Cryptocurrency Staking Statistics 2024: Yields, Top Assets, and Market Insights
Updated · Dec 18, 2024
In the past few years, cryptocurrency staking has surged in popularity, transforming from a niche activity into a mainstream investment strategy. Unlike traditional mining, staking allows investors to earn rewards by simply holding and “staking” their cryptocurrency in a wallet, contributing to the network’s security and performance. This new trend offers significant rewards but also presents risks and complexities that investors must understand to maximize their potential. This article delves into the latest staking statistics, exploring key trends, performance metrics, and the factors shaping the staking ecosystem in 2024.
Editor’s Choice: Key Staking Milestones
Here are some notable highlights in cryptocurrency staking that showcase its growth and evolving landscape in recent years:
- The global staking market value reached an impressive $42 billion in 2023, a remarkable increase from $21 billion just two years prior.
- The Ethereum Merge, completed in September 2022, was a milestone that led to Ethereum’s transition to a Proof of Stake (PoS) model, driving broader adoption and interest in staking within the crypto community.
- Ethereum staking participation surpassed 15 million ETH staked, making it the most actively staked asset in 2023.
- Average staking yields across major PoS cryptocurrencies ranged between 4% and 15% annually, offering a potentially attractive income stream for long-term holders.
- Binance Smart Chain (BSC) recorded a 400% increase in staking activity over the past year, reflecting the growing popularity of decentralized finance (DeFi) applications on BSC.
- Cosmos (ATOM) saw an 18% growth in staked assets, as more projects launched in its ecosystem, offering investors more opportunities to earn staking rewards.
- Institutional staking services have emerged, with an estimated 40% of all staking activity now managed by custodial services catering to larger investors.
Global Staking Market Size and Growth
The staking market has shown tremendous growth over the last few years, driven by an increasing number of Proof of Stake networks and high levels of investor interest.
- The global staking market is projected to reach approximately $55 billion by 2024, up from $42 billion in 2023.
- North America leads in staking volume, accounting for 35% of the global market due to strong institutional participation and growing retail interest.
- Europe follows closely, representing around 25% of global staking volume, with regulatory frameworks in the EU supporting PoS network growth.
- The Asia-Pacific region has seen a surge, primarily from countries like Japan and South Korea, where staking is growing in popularity among retail investors.
- The number of staked assets has grown at an average annual rate of 60% since 2020, reflecting confidence in PoS as an eco-friendly alternative to mining.
- A growing number of DeFi platforms now offer staking services, contributing to an estimated 20% increase in the overall market size year-over-year.
- Ethereum’s PoS transition alone has increased the market size significantly, with over $25 billion in ETH staked by institutional and retail investors.
Explore Top Staking Assets
Certain cryptocurrencies dominate the staking landscape, offering diverse rewards and attracting a broad user base.
- Ethereum (ETH) tops the staking list with more than 15 million ETH staked, post-transition to PoS, representing 13% of its total supply.
- Cardano (ADA), one of the early PoS networks, maintains a strong staking presence with 74% of its circulating supply staked, translating to over $9 billion in ADA assets.
- Solana (SOL) has gained traction due to its high-speed, low-cost transaction model, boasting $6 billion in staked SOL, equivalent to 72% of its supply.
- Polkadot (DOT) has a unique staking model with $5 billion in DOT staked, promoting network governance and security.
- Cosmos (ATOM) maintains a solid position, with over 62% of its circulating supply staked, valued at $3 billion.
- Avalanche (AVAX) has emerged as a leading asset, with 55% of AVAX staked across its network, translating to $2 billion.
- Polygon (MATIC) also continues to grow its staking presence, with $1.5 billion in staked assets, providing rewards through its sidechain for Ethereum scalability.
Leading Staked Cryptocurrencies
As staking expands, several cryptocurrencies stand out due to their community engagement, attractive rewards, and stability in the staking ecosystem.
- Ethereum (ETH) remains the most staked cryptocurrency post-Merge, with 15 million ETH held in staking contracts, valued at over $27 billion.
- Cardano (ADA) holds the highest percentage of staked tokens among major cryptocurrencies, with 74% of ADA’s supply actively staked by its community.
- Solana (SOL), known for its speed and low transaction fees, has 72% of SOL staked, highlighting strong support from its network participants.
- Polkadot (DOT) employs a unique staking model focused on governance, with over 50% of DOT staked, encouraging participants to vote on network changes.
- Cosmos (ATOM), a key player in the interoperability space, has over 62% of its tokens staked, valued at around $3 billion.
- Avalanche (AVAX) shows impressive staking participation with 55% of its circulating supply staked, reflecting confidence in its performance and incentives.
- Tezos (XTZ) is another top-staked cryptocurrency, with over 75% of its circulating supply staked, reflecting the community’s commitment to its innovative PoS model.
Staking Participation Rates
Participation rates indicate the level of engagement and confidence in the PoS model, highlighting how actively the community contributes to network security.
- Ethereum’s staking participation rate reached 13% of its total supply, a significant figure given its recent shift from Proof of Work to Proof of Stake.
- Cardano’s participation rate is one of the highest, with 74% of ADA’s circulating supply staked, showcasing strong community trust.
- Solana’s community has shown robust participation, with 72% of SOL tokens staked, benefiting from its high-speed network and incentives.
- Polkadot maintains a healthy staking participation of around 52%, fueled by its governance model that rewards stakers who actively vote.
- Cosmos participants show commitment, with over 62% of ATOM tokens staked in support of its interoperability goals.
- Polygon (MATIC) has attracted around 40% of MATIC supply staked, appealing to both retail and institutional investors looking to support Ethereum scaling.
- Tezos (XTZ) ranks among the top in participation, with 75% of its supply staked, reflecting a long-standing commitment to the PoS model.
| Cryptocurrency | Participation Rate (%) |
| Ethereum (ETH) | 13% |
| Cardano (ADA) | 74% |
| Solana (SOL) | 72% |
| Polkadot (DOT) | 52% |
| Cosmos (ATOM) | 62% |
| Polygon (MATIC) | 40% |
| Tezos (XTZ) | 75% |
Average Staking Yields
Staking yields vary across networks and depend on factors like supply, demand, inflation rates, and network usage, with higher yields often attracting more participants.
- Ethereum (ETH) offers an annual staking yield of 4-5%, balancing reward with its secure, high-demand staking pool.
- Cardano (ADA) has an average yield of 4.5%, offering steady rewards that attract long-term stakers and increase network security.
- Solana (SOL) provides a 5-7% annual yield, incentivizing holders to maintain their stake in the network.
- Polkadot (DOT) offers higher yields, with an average of 8-10%, appealing to those interested in governance and network development.
- Cosmos (ATOM) provides an annual yield of 7-10%, benefiting from a strong ecosystem of interoperable chains.
- Avalanche (AVAX) yields around 9-11% annually, making it attractive for both short-term and long-term stakers.
- Tezos (XTZ) offers yields around 5-6%, maintaining its appeal through consistent rewards and a loyal community.
Calculate Your Staking Rewards
Staking rewards can vary significantly based on the chosen cryptocurrency, the amount staked, and the network’s yield structure. Here’s a quick look at how some top-staked assets perform in terms of potential earnings:
- Staking 10 ETH at an average yield of 4% can yield around 0.4 ETH annually, offering a stable yet growing return in Ethereum’s robust ecosystem.
- Investing in 10,000 ADA with a 4.5% yield would generate approximately 450 ADA yearly, rewarding Cardano supporters for their stake.
- Holding 500 SOL for a year at a 6% yield can yield about 30 SOL in rewards, adding to Solana’s appeal as a high-speed network with generous returns.
- A 1,000 DOT stake can return around 80-100 DOT annually at Polkadot’s 8-10% yield, attractive for those who value governance participation.
- Staking 200 ATOM at a 7% yield can earn 14 ATOM per year, with Cosmos offering competitive returns for its interoperable ecosystem.
- Staking 100 AVAX at a 10% yield could provide 10 AVAX in annual returns, making Avalanche a strong choice for those seeking higher rewards.
- Tezos (XTZ) holders staking 1,000 XTZ at a 5.5% yield would earn approximately 55 XTZ annually, benefiting from the stable rewards.
| Cryptocurrency | Amount Staked | Yield (%) | Annual Reward | Description |
| Ethereum (ETH) | 10 ETH | 4% | 0.4 ETH | Reward from staking 10 ETH in Ethereum |
| Cardano (ADA) | 10,000 ADA | 4.5% | 450 ADA | Reward for staking 10,000 ADA in Cardano |
| Solana (SOL) | 500 SOL | 6% | 30 SOL | Reward from staking 500 SOL |
| Polkadot (DOT) | 1,000 DOT | 8-10% | 80-100 DOT | Reward from staking 1,000 DOT |
| Cosmos (ATOM) | 200 ATOM | 7% | 14 ATOM | Reward for staking 200 ATOM in Cosmos |
| Avalanche (AVAX) | 100 AVAX | 10% | 10 AVAX | Reward from staking 100 AVAX |
| Tezos (XTZ) | 1,000 XTZ | 5.5% | 55 XTZ | Reward from staking 1,000 XTZ |
The Role of Validators and Delegators in Staking
The staking ecosystem relies heavily on the collaboration between validators and delegators. Validators are responsible for verifying transactions, adding new blocks, and maintaining the network’s security, while delegators contribute their tokens to validators to earn rewards.
- Validators on Ethereum are required to lock up 32 ETH to participate, creating a barrier that ensures only committed entities manage the network.
- Delegators allow individuals with smaller holdings to participate in staking by delegating their assets to validators. They receive a share of the rewards without the technical responsibilities.
- Cardano’s staking model has embraced both validators and delegators, with over 1,200 stake pools supporting decentralized control.
- Solana has a similar setup, enabling users to delegate their SOL tokens to validators, helping maintain network speed and reliability.
- Polkadot assigns validators through its Nominated Proof of Stake (NPoS) model, where nominators (delegators) select validators, helping decentralize the network.
- Cosmos uses a Delegated Proof of Stake (DPoS) model, allowing ATOM holders to delegate their tokens to validators and earn a share of the staking rewards.
- Polygon’s sidechain depends on a set of validators and a large pool of delegators to secure its network, providing incentives for Ethereum scaling.
Proof of Stake (PoS) versus Proof of Work (PoW)
The shift from Proof of Work to Proof of Stake marks a fundamental evolution in blockchain technology, influencing energy consumption, decentralization, and security.
- Proof of Stake (PoS) networks are generally more energy-efficient, reducing energy consumption by 99.9% compared to PoW, as seen in Ethereum’s transition to PoS.
- Proof of Work (PoW), used by Bitcoin, requires high computational power, leading to substantial electricity use; Bitcoin mining consumes 91 terawatt-hours annually, comparable to the power usage of small countries.
- Ethereum’s PoS switch has cut its energy consumption significantly, with the network now consuming less than 0.01% of Bitcoin’s energy usage.
- Staking in PoS provides a more environmentally friendly way to earn rewards and participate in network security.
- Network security in PoW is achieved by miners solving complex algorithms, while PoS relies on validators staking assets, aligning economic interests with network integrity.
- PoS is seen as more accessible, with lower entry barriers compared to PoW mining, which requires specialized hardware and significant upfront costs.
- Consensus speed is generally faster on PoS networks, which enhances the scalability and efficiency of transactions compared to the more resource-intensive PoW process.
| Consensus Mechanism | Energy Consumption | Network Security Model | Accessibility |
| Proof of Stake (PoS) | 99.9% less than PoW | Validators stake assets to secure network | Lower barriers, accessible |
| Proof of Work (PoW) | High energy (91 TWh/year for BTC) | Miners solve algorithms, intensive resources | Requires specialized hardware |
| PoS Advantage | Environmentally friendly | Aligns economic interests with security | High scalability |
Liquid Staking and Restaking Trends
Liquid staking has introduced flexibility into the staking landscape, allowing users to stake their assets while maintaining liquidity, enabling further earning opportunities.
- Liquid staking platforms like Lido and Rocket Pool allow users to stake Ethereum while receiving a liquid token (e.g., stETH) representing their stake, which can be used in DeFi applications.
- Lido dominates liquid staking, with over 30% of Ethereum staked through its platform, making it one of the largest Ethereum staking providers.
- Restaking protocols are gaining traction, allowing users to redelegate staked assets to other chains or DeFi platforms, enhancing yield potential.
- Cosmos and Polkadot are exploring restaking models that enable cross-chain staking, increasing the utility of staked assets.
- Liquid staking derivatives (LSDs), like stETH for Ethereum, are becoming popular in DeFi lending, providing new ways to earn through collateralized loans.
- The liquid staking market is expected to grow by 50% in 2024, driven by increasing demand for flexible staking solutions and DeFi integration.
- Institutional investors are showing interest in liquid staking as it offers exposure to staking rewards without sacrificing liquidity, potentially boosting adoption in 2024.
The Necessity of an On-Chain Reference Rate for ETH Staking Yield
As staking matures, there is an increasing need for a standardized, on-chain reference rate for Ethereum staking to enhance transparency and consistency in reward calculations.
- On-chain reference rates help provide standardized yield data across different platforms, supporting accurate yield benchmarking.
- ETH staking yield varies across platforms like Coinbase, Lido, and individual validators, creating discrepancies that could be reduced by a common reference rate.
- A reference rate for Ethereum could help institutional investors compare staking yields, potentially driving more capital into ETH staking.
- Transparency in yield can improve user confidence, as it standardizes expectations across various staking providers.
- The reference rate could enhance Ethereum’s financial ecosystem, as a reliable yield benchmark would benefit DeFi applications using ETH as collateral.
- Institutional staking services increasingly support a reference rate for yield benchmarking to facilitate comparison, especially across liquid staking platforms.
- The development of an ETH reference rate could parallel that of traditional finance benchmarks, such as the LIBOR for loans, adding maturity to the staking market.
Regulatory Developments in Staking
Regulatory attention on staking is increasing as governments assess how to integrate these models into existing financial frameworks, impacting both participants and platforms.
- The SEC in the United States has signaled interest in regulating staking rewards as securities, which may lead to increased compliance requirements.
- European Union’s MiCA framework includes provisions for PoS-based assets, aiming to protect investors and improve transparency in staking services.
- South Korea is developing regulatory standards for staking as part of its broader cryptocurrency regulation, supporting the safe growth of PoS assets.
- Singapore has been progressive, allowing regulated staking for institutions under the Payment Services Act, encouraging innovation.
- Japan’s Financial Services Agency recently allowed regulated staking services, adding legal clarity and fostering local adoption.
- The IRS in the U.S. may introduce tax guidelines specifically for staking rewards, aiming to clarify the tax implications for retail and institutional stakers.
- China’s stance on staking remains cautious, with restrictions on domestic participation, though interest persists in offshore markets.
Recent Developments
Recent advancements and milestones in staking highlight the pace of innovation and the ecosystem’s rapid growth.
- Ethereum’s Shanghai upgrade scheduled for 2024 is expected to unlock staked ETH, impacting staking participation and liquidity.
- Binance introduced flexible staking options for ADA and SOL, enhancing user options for staking across different lock-in periods.
- Coinbase’s institutional staking program continues to grow, with large firms joining its ETH staking service to gain exposure to staking yields.
- Solana’s staking governance proposal to address network downtime shows an increased focus on network reliability and participant accountability.
- Polkadot parachains continue to expand, leading to more staking options for DOT holders and boosting the ecosystem’s value.
- Lido’s expansion into other PoS networks, like Polygon, strengthens its position as a leading liquid staking provider.
- Avalanche’s subnet innovation has sparked interest, with custom staking solutions driving network scalability and user flexibility.
Conclusion
Cryptocurrency staking has transformed the way users engage with blockchain networks, offering rewards for participation in network security without the need for intensive mining resources. The ecosystem continues to grow with innovations like liquid staking, institutional involvement, and evolving regulatory frameworks. As staking gains traction, it’s reshaping the financial landscape, appealing to a diverse range of participants from retail investors to large institutions. By staying informed about staking metrics, trends, and regulatory changes, investors can make strategic decisions and capitalize on the potential rewards of staking in 2024.
Barry Elad is a dedicated tech and finance enthusiast, passionate about making technology and fintech concepts accessible to everyone. He specializes in collecting key statistics and breaking down complex information, focusing on the benefits that software and financial tools bring to everyday life. Figuring out how software works and sharing its value with users is his favorite pastime. When he's not analyzing apps or programs, Barry enjoys creating healthy recipes, practicing yoga, meditating, and spending time in nature with his child. His mission is to simplify finance and tech insights to help people make informed decisions.
