the capital, in my opinion, and staking could be a good side thing.

[Cointxz]

I guess my question is: what’s your go-to strategy when the market isn’t favorable to you? And do you think staking rewards of 8% APR on USDT are sustainable?

AFAIK Binance offer higher APY above 10% for deposit below 1000$ but right now they this on USDC currency which is same stable coin.

Staking is good if you are waiting for the market stop bleeding so that you can gain passive profit while waiting given that you will just hold your altcoin.

Some casino offers Staking too with much better APY than exchange offer but there’s just risk of tempted to gamble and lose your capital so I don’t recommend it if you have no self control

[avikz]

The market is retracing, and lots of opportunities are starting to present themselves again. Market sentiment isn’t fearful anymore, which is good. Oh, before I forget—happy new month to you!

Back to the discussion: before the market started recovering, I saw an offer to stake USDT and earn up to 8% APR. I took the offer here, but it seems surreal.

When the market was bleeding, I remained calm because of this opportunity I stumbled upon. It made me appreciate the diverse sectors within crypto and the various ways to earn.

I guess my question is: what’s your go-to strategy when the market isn’t favorable to you? And do you think staking rewards of 8% APR on USDT are sustainable?

I will suggest to take a very cautious step before trusting any centralized exchange. I have checked Coinmarketcap website and I can see it is listed there and currently trending at number 19. But that doesn't guarantee anything.

Also I believe some more trusted platforms offer USDT staking. You may want to look for trust than return. Safety of money is more important than the percentage of return.

[supine]

If you want to earn from staking your USDT why not use a trusted platform?
Most trading sites now offer staking but the APY fluctuates from time to time but still it is better to be safe than sorry.
I also think that it is better to stake USDT or stable coins now compared to trading altcoins specially for day traders or those who are aiming for short term trades.

[shinratensei_]

If you want to earn from staking your USDT why not use a trusted platform?
Most trading sites now offer staking but the APY fluctuates from time to time but still it is better to be safe than sorry.
I also think that it is better to stake USDT or stable coins now compared to trading altcoins specially for day traders or those who are aiming for short term trades.

yeah, even most of exchange now offer massive APR as high as 300% for few days but limited to new member that just got registered only.
plenty of choice out there, ultimately APR always floats around 5-10% in most of exchange but I'd take that over losing in such turbulence altcoin market.

but I advise OP to not expect much profitability wise unless he staked millions, these staking hardly worth the time but still a good way to at least increase the capital.