What is Soft Staking?
Launched on June 18, 2025, Soft Staking allows eligible PoS tokens (e.g. BNB, SOL, ADA, SUI, TON, NEAR, POL, ALGO, AXS) held in your Spot wallet to automatically earn daily staking rewards in their native tokens.
Unlike locked staking, assets remain fully liquid — you can trade, withdraw, or transfer them at any time, with no penalty or lock-up period.
🌟 Key Advantages
Flexibility: No redemption steps or waiting — access your assets instantly while still earning rewards.
Effortless Earnings: Setup is one click via ‘Simple Earn’ → ‘Soft Staking’. Daily rewards are credited automatically based on your average daily balance, with maximum cap per token to distribute rewards fairly Analytics Insight Binance Academy.
Low Technical Barrier: No need for node setup or managing wallets — ideal for users seeking passive income with simplicity.
⚠️ Risks & Limitations
Lower APY than on‑chain staking: Soft Staking generally offers lower yields compared to direct network staking, due to Binance retaining flexibility and liquidity benefits.
Custodial Risk: Assets are held by Binance. In the event of exchange hacks, regulatory issues, or bankruptcy, users face potential loss with no external insurance view details
No blockchain consensus participation: You don’t contribute to network validation, nor do you earn governance privileges, airdrops, or ISPO rewards as a true staker would.
🗣 From the Community
“You risk not being able to be a part of the network… mixed with lending… not your keys not your crypto” — highlighting Binance’s full control over stake assets.
“Main risk is Binance getting hacked… unlocking takes at least 24 hrs… you lose the rewards if redeemed early” — showing the tradeoff between liquidity and potential cost.
Another user summed up: > “Don’t put all your eggs in one basket… keeping crypto on a centralized exchange is risky”.
🎯 Suitable For
Casual holders looking for modest yield on PoS assets without giving up control.
Day traders / active users: rewards continue even when your coins sit in pending limit orders (something not possible in many locked products).Binance Academy
Users new to staking who want zero hassle and avoid on-chain setup or slashing risks.