Method 1 — Staking with a Web3 Wallet (9–11% APY)

This method is widely regarded as the best practice and is supported by the Avalanche community. By utilizing the Avalanche Wallet, a non-custodial Web3 wallet, you directly connect your AVAX to the Avalanche network.

The crypto community favors this approach because you control your private keys. The saying goes, “Not your keys, not your crypto.” The Avalanche Foundation also advocates for using Web3 wallets, empowering stakers to select their own validators and contribute to network decentralization.

Here’s how to stake your AVAX using the Avalanche Wallet:

1. Create a wallet, which takes just a few minutes.
2. Transfer AVAX from an exchange to your Avalanche Wallet.
3. Delegate your AVAX to a staking pool via the Earn tab on the left.
4. Rewards will start accumulating and will be available after a minimum locking period of two weeks.

And you’re all set! For a more detailed guide, check out my YouTube channel.

Important notes for staking:

• Proof-of-Stake (PoS) operates similarly to a lottery, where validators are randomly selected to create the next block, with selection probability based on stake.
• Delegation allows AVAX holders to pool their stakes for better chances of being selected for block creation, a common practice across many blockchains.
• When selecting a staking pool, opt for a validator with low fees and high uptime.
• Lock-up periods are mandatory, with a minimum duration of two weeks for all Avalanche validators—plan accordingly.
• Safety is ensured as there is no risk of slashing on Avalanche, meaning your stake remains secure.

Method 2 — Staking on Exchanges (Up to 21.6% APR)

Several centralized exchanges now provide Staking-as-a-Service (SaaS), where your AVAX is held in a custodial wallet managed by the exchange, which stakes it for you. This arrangement offers higher returns and convenience, allowing you to purchase and stake AVAX on the same platform.

I’ll focus on Binance, which boasts an industry-leading yield of up to 21.63% on AVAX. As the largest exchange globally, it has established a solid reputation for safety.

Here’s how to stake on Binance:

1. Ensure you have AVAX in your Binance Spot Wallet.
2. Navigate to the Locked Staking page.
3. Select your preferred locking period—30, 60, or 90 days—and click Stake Now.

Your staking rewards will be periodically deposited into your Spot wallet.

Method 3 — Saving in a Crypto Interest Account (4–10%+)

Another avenue for earning interest on your AVAX is to save it in a crypto interest account. The primary players in this space include Crypto.com, Celsius, Nexo, and BlockFi.

These services operate similarly to traditional savings accounts but offer significantly higher returns ranging from 4% to over 10%, paid in AVAX or even higher rates for other cryptocurrencies.

Here are the current interest rates:

• Crypto.com: 4–6% APR, with up to 8% for Metal VISA Card holders and some bonus rewards in CRO.
• BlockFi: 10% APY.
• Celsius: 5.75% APY (in AVAX) or 7.21% (in CEL tokens).
• Nexo: 10%+ APY (in AVAX) or 12%+ (in NEXO tokens).

I actively use all four platforms to hold crypto and earn consistent yields, especially beneficial for BTC and ETH investors who can't stake these assets but want to increase their holdings.

Another advantage is the ability to take out instant loans against your crypto collateral. As discussed in this article, leveraging debt strategically is a hallmark of wealth accumulation.

Steps to save AVAX on Crypto.com/Celsius/Nexo/BlockFi:

1. Create an account and complete KYC, which is quick.
2. Transfer AVAX from an exchange to your account.

Once the AVAX is in your wallet, you’ll start earning rewards right away. (On Crypto.com, ensure to transfer your AVAX to your Earn wallet.)

Moreover, you can seize opportunities during market downturns by taking stablecoin loans against your crypto collateral, a strategy often employed by savvy investors to expand their portfolios.

I hope this guide has been helpful.

Follow me on Twitter and YouTube for ongoing analyses and tips.

My Crypto Articles

• Unlock unlimited access to Medium by joining here.
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• A Review of the Cryptocurrency Market in 2022
• Web3 Gaming — What do Crypto, NFTs & Metaverse offer?
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• Polygon & Solana — 6 Killer Crypto/NFT Use Cases
• A Brief History of NFT Marketplaces
• Compound Interest is the 7th Wonder of the World
• How to Generate Passive Income with Crypto
• Crypto Passive Income on BNB Chain
• Move & Earn Crypto — 6 Month Review of STEPN
• PancakeSwap’s High APY Pools — What’s the Catch?
• Cardano, Avalanche, Solana Staking Guides (2022)
• Cardano, Avalanche, Solana Price Predictions (Bull Market)
• How to Make Crypto Price Predictions
• Top 3 Price Prediction Mistakes
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• Memecoin Speculation — Is It Worth It?
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Crypto Sign Up Bonuses

• Binance — 5% off fees forever (link)
• Nexo — $25 free BTC with $100 deposit (link)
• Crypto.com — $25 free CRO with a Jade Green VISA Card (link)