Soft Staking on **Binance** (now rebranded as **Binance Earn**) allows users to earn passive income by simply holding certain cryptocurrencies in their Binance Spot Wallet. The staking process is automatic, meaning you don’t need to lock your assets or manually participate in staking—rewards are distributed daily.
### **How Soft Staking Works on Binance**:
1. **No Lock-Up Period**: Unlike locked staking, your funds remain liquid, and you can trade or withdraw them anytime.
2. **Auto-Staking**: Simply hold supported tokens in your **Binance Spot Wallet**, and rewards are calculated and credited daily.
3. **Flexible & Convenient**: No minimum staking duration; rewards are based on your average daily balance.
### **Supported Coins (Examples)**:
Binance offers soft staking for various Proof-of-Stake (PoS) coins, including:
- **ETH 2.0** (Ethereum staking)
- **ADA** (Cardano)
- **DOT** (Polkadot)
- **SOL** (Solana)
- **ATOM** (Cosmos)
- **MATIC** (Polygon)
- **ALGO** (Algorand)
- And many more (check Binance Earn for updates).
### **How to Participate**:
1. **Log in** to your Binance account.
2. **Deposit** supported coins into your **Spot Wallet**.
3. **Hold** the coins—rewards will be distributed **daily**.
4. **Check rewards** under **Earnings > Staking** in Binance Earn.
### **Key Features**:
- **No minimum staking amount** (except for some tokens).
- **APR varies** depending on the coin and network conditions.
- **Rewards can be compounded** if you keep holding.
### **Comparison with Other Staking Options**:
| Feature | Soft Staking | Locked Staking | DeFi Staking |
|--------------|-------------|---------------|-------------|
| **Lock Period** | None | Fixed term (e.g., 30-90 days) | Varies |
| **Flexibility** | High (trade anytime) | Low (funds locked) | Medium (depends on platform) |
| **APR** | Usually lower | Higher than soft staking | Potentially highest (but higher risk) |
### **Risks & Considerations**:
- **Market Volatility**: The value of staked assets can fluctuate.
- **Reward Variability**: APYs may change based on network conditions.
- **Not All Coins Supported**: Check Binance Earn for the latest list.
### **Conclusion**:
Binance’s **Soft Staking** is a great way to earn passive income with minimal effort. If you prefer flexibility over higher yields, this is an excellent choice. For higher returns, consider **Locked Staking** or **DeFi staking** (with higher risks).