Main Takeaways
20+ staking assets on the largest major U.S. staking platform.All assets are staked from cold storage and rewards are earned and passed on to you through blockchain validation, without leverage or loan structures.
No matter the market conditions, a savvy investor should always consider their appetite for risk when it comes to their investment portfolio. With recent market volatility at the forefront of most investors and trader’s minds, now is a natural time to reassess your financial positioning.
The current changes to the crypto ecosystem has likely left many users in a position of self-reflection, wondering what the best choices are in regards to their crypto holdings. Before making any decisions, take stock and reexamine your current approach to risk management.
If you’re already a Binance.US customer, we want to help. Let’s take a look at the risks involved with staking on Binance.US and how we manage your assets.
What is Binance.US Staking?
Binance.US is the largest on-chain staking platform in the U.S today. Cryptocurrency staking allows you to earn rewards on your existing cryptocurrency holdings. Like the name suggests, cryptocurrency staking is typically, but not always, available on assets that use the Proof-of-Stake (PoS) consensus mechanism.
Here’s how it works: When you stake crypto, you commit your assets toward securing the asset’s Proof-of-Stake (PoS) network. As long as your assets remain staked, they’re used to verify transactions on the network, facilitate decentralized governance, and improve the network’s resilience. On Binance.US, even when you stake your assets, they remain your assets. You can withdraw them whenever you want, but they may be subject to an unstaking period, meaning you may have to wait a period of days before they are returned to you. To incentivize staking, the network generates rewards through newly created block rewards and/or transaction fees collected from circulating assets.
Independent cryptocurrency staking can be a daunting process for most individuals. In addition to meeting hardware requirements that may vary from asset to asset, users may also need to install and run their own nodes. That’s where Binance.US Staking comes in. With a user-friendly interface and industry-leading uptime across nodes, Binance.US Staking is the destination of choice for customers looking to earn rewards on their assets.
User education
Binance.US invests in user education by supplying content including FAQs, tutorial videos and Binance.US Blog articles. With a wealth of information on how to responsibly use our platform, our users should feel empowered to make informed investment decisions.
ETH 2.0 products
Binance.US ETH 2.0 aims to make participation in the Ethereum 2.0 network easy for all users looking to earn on-chain rewards.
Reducing the minimum investment needed for ETH 2.0 staking
Thanks to Binance.US, users don’t need to provide the traditional 32 ETH to stake on the Ethereum network. Users looking to enjoy ETH 2.0 staking can do so for as little as 0.001 ETH. This drastically lowers the barrier to entry by requiring significantly less capital to start staking.
Protection from penalties and slashing
While good behavior on a blockchain is encouraged with rewards, like staking, bad actions, like inactivity or other malicious validator behavior, is discouraged by slashing.
In some cases, Binance.US may protect your stake from a slashing penalty and return your staked tokens if a slashing incident occurs. To learn more about this process, check out the Staking Services section of our Terms of Use.
Know where your staked ETH (and other crypto) goes
When it comes to staking ETH on Binance.US, 100% of what you deposit in ETH is staked on the Ethereum network. Binance.US has never and will never use your deposited funds for any other purpose, including lending or collateral provision, no matter which asset you choose to stake with us. Assets never leave our custody, so we don’t have counterparty risk. Rest assured knowing that your staked assets are safe on Binance.US.
Make informed decisions with Binance.US
Binance.US empowers users to make informed investment decisions by providing accurate and transparent information for all of our products and services. Staking is no different. Our coverage of this topic should prove valuable when deciding what to do with your cryptocurrency portfolio. To learn more about any of our services and to stay informed, visit any of our product pages and blog library.
For additional information, please refer to the follow articles:
ETH Staking & ETH Proof-of-Stake FAQ’s
How to Stake, Unstake & Manage Rewards on Binance.US
Risk notice: Cryptocurrency prices are subject to high market risk and price volatility. You should only invest in products that you are familiar with and where you understand the associated risks. You should carefully consider your investment experience, financial situation, investment objectives and risk tolerance and consult an independent financial adviser prior to making any investment.
This material should not be construed as financial advice. Past performance is not a reliable indicator of future performance. The value of your investment can go down as well as up, and you may not get back the amount you invested. You are solely responsible for your investment decisions. Binance.US is not responsible for any losses you may incur. For more information, please refer to our Terms of Use and Risk Warning.
