Coingecko: What are the top ten Blockchains with the highest stake yield?

Author: Tharmaraj Rajandran, Coingecko; Translation: Tao Zhu, Golden Finance

Which blockchain has the highest stake yield?

Cosmos (ATOM) has the highest yield in the Block chain, offering a stake yield of up to 18.5%. Cosmos has a stake ratio of 59%, approximately 2.488 billion ATOM (valued at around 1.2 billion US dollars). These relatively high yields, combined with the network’s functionality, provide stakeholders with a compelling choice and are reflected in a healthy stake ratio.

Polkadot (DOT): The Polkadot stake ratio is 56%, with a total of 853.2 million DOT (worth approximately $3.7 billion). The attractive stake return rate of 11.5% provides enticing opportunities for stakeholders who wish to participate in the ecosystem of this chain.

Tezos (XTZ): Tezos is one of the earliest options for PoS on-chain participants, with a stake ratio of 68%, totaling 6.996 billion XTZ (worth approximately 4.706 billion US dollars), and a stake yield of up to 10.0%. It offers a user-friendly stake model called “Liquidity Proof of Stake”, which is familiar to stakeholders due to its longer staking time, providing an attractive option for stakeholders.

Avalanche (AVAX): The Avalanche stake ratio is 58%, with a total of 234.1 million AVAX tokens (worth about $7.2 billion) and an annual yield between 7-8%. Avalanche’s fast transaction speed and relatively low transaction cost have attracted an increasing number of stake communities.

Aptos (APT): Aptos is a relatively new Layer-1 blockchain with a loan-to-value ratio of 78%. The total supply of APT is 855.6 million (worth approximately $9 billion), with a yield of about 7.0%. Aptos has the highest loan-to-value ratio among the top 50 PoS blockchains in the cryptocurrency market, reflecting the high level of participation in the Aptos ecosystem.

Solana (SOL): Solana is one of the projects with the highest loan-to-value ratio, with approximately 67% of its total supply actively staked, totaling 393.6 million SOL (valued at approximately $65.2 billion). Considering that the circulating supply of SOL is only 470.1 million, this is a significant number. Solana offers an average annual yield of 6-7%, making it attractive to investors, despite some perceived risks due to past network reliability issues.

TRON (TRX): The stake yield of TRON is usually between 4-5%, with a stake ratio of about 48% of the total supply, which is 42.5 billion TRX (worth about 6.7 billion US dollars). TRON’s stake model includes a combination of stake and voting mechanisms, allowing participants to vote for super representatives who validate transactions.

Ethereum (ETH): As the largest PoS blockchain by market capitalization, the stake yield of Ethereum is approximately 3.0%. The relatively moderate yield reflects its high level of decentralization and security, accounting for about 28% of the total supply of ETH. Currently, the total amount of staked ETH is 34.2 million (valued at approximately 89.4 billion USD). The yield of Ethereum is also influenced by its recent transition to PoS and the overall maturity of the network. Although it has the lowest stake rate among the top 50 PoS blockchains, its stake value in USD is the highest, about 37.1% higher than the closest competitor, Solana.

Cardano (ADA): About 62% of ADA is staked, totaling 22.5 billion ADA (worth approximately 8.2 billion US dollars), with a staking yield hovering around 2-3% annually. Cardano’s automatic delegation process makes it user-friendly, although its yield is lower compared to some peers.

Sui (SUI): Another emerging blockchain that focuses on high throughput and efficient execution, Sui has a stake ratio of 77% with a total supply of 7.7 billion SUI (valued at approximately $14.8 billion) and a high yield of 3%. Despite having a relatively lower yield compared to other blockchains, Sui still demonstrates a strong stake rate, reflecting the confidence of stakeholders in the development of the blockchain.

Hedera (HBAR): Hedera adopts a Consensus Algorithm called Hedera Consensus Service, which functions similarly to the Proof of Stake (PoS) Algorithm, allowing stakeholders to earn rewards through participation in the stake mechanism. The stake ratio for HBAR is 44%, with a total supply of 22.2 billion HBAR (valued at approximately $1.1 billion) and a yield of approximately 0.19%, which is the lowest among the top 50 cryptocurrencies. Despite the relatively low yield, its stake rate is quite healthy.

What is Cryptocurrencystake?

Cryptocurrencystake is part of the Proof of Stake (PoS) ConsensusAlgorithm, which allows participants in the Blockchain to lock their Tokens to help secure the network, validate transactions, and earn Cryptocurrency as a reward. Unlike the Proof of Work (PoW) ConsensusAlgorithm, which rewards Miners for solving computational problems, PoS allows the use of the native Token of the Blockchain to validate transactions.

The yield or return on stake varies from one blockchain to another, and is influenced by multiple factors. The unique design of each blockchain affects the rewards, with networks like Ethereum prioritizing security, while Solana focuses on speed. Additionally, the economics of Tokens, such as the method of generating new Tokens and supply-demand dynamics, play a crucial role in determining stake yield.

The stake ratio refers to the percentage of the total supply of stake tokens and also affects the rewards. A higher stake ratio indicates a higher level of participation in network security, but it may lead to more diluted rewards and lower returns. Overall, stake is not only a means to earn rewards, but also crucial for maintaining the stability and security of PoS-based blockchains.

Conclusion

Staking in the cryptocurrency field offers convincing profit potential and an active network participation portfolio, with significant differences in yields among different blockchains. Factors such as staking ratio, network security, and token economy play a crucial role in influencing the returns of various blockchains. While some chains like Ethereum emphasize stability and moderate returns, other chains like Cosmos offer higher yields, reflecting the diversified approach to staking design.

Top Blockchains with the Highest Stake Returns

As of October 23, 2024, the top 11 blockchains with the highest stake yield are as follows: