Only three PoS or proof of stake blockchains are currently offering yields that are above 10%, according to an update from CoinGecko.
As noted in the detailed research report from CoinGecko, Cosmos (ATOM) has the highest yield among blockchains, offering staking yields of “up to 18.5%.”
The report also noted that Cosmos has a digital assets staking ratio “of 59%, approximately 248.8 million ATOM (worth approximately $1.2 billion).”
The CoinGecko research report further explained that these relatively high yields, coupled with the “functionality of the network, offer a compelling option for stakers and is reflected in the healthy staking ratio”
As stated in the research study from CoinGecko, Polkadot (DOT) : Polkadot has a “staking ratio of 56%, a total volume of 853.2 million DOT (worth approximately $3.7 billion), and offers yields of up to 11.5%. The attractive staking returns offer enticing opportunities for stakers who wish to participate in the chain’s ecosystem.”
CoinGecko pointed out in its research report “that Tezos (XTZ) : Tezos, one of the earliest available options for participants on PoS chains, has a staking ratio of 68%, a total of 699.6 million XTZ (worth approximately $470.6 million), and staking yields of up to 10.0%.”
A user-friendly staking model, called Liquid Proof-of-Stake, as well as an aspect of familiarity “due to the length of time it has been available for staking, offers an attractive option for stakers.”
CoinGecko also mentioned in its research study “that Avalanche (AVAX) : Avalanche has a staking ratio of 58%, a total volume of 234.1 million AVAX (worth approximately $7.2 billion), offering annual yields between 7-8%. Avalanche’s fast transaction speeds and relatively low transaction costs have attracted a growing staking community.”
CoinGecko added in its report “that Aptos (APT) : Aptos, a relatively new Layer-1 blockchain, has a staking ratio of 78%, a total volume of 855.6 million APT (worth approximately $9.0 billion), with yields at approximately 7.0%. Aptos has the highest staking ratio amongst PoS blockchains in the top 50 cryptocurrencies, reflecting a high degree of participation in the Aptos ecosystem.”
CoinGecko further noted in its update “that Solana (SOL) : Solana boasts one of the highest staking ratios, with approximately 67% of its total supply actively staked, a total of 393.6 million SOL (worth approximately $65.2 billion). This is a large amount considering that only 470.1 million SOL are currently in circulation.”
The CoinGecko report added that Solana offers an average “annual yield of 6-7%, making it attractive for investors, though network reliability issues in the past may pose risks that some investors consider.”
The report from CoinGecko pointed out “that TRON (TRX) : TRON offers staking yields typically between 4-5%, with a staking ratio of approximately 48% of total supply, or 42.5 billion TRX (worth approximately $6.7 billion). TRON’s staking model includes a combination of staking and voting mechanisms, where participants can vote for Super Representatives who validate transactions.”
The report also revealed: Ethereum (ETH) : As the largest PoS blockchain by market cap, Ethereum’s staking “yield stands at around 3.0%.”
The relatively moderate yield “reflects its high level of decentralization and security, with approximately 28% of the total ETH supply, a total of 34.2 million ETH (worth approximately $89.4 billion) currently staked. Ethereum’s yield is also influenced by its recent transition to PoS and the network’s overall maturity.”
Despite having the lowest staking ratio “amongst PoS blockchains in the top 50, it has the highest dollar value staked, approximately ~37.1% higher than its closest competitor, Solana.”
CoinGecko added that Cardano (ADA) : With “around 62% of ADA staked, a total of 22.5 billion ADA (worth approximately $8.2 billion), the staking yield hovers around 2-3% annually. Cardano’s automated delegation process makes it user-friendly, although the yields are modest compared to some of its peers.”
Sui (SUI) : Another emerging blockchain that “focuses on high throughput and efficient execution, Sui has a staking ratio of 77%, a total volume of 7.7 billion SUI (worth approximately $14.8 billion), and yields of up to 3%.”
Despite relatively lower yields compared to other blockchains, Sui still displays a “strong staking ratio, reflecting the confidence of stakers in the blockchain’s development.”
As stated in the CoinGecko update, Hedera (HBAR) : Hedera utilizes a consensus algorithm called the Hedera Consensus Service, which functions like a Proof-of-Stake (PoS) algorithm, “allowing stakers to yield rewards by participating in the staking mechanism.”
HBAR has a staking ratio “of 44%, a total volume of 22.2 billion HBAR (worth approximately $1.1 billion), and yields of approximately 0.19%, the lowest among the top 50 cryptocurrencies. Despite the comparatively low yield, it has shown a fairly healthy staking ratio.”
Methodology
The research study released by CoinGecko examined the staking yields and staking ratios from Proof-of-Stake (PoS) blockchains within the top 50 cryptocurrencies as of October 23, 2024.
CoinGecko explained in a blog post that staking ratios were “derived from the total staked tokens over the total token supply of each chain’s native token.”
Staking yields were derived from the effective “rate of rewards yielded from participating in the staking mechanism of each chain, with data taken from Staking Rewards.”