Making money staking Tezos on Binance

Binance, one of the worlds largest crypto exchanges has announced they are supporting Tezos staking.

Tezos is an upcoming crypto that has been rapidly gaining in popularity over the last few months. As a unique selling point, Tezos is able to upgrade itself. This should stop it from running into forking issues that have plagued Bitcoin. There have been numerous scammers in Bitcoin who have forked (basically duplicating) the project and used marketing to try and convince people to buy their fork. This devalues the original project. So Tezos tries to fix this with a self upgrading protocol.

Tezos relies on staking instead of proof of work. And unlike in other blockchains, where only a small % of people are involved in either proof-of-work or staking, Tezos aims to let everyone get involved. This will keep the project decentralised.

Staking on Binance

As a reward for staking, or “baking” as it’s known on Tezos, you earn a reward. Baking by yourself is a technical process. But now, if you hold Tezos on Binance it will automatically earn staking rewards. This is great news for Tezos holders. Coinbase, another large exchange started offering staking a month ago.

Rewards are distributed on a monthly basis. Binance calculates how much Tezos you have using Daily Snapshots. So you can accumulate Tezos over the course of a month — there is no perfect time to buy.

You’ll need a Binance account (sorry if you’re in the U.S, this won’t work for you). Then you’ll need to buy some Tezos. You can do this through the Binance exchange. Then all you need to do is hold onto your Tezos. It will automatically earn staking rewards.

The good thing about staking rewards is it compounds. So over time, the amount you earn will increase. At the moment you can expect to earn around 6–7% per annum. And if the price of Tezos rises, you’ll earn from the appreciation of the asset.

You can find out more about Staking Tezos on Binance here