Summary
You can stake your ETH holdings to earn passive rewards. From the app’s home screen, tap on Earn > ETH Staking. ETH Staking is also available on Bitcoin.com’s decentralized exchange Verse DEX here.
Table of Contents
What is ETH staking?
ETH staking involves locking up your Ether (ETH) in a smart contract to help secure the Ethereum network and earn rewards. When you stake ETH, you contribute to the network's operations, such as validating transactions and creating new blocks, under the Proof of Stake (PoS) consensus mechanism. In return, you receive staking rewards in the form of additional ETH. Learn more about staking in our Learning Center. If you don't have ETH, you can get it in a few taps in the app.
What is the yield for ETH staking?
The yield for ETH staking can vary based on several factors, including the total amount of ETH staked on the network, the network’s overall activity, and the staking protocol in use. At the time of writing, staking yields are in the 3-4% APY range. However, these rates are dynamic and can change over time.
Where does the yield for ETH staking come from?
The yield for ETH staking comes from two primary sources:
Transaction Fees: A portion of the transaction fees paid by users to get their transactions included in blocks is distributed to stakers.
Newly Minted ETH: Validators are rewarded with newly created ETH for their role in securing the network. This helps incentivize staking and ensures the network remains secure.
Is there a penalty for withdrawing my staked ETH?
There is no penalty for simply withdrawing your staked ETH. Currently, if you choose to withdraw your staked ETH, there is a mandatory waiting period due to the network's withdrawal queue mechanism. It may take up to week between requesting to withdraw your staked ETH, and receiving your ETH + staking rewards back in your wallet.
How are the rewards distributed?
Your rewards for ETH staking are distributed automatically and in real-time as blocks on the Ethereum blockchain are validated. When you withdraw your staked ETH, you will automatically receive all the ETH you deposited, plus any rewards you have accrued.
Are my ETH staking rewards compounding?
When you stake your ETH in the Bitcoin.com Wallet app or on Bitcoin.com’s decentralized exchange Verse DEX, your staking rewards compound automatically. You can track the rewards you have accumulated from within the dApp:
What is the interest rate I will earn for staking my ETH?
The interest rate for staking ETH fluctuates based on network conditions, including the total amount of ETH staked and overall demand. While specific rates are not fixed, they typically range from 3% to 7% annually. To get the most accurate and current rate for ETH staking and other products, navigate to Home > Earn:
Step-by-step instructions for staking ETH
From the app’s home screen, scroll down and select “Earn.”
Tap on ETH Staking then hit the STAKE ETH button.
Enter the amount of ETH you would like to stake, then hit CONFIRM STAKE. Note that you will need some ETH remaining in your wallet to cover the transaction fee.
Confirm the transaction by Sliding the Arrow.
Step-by-step instructions for withdrawing your staked ETH
From the app’s home screen, scroll down and select “Earn.”
From the app’s home screen, scroll down and select “Earn.”
Tap on ETH Staking then hit the REQUEST UNSTAKE button.
Enter the amount of ETH you would like to unstake, then hit CONFIRM UNSTAKE. Note that you will need some ETH in your wallet to cover the transaction fee.
Confirm the transaction by Sliding the Arrow.
Note that requests to withdraw your staked ETH take up to 7 days to process. This is due to Ethereum’s proof-of-stake queuing system which is designed to ensure security and stability. Once processed, the ETH that you had staked, plus any ETH rewards accrued, will be available to claim with your Ethereum wallet.
What is vstETH?
vstETH is the receipt token that you receive when you stake ETH with Bitcoin.com. It represents your deposits into Bitcoin.com's ETH staking pool. When you unstake your ETH, you'll be sending your vstETH back to contract. In exchange, you will receive ETH plus any rewards you have accrued while your ETH was staked.