How to stake crypto without a minimum or a server using Binance.US

Step 1: Understand why staking at home needs so much

• Most proof-of-stake coins require you to hold a large amount of the coin to run your own validator. To stake Ethereum yourself you need 32 ETH or more, as the page in the video says.
• Other coins work in a similar way: usually you need a minimum amount before you can start.
• On top of that, the computer has to stay online. On Ethereum, a validator that is offline misses rewards and gets small penalties, which is why blackouts and internet outages are a real problem.

Step 2: Compare the cost of dedicated staking hardware

• Dedicated staking computers exist. The page in the video shows an Intel based model and an AMD based model, at prices around $1,600 at the time.
• With that route you pay for the hardware, the electricity and the internet, and you still need the full coin minimum.
• If you only have $3 or $5 to start, an exchange is the simpler option.

Step 3: Learn how staking works on the exchange

• When you stake a crypto, you commit your coins to help secure a proof-of-stake (PoS) network. While they stay staked they are used to verify transactions, support decentralized governance and make the network more resilient.
• The video reads this from the Binance.US help article on support.binance.us. Outside the United States, the site is Binance.com instead.
• In return, you receive staking rewards, shown as an APY.

Step 4: Log in and open the Staking page

• Log in to your account and click Staking at the top of the page.
• You will see the list of coins you can stake with their estimated reward rate.
• APY means annual percentage yield: what you would earn in a year. In the video, Polkadot (DOT) showed 11% APY; other coins showed different rates.

Note: Rates in the screenshots are from 2022. Binance.US now says its estimated reward rates are variable, set by each network and not guaranteed.

Step 5: Pick a coin and check your balance

• Click Stake next to the coin you want. The video uses DOT.
• If you don't have any of that coin, you get an Insufficient DOT Balance message with options to buy or deposit it.
• Click Buy DOT to purchase a small amount.

Step 6: Buy a small amount of the coin

• Enter the amount. The video buys $3 as a one-time purchase.
• If you don't have enough balance, choose your bank account as the payment method, click purchase and then confirm the purchase.
• Go to the wallet. It usually takes a few minutes before the coin shows up, and you may get a notification on your phone.

Step 7: Choose how much to stake

• Go back to Staking and click Stake DOT again.
• Choose 25%, 50%, 75% or 100% of your available balance. The video stakes 100%.
• The amount is a little less than what you paid because the exchange takes its commission.

Step 8: Turn on auto-restake

• With auto-restake, rewards are automatically staked again, so they compound. The video recommends leaving it on and forgetting about it.
• If you disable it, rewards go to your available balance and you have to restake manually, and remember to do it.
• On the screen in the video, auto-restake showed 11.00% APY and disabled showed 10.45%.

Step 9: Review the staking preview before confirming

• Click Preview Stake and read every line.
• In the video: estimated APY 11%, rewards paid every Friday, auto-restake enabled, and an unstaking period of 28 days.
• That means if you want to do something else with the coins, you have to wait for the unstaking period. You cannot withdraw or trade staked assets until it ends.

Caution: Staked coins are locked. Only stake money you won't need right away, and check the current unstaking period for your coin before you confirm.

Step 10: Confirm and check your staked balance

• Click Confirm. You get a message that your asset has been added to your staked balance. Click Got it.
• Your staked balances page now lists the coins you are staking. In the video that was some Ethereum and the new Polkadot.
• Rewards don't show up right away. You have to wait days or weeks for them to build.

Step 11: Track your rewards weeks later

• Two or three weeks later, the video shows 3 cents in total rewards from less than $10 staked.
• By coin, Polkadot showed 2 cents and Ethereum still 0, so you have to wait.
• Small amounts give small rewards. The point of the video is that you can start with a few dollars, not that it makes much money.

Step 12: Check the daily rewards history

• Open the earnings history to see the rewards paid on each day.
• In the video the totals didn't match exactly: one place said 3 cents and the bottom of the page said 2 cents, so check the detailed history if numbers look different.
• Keep these records. Staking rewards can count as income for taxes.