OKX has introduced new staking opportunities for ATOM and NEAR through its On-chain Earn platform, offering users a way to earn real on-chain rewards with minimal effort. This guide provides a comprehensive overview of how to participate, what to expect, and key considerations for maximizing returns.
Why Stake ATOM and NEAR?
Staking cryptocurrency allows you to participate in network security and operations while earning passive income. Both ATOM, the native token of the Cosmos ecosystem, and NEAR, the utility token of the NEAR Protocol, use Proof-of-Stake (PoS) mechanisms. By staking these assets, you contribute to network consensus and receive rewards in return.
On-chain Earn simplifies this process by handling the technical aspects, allowing you to earn yields without running your own node or managing complex setups.
Key Features of On-chain Earn
The On-chain Earn platform offers several benefits for users looking to stake their crypto assets:
- No Subscription Limits: There are no maximum caps on how much you can stake, providing flexibility for both small and large holders.
- Streamlined User Experience: The subscription process is designed to be intuitive and straightforward, reducing barriers to entry.
- Transparent On-Chain Rewards: All earnings are generated and distributed on the blockchain, ensuring transparency and reliability.
- Estimated Attractive APRs: Projects offer competitive estimated annual percentage returns (APR), providing a clear expectation of potential earnings.
Staking Product Details
Below is a summary of the key details for each staking product.
| Product | Category | Stake | Receive | Min. Staking Amount | Redemption Time | Reward Distribution | Est. APR |
|---|---|---|---|---|---|---|---|
| On-chain Earn | Staking | NEAR | NEAR | 1 NEAR | 3-6 Days | Every 3 Days | 6%-10% |
| On-chain Earn | Staking | ATOM | ATOM | 1 ATOM | Est. 21 Days | Daily | 15%-17% |
How to Stake ATOM and NEAR
Participating in On-chain Earn is a simple process. Follow these steps to get started.
On the OKX Website:
- Navigate to the 'Navigation bar'.
- Select 'Grow' and then choose 'Earn'.
- Click on 'On-chain Earn'.
- Use the search function to find either NEAR or ATOM.
- Select the desired asset and click 'Subscribe'.
On the OKX Mobile App:
- Open the app and tap on the 'Grow' tab.
- Select 'Earn' from the available options.
- Choose 'On-chain Earn'.
- Search for NEAR or ATOM.
- Select the asset and proceed to subscribe.
👉 Explore more staking strategies
Understanding the Product Mechanics
To make the most of your staking experience, it's important to understand how earnings are calculated and distributed.
Earnings and Subscription Timing
- If you subscribe to a product before 03:00 (UTC) on any given day, your assets will begin accruing interest at 03:00 that same day.
- If you subscribe after 03:00 (UTC), your assets will begin accruing interest at 03:00 on the following day.
- Rewards for ATOM are distributed to your funding account on a daily basis.
- Rewards for NEAR are distributed to your funding account every three days.
Redemption and Unstaking Process
When you decide to unstake your assets, please note the following:
- You can submit a redemption request at any time.
- For NEAR, the redemption process takes approximately 3-6 days after the request is submitted. Your tokens will be distributed to your funding account once the process is complete. You will not earn rewards during this unstaking period.
- For ATOM, the redemption process takes about 21 days. Your tokens will be distributed to your funding account after this period, and you will not earn rewards while the redemption is processing.
- If you redeem your principal before a scheduled reward distribution date, OKX will calculate your rewards based on the actual number of days your assets were staked. These accrued rewards will be distributed on the next reward distribution day.
Important Considerations Before Staking
Engaging in crypto staking requires an understanding of the associated processes and fees.
- Project Understanding: Each blockchain project has its own unique staking rules, including lock-up periods, redemption times, and reward mechanisms. It is crucial to research and understand these details before committing your assets.
- Service Fees: OKX charges a service fee for managing the staking process. ATOM staking incurs a 1% fee, while NEAR staking incurs a 5% fee. These fees are deducted from the rewards you earn, not your staked principal.
- Acknowledgment of Risk: While OKX facilitates the staking process, it is not responsible for losses resulting from network disputes, hacking incidents, project fraud, or other external risks. Staking involves inherent market and protocol risks that users must accept.
Frequently Asked Questions
What is the minimum amount needed to stake ATOM or NEAR?
The minimum staking amount for both ATOM and NEAR is 1 token. This low barrier to entry makes it accessible for a wide range of investors to start earning rewards.
How often are staking rewards paid out?
Reward distribution schedules differ. ATOM stakers receive their rewards daily, directly into their funding account. NEAR stakers receive their rewards every three days. This schedule is based on the respective blockchain's operations.
Can I unstake my tokens at any time?
Yes, you can submit a redemption request at any time. However, be aware that the unstaking process is not instantaneous. NEAR takes 3-6 days to unbond, while ATOM has a significantly longer unbonding period of approximately 21 days, during which you will not earn rewards.
Are the estimated APRs guaranteed?
No, the Annual Percentage Rate (APR) is an estimate. Actual returns can vary based on network conditions, the total amount of tokens staked on the network, and other protocol-specific factors. The displayed range provides a realistic expectation based on current data.
What happens to my rewards if I unstake early?
If you choose to unstake your tokens before a reward distribution date, you will still receive rewards for the full duration that your tokens were staked. The platform will calculate these accrued earnings and distribute them on the next scheduled distribution date for that asset.
Is my staked cryptocurrency safe?
Staking through a reputable platform like OKX adds a layer of security and convenience. However, all cryptocurrency investments carry inherent risks, including smart contract vulnerabilities, protocol-level issues, and market volatility. It is essential to only stake assets you are comfortable with and to understand the risks involved.
The launch of ATOM and NEAR on On-chain Earn provides a secure and user-friendly avenue for earning passive income through staking. By understanding the mechanics, fees, and processes, you can effectively participate in these Proof-of-Stake networks and grow your digital asset portfolio.