What is Staking?
Staking utilizes blockchain Proof-of-Stake protocol to generate rewards through a process typically called “staking”.
Benefits of Onchain staking on Kraken versus staking on other platforms:
✓ Start earning rewards instantly — no waiting or bonding periods
✓ Some of the highest returns in the industry
✓ Stake your assets in just a few clicks from your Kraken balances
✓ Instant unstaking when using Flexible terms
Kraken offers two types of staking products: Bonded and Flexible.
Assets and programs eligible for Staking
Asset | Bonded | Flexible |
|---|---|---|
Cardano (ADA) | - | ✅ |
Algorand (ALGO) | - | ✅ |
Cosmos (ATOM) | ✅ | ✅ |
Polkadot (DOT) | ✅ | ✅ |
Dymension (DYM) | ✅ | ✅ |
Ethereum (ETH) | ✅ | - |
Ethereum Restaking (ETH) | ✅ | - |
Flow (FLOW) | ✅ | ✅ |
Flare (FLR) | - | ✅ |
The Graph (GRT) | ✅ | ✅ |
Injective (INJ) | ✅ | ✅ |
Kava (KAVA) | ✅ | ✅ |
Kusama (KSM) | ✅ | ✅ |
Polygon (MATIC) | ✅ | ✅ |
Mina Protocol (MINA) | - | ✅ |
Secret Network (SCRT) | ✅ | ✅ |
Sei Network (SEI) | ✅ | ✅ |
Solana (SOL) | ✅ | ✅ |
Celestia (TIA) | ✅ | ✅ |
Tron (TRX) | ✅ | ✅ |
Tezos (XTZ) | ✅ | ✅ |
Note: Geographic restrictions apply for asset and program availability - see here for more information.
For asset tickers, please refer to our API documentation.
Bonded Staking
Kraken offers on-chain bonded terms when staking certain assets, such as DOT and ATOM. Staking rewards will typically be paid out to your staking balance each payout interval. If you choose Bonded staking, your assets will be subject to a wait time after you unstake them before you can use them for other purposes. The wait time (known as the on-chain unbonding period) can last 3 or more days, depending on the asset.
While your assets are staked via our Bonded staking services, they are not available for trading and cannot be transferred to your external (non-Kraken) account.
Staking also impacts your equity for margin trading (where available). Staking in bonded products will remove them from your trading and equity balances. Your equity balances affect your free margin and margin level for margin trading.
In addition to its unbonding period, ETH is subject to an on-chain bonding period when staking is initiated.
Currency | On-chain Unbonding Period | Bonded Staking Annual Percentage Rate (APR) |
|---|---|---|
21 days | 9-12% | |
21 days | 14%-20% | |
21 days | 2%-5% | |
Variable (On-chain bonding & unbonding) | 2%-5% | |
Variable (On-chain bonding & unbonding) | 2.25%-6% | |
Flow (FLOW) | 14 days | 10%-16% |
Injective (INJ) | 21 days | 11%-14% |
21 days | 5%-9% | |
7 days | 12%-19% | |
28 days | 10%-16% | |
3 days | 3%-6% | |
21 days | 13%-19% | |
21 days | 3%-6% | |
3 days | 5%-11% | |
10 days | 11%-16% | |
28 days | 10%-17% | |
14 days | 3%-5% |
*Rates above are estimates and are subject to change in compliance with Kraken’s Terms of Service. Assets subject to an on-chain bonding period do not accrue rewards during the period after you elect to unstake and before the on-chain unbonding period ends.
Flexible Staking
Flexible staking allows you to unstake your assets at any time without being subjected to an unbonding period. This allows for immediate access to assets once unstaked, to be used for other purposes.
Staking also impacts your equity for margin trading. Staking in flexible products will remove them from your trading and equity balances. Your equity balances affect your free margin and margin level for margin trading.
Auto Earn Program
Auto Earn enables you to earn crypto on every eligible asset in your account. Your assets will generate weekly rewards, which compound over time.
To use Auto Earn, you simply need to turn it on and it will apply across all eligible assets in your account. Once you have activated Auto Earn, Kraken will automatically allocate your eligible assets and manage the whole process, with no further action required from you.
Assets enabled in Auto Earn are put into the Flexible Staking Program and are available to trade (including Spot and Margin trades on Kraken Pro) or withdraw at any time.Read our Overview of Auto Earn on Kraken page for more information.
Reward Rates
Staking rewards are paid out once per week, but timing will differ by asset and product type. There may be variance in payout timing due to platform upgrades.
Each asset will earn rewards at its own Annual Percentage Rate (APR). The reward rate is different per asset, and rewards will be paid out in kind. For example, your rewards for staking ETH will be in the form of ETH. Rewards will only be paid if the reward is greater than the smallest decimal precision supported.
All rewards that have been earned will appear in the total rewards column on the Earn page.
Currency | Flexible Staking annual percentage rate (APR) | Bonded Staking annual percentage rate (APR) |
|---|---|---|
Bittensor (TAO) | 6%-12% | N/A |
2%-5% | N/A | |
3-6% | 9-12% | |
7%-11% | 14%-20% | |
1%-2% | 2%-5% | |
1%-3% | 2%-5% | |
N/A | 2.25%-6% | |
0.1%-2% | N/A | |
1%-7% | 10%-16% | |
4%-7% | 11%-14% | |
2%-5% | 5%-9% | |
6%-10% | 12%-19% | |
7%-12% | N/A | |
4%-8% | 10%-16% | |
1%-3% | 3%-6% | |
7%-11% | 13%-19% | |
1%-3% | 3%-6% | |
2%-5% | 5%-11% | |
5%-10% | 11%-16% | |
6%-9% | 10%-17% | |
1%-3% | 3%-5% |
Rates are estimates and are subject to change in compliance with Kraken’s terms of service. Assets subject to a onchain bonding period do not accrue rewards during the period after you elect to unstake and before the onchain unbonding period ends.
*Rates are estimates and are subject to change in compliance with Kraken’s terms of service. Assets subject to an on-chain bonding period do not accrue rewards during the period after you elect to unstake and before the on-chain unbonding period ends.
† Rewards are earned only through Flare network airdrops.
* Assets with no on-chain unbonding period.
** As of the Shapella upgrade rewards will be issued to your account as unstaked ETH, fully unlocked and able to stake, trade or withdraw in your account. Kraken will continue to distribute weekly rewards on a variable rate that reflects what we’ve earned on-chain minus our fee. Rewards will vary according to the rules of the Ethereum protocol. ETH staking rewards are not auto-compounded and will be added to your spot balance.
Am I eligible for Staking?
Geographical restrictions can be found here. If Staking is not showing as an option on your account, you may not be eligible.
Fees
There are currently no transaction fees for staking or unstaking. Kraken takes a commission based on the rewards you receive from the network.
Staking and restaking are considered separately when determining commissions. For example, if you stake 2,000 ETH and restake 3,000 ETH, Kraken will retain a commission of 22% of the rewards earned, and not 16% as applicable to a 5,000 ETH current balance staked.
The APR rates shown above are an estimate of the rewards you could earn on the assets you hold, before our commission, and are based on the average staking rewards accrued over the past period. In cases where we are subject to a validator commission, the APR rates shown are after such commissions. Commissions for onchain bonded staking, and for flexible staking on assets with no onchain unbonding period, are based on current balances staked per asset.
For example, if you stake 4,000 ETH and earn 200 ETH in network rewards, Kraken will retain a commission of 16% of the rewards earned (32 ETH).
Bonded staking commissions per asset are outlined in the table below:
Kraken Commission | 20% | 16% | 12% | 10% | 8% | 6% |
|---|---|---|---|---|---|---|
0-70K | 70-350K | 350K-2M | 2-10M | 10-40M | 40M+ | |
0-500 | 500-5K | 5-25K | 25-75K | 75-150K | 150K+ | |
0-400K | 400K-1.25M | 1.25-5M | 5-25M | 25-100M | 100M+ | |
0-40K | 40-200K | 200-800K | 800K-3M | 3-10M | 10M+ | |
0-15K | 15-75K | 75-375K | 375K-1.6M | 1.6-8M | 8M+ | |
0-40K | 40-200K | 200-800K | 800K-3M | 3-10M | 10M+ |
Kraken Commission | 26% | 22% | 16% | 14% | 12% | 10% |
|---|---|---|---|---|---|---|
Bittensor (TAO) | 0-200 | 200-750 | 750-2.5K | 2.5K-9K | 9K-30K | 30K+ |
0-4K | 4-20K | 20-80K | 80-300K | 300K-1M | 1M+ | |
0-8K | 8-40K | 40-200K | 200-800K | 800-2M | 2M+ | |
0-16K | 16-80K | 80-400K | 400K-1.6M | 1.6-4M | 4M+ | |
0-500 | 500-5K | 5K-25K | 25-75K | 75-150K | 150K+ | |
Flow (FLOW) | 0-100K | 100-500K | 500K-2.5M | 2.5-10M | 10-25M | 25M+ |
Injective (INJ) | 0-1K | 1-5K | 5-25K | 25-100K | 100-300K | 300K+ |
0-30K | 30-150K | 150-750K | 750K-3M | 3-7.5M | 7.5M+ | |
0-3K | 3-15K | 15-75K | 75-300K | 300-750K | 750K+ | |
0-90K | 90-450K | 450K-2.25M | 2.25-9M | 9-22.5M | 22.5M+ | |
0-35K | 35-175K | 175-875K | 875K-3.5M | 3.5-8.75M | 8.75M+ | |
0-60K | 60-250K | 250K-1M | 1-5M | 5-20M | 20M+ | |
0-4K | 4-20K | 20-100K | 100-400K | 400K-1M | 1M+ | |
0-175K | 175-875K | 875K-4.375M | 4.375-17.5M | 17.5-43.75M | 43.75M+ | |
0-200K | 200K-1M | 1-4M | 4-20M | 20-100M | 100M+ |
Flexible staking commission:
For flexible staking on assets with an unbonding period, you will receive network rewards on up to 50% of the assets you elect to stake, less Kraken’s commission. For Cardano (ADA), MINA (MINA), Bittensor (TAO), commissions for flexible staking are based on balances staked per asset, as shown in the table above. For all other staking assets, commissions are 20%. Rewards are generated by staking a portion of your eligible assets on-chain, Kraken keeps the remainder unstaked for liquidity purposes. The APR shown above under “Rewards (annual percentage rate)” do not include Kraken’s commission. For additional information, please refer to our Terms of Service.
Auto Earn Program
If you enable the Auto Earn program, you will pay a flat 20% commission.
Read our Overview of Auto Earn on Kraken page for more information.
Mobile app availability
You can use Bonded and Flexible staking on the Kraken Pro mobile app. Only Flexible - Auto Earn feature is available on the Kraken mobile app.
Risks of Staking
Participating in staking is not a risk-free endeavor. Individuals should be aware of the following risks.
- •If you elect to unstake assets subject to an unbonding period, your assets will not be able to be withdrawn or traded until that unbonding period expires, and you will not continue to accrue rewards during that unbonding period. The market price of staked assets may significantly increase or decrease by the time the unbonding period expires, due to market volatility.
- •We do not guarantee you will earn any reward. Changes to blockchain protocols and network behavior may impact rewards. Future rewards may be less than historical rewards, or even drop to zero.
- •Staking services could be vulnerable to hacks or an event known as “slashing” can be triggered by malicious actions or technical errors, resulting in a loss of staked funds and subsequent rewards.
You retain ownership of each eligible asset that is staked, and such assets remain your property while staked.
We will compensate you for any slashing penalty or nonpayment of staking rewards, unless this nonpayment results from your actions, network maintenance, a bug, a hack, or in certain other rare situations. For a full list of circumstances, please refer to our Terms of Service.
You retain ownership of each eligible asset that is staked, and such assets remain your property while Staked. However, you may be affected by bonding periods if you want to unstake assets you have staked using our bonded staking option.
Are Staking and Opt-In Rewards the same products?
No. While similar in design on our client interface, Staking and Opt-In Rewards are separate products. Staking utilizes assets “on-chain” in Proof-of-Stake protocols such as Tezos. Opt-In Rewards utilizes assets as further described in our Terms of Service. Both Staking and Opt-In Rewards have 3 programs available: Bonded, Flexible and Auto Earn.
Resources
The decimal and thousands separators shown in this article may differ from the formats displayed on our trading platforms. Review our article on how we use points and commas for more information.