How to Stake AVAX and Earn Rewards (2024 Guide)
Introduction
Staking AVAX is a great way to earn passive income while supporting the Avalanche blockchain. Whether you're a beginner or an experienced investor, this guide will walk you through the staking process, its benefits, risks, and expected rewards.
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1. What is AVAX Staking?
Staking AVAX means locking up your tokens to help secure the Avalanche network and validate transactions. In return, you receive staking rewards.
There are two ways to stake AVAX:
As a Validator – Requires a minimum of 2,000 AVAX and running a full node.
As a Delegator – Requires only 25 AVAX, where you delegate to a trusted validator.
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2. Benefits of Staking AVAX
✅ Earn Passive Income – Rewards typically range between 7–10% APY.
✅ Secure the Network – Your staked AVAX helps Avalanche remain decentralized.
✅ No Slashing Risk – Unlike Ethereum, Avalanche does not penalize validators by taking away their staked AVAX.
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3. Where to Stake AVAX?
1. Avalanche Wallet (Non-Custodial Method)
Best for users who want full control over their tokens.
Website: https://wallet.avax.network
2. Crypto Exchanges (Easy But Custodial)
Binance, Kraken, and Coinbase offer AVAX staking, but they control your private keys.
3. Hardware Wallets (Most Secure, Requires Ledger)
Ledger Nano X + Avalanche Wallet offers the highest security.
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4. Step-by-Step Guide: How to Stake AVAX Using Avalanche Wallet
A. Setting Up Your Avalanche Wallet
1. Visit https://wallet.avax.network and create a new wallet.
2. Securely write down your seed phrase.
3. Transfer AVAX from an exchange to your Avalanche Wallet.
B. Moving AVAX to the P-Chain
1. Click Cross-Chain Transfer → Select C-Chain to P-Chain.
2. Enter the amount of AVAX you want to stake.
3. Confirm the transfer.
C. Delegating AVAX to a Validator
1. Go to Earn → Click Add Delegator.
2. Choose a validator (check uptime & fees).
3. Enter the amount of AVAX to stake (minimum 25 AVAX).
4. Select the staking duration (minimum 2 weeks, max 1 year).
5. Confirm and stake AVAX.
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5. How Much Can You Earn from Staking AVAX?
Validators earn 8–10% APY.
Delegators earn 7–9% APY (after validator fees).
Use the Avalanche Staking Calculator: https://stakingrewards.com/
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6. Risks of Staking AVAX
⚠ Lock-up Period: Your AVAX is locked until the end of your staking duration.
⚠ Validator Selection: If a validator goes offline, you won’t earn rewards.
⚠ Exchange Staking Risks: Exchanges control your private keys, posing a security risk.
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7. Conclusion: Is Staking AVAX Worth It?
If you’re holding AVAX long-term, staking is an excellent way to earn passive income. Using Avalanche Wallet gives you control, while exchange staking offers convenience.
