NEAR Staking 2024

In this article, we provide our expert insights on NEAR staking.

NEAR Protocol is a decentralized, open-source platform for building applications and services. The NEAR ecosystem uses staking to secure the network and reward participants.

Staking is the process of locking up your NEAR tokens to validate transactions and participate in network governance.

Benefits of Staking NEAR

By staking NEAR crypto coin you can:

✅ Earn passive income:

Staked NEAR tokens allows you to earn passive income in the form of additional NEAR tokens. The current staking reward rate is around 5%, which means that you can earn more than 5% of the value of your staked tokens each year.

This can be a significant source of passive income, especially if you stake a large amount of NEAR tokens.

✅ Support the network:

By staking your NEAR tokens, you are helping to secure and decentralize the NEAR network. This makes the network more resistant to attack and more resilient in the long run. The more people who stake their NEAR tokens, the more secure and decentralized the network will be.

✅ Have a say in the future of the network:

As a NEAR staker, you will have the opportunity to participate in the governance of the NEAR network. This means that you can vote on proposals that affect the future of the network. This gives you a voice in how the network is developed and how it is used.

✅ Increase liquidity:

Staking NEAR tokens can help to increase the liquidity of the NEAR token. This makes it easier for people to buy and sell NEAR tokens, which can boost the price of the token.

✅ Reduce transaction fees:

Staking NEAR coin can help to reduce transaction fees on the NEAR network. This is because stakers are rewarded for validating transactions, which helps to keep the network running smoothly.

✅ Access to exclusive features:

Some staking pools offer exclusive features to their stakers. This could include early access to new features, airdrops of new tokens, or discounts on transaction fees.

Risks of Staking on NEAR

There are a few risks associated with staking NEAR tokens:

❌ Impermanent loss:

If the value of your NEAR tokens decreases while you are staking them, you may lose money. This is because the value of the tokens you earn as rewards will be less than the value of the tokens you staked.

❌ Smart contract risk:

The NEAR protocol is still under development. There is a risk that there could be bugs in the smart contracts that could result in financial losses for stakers.

❌ Unbonding period:

Staking NEAR token comes with an unbonding period, restricting the movement or transfer of staked tokens for a set duration.

While this safeguards against sudden, large-scale unstaking that could destabilize the network, users should weigh this limitation against their broader DeFi activities and crypto strategy.

What is NEAR Token Staking?

NEAR crypto staking is the process of locking up your NEAR tokens to validate transactions and participate in network governance.

When you stake your NEAR tokens, you are essentially lending them to validators who are responsible for maintaining the network. In return, you receive a reward in the form of additional NEAR tokens.

We have prepared an article for you explaining what crypto staking is in detail.

How to Stake NEAR coin?

There are a few different ways to stake your NEAR tokens. Below we give two examples.

Staking Through Wallet

If you want to stake NEAR token using a wallet, here’s a step-by-step how to do that:

1. Ensure you have a NEAR wallet: Stake your NEAR tokens using wallets like Ledger, NEAR wallet, Lightning wallet or Trust wallet. We’ll use the Near wallet in this tutorial.

2. Open NEAR wallet and select a validator: Stake your NEAR by connecting your Ledger or using Near wallet directly. Install the Near wallet extension, deposit tokens, and choose validators from the Verified Staking Provider (VSP) Program.

3. Finalize the transaction: Go to in the NEAR wallet Staking tab, click ‘Stake my tokens,’ select validators, and click ‘Stake with Validator.’ Enter the amount, press ‘submit stake,’ and approve the transaction in your wallet.

Staking Pool

Another way you can stake your NEAR tokens is through a staking pool. Staking pools make it easy to stake your tokens without having to run your own node.

Here are a few of the most popular staking pools:

✔️ NEAR Wallet: NEAR Wallet is the official NEAR staking wallet. It offers a built-in staking pool.

✔️ StakeNEAR: StakeNEAR is a non-custodial staking pool. It offers a variety of features, including automatic compounding and multiple payout options.

✔️ Guard Network: Guard Network is a custodial staking pool. It is a good option for users who want to stake their tokens without having to worry about security.

Why Stake NEAR?

There are several reasons why you should stake your NEAR stablecoin:

• Earn rewards: As a validator, you will earn a percentage of the fees paid by users of the network. This can be a significant source of passive income.
• Support the network: By staking your tokens, you are helping to secure and decentralize the NEAR network. This makes the network more resistant to attack and more resilient in the long run.
• Have a say in the future of the network: As a staker, you will have the opportunity to participate in the governance of the NEAR network. This means that you can vote on proposals that affect the future of the network.

Choosing Staking Platform

Choosing the right staking platform is crucial to secure your rewards and staked coins. Here are key considerations:

• Consider factors like platform reputation and age.
• Use reliable sources like our website for information on crypto-related topics.
• Before staking, review terms and conditions for cooling periods, and minimum staking amounts.

NEAR Staking: Conclusion

NEAR staking can be a great way to earn rewards and support the network. However, it is important to be aware of the risks involved before you start staking.