Updated: Sep 21, 2021
Hello, friends! This is James Agenda here.
If you don't use Kraken, start by reading the topics:
Step-by-Step on How to Stake Polkadot on Kraken
If you already know Kraken, you may skip to one of these:
How to open an account on Kraken
It's very easy to open an account on Kraken.
You just need to inform some personal details, and you will then be able to create an account.
After, you may verify your account by informing more details.
This will upgrade your deposit/withdraw limits.
Buying or Transfering DOT to Kraken
You may buy DOT tokens directly on the exchange.
If you already have DOT in another place, you may generate an address on Kraken to receive DOT.
To generate an address, go to Funding:
If you choose to send DOT to Kraken, remember to send at least 1 DOT because of the existential deposit.
Also, try to avoid sending batch transactions.
If you want to transfer less than 1 DOT;
If you are not sure about batch transactions / existential deposit;
Then I recommend taking the following actions:
Transfer KSM instead.
After you receive KSM, you can change KSM for DOT on the exchange.
How to Stake Polkadot on Kraken
It's very simple to Stake Polkadot on Kraken.
1) First, you need to have DOT on your balance account.
2) Then, in the top menu, click on EARN:
3) On Polkadot's line, click on the Stake button:
4) Choose the amount of DOT you want to Stake and click on Continue:
And it's done!
You just need to wait some minutes to seed the Staking Balance.
And you will receive an email confirming the Staking.
To unstake, you just need to repeat the process, but clicking on the unstake button instead:
Very easy, don't you think?
Indeed, Kraken is the easiest place to Stake Polkadot that I experienced in the past months.
My Results of Staking Polkadot on Kraken
Besides custody, I evaluated Kraken on the following criteria:
🤑 Stake Rewards
Kraken promises 12% APY on Staking Rewards, both for Polkadot and Kusama.
Kraken indeed delivered me what it promised.
The Staking Rewards payout occurred twice per week.
I can always check the rewards on the Transactions list (below the Staking Assets List):
I indeed got an average of 12% APY Staking Polkadot on Kraken.
However, I must say that I got better Staking Rewards on other platforms.
Kraken has the best liquidity on Staking DOT.
It's just perfect:
You may stake or unstake your DOT anytime;
You only need to follow a few steps to unstake Polkadot on Kraken;
and, in minutes, you can sell or transfer your DOT tokens.
This is Kraken's huge advantage!
Especially when compared to Staking directly in the blockchain (Staking on-chain).
When Staking Polkadot on-chain, it takes 28 days to unstake your DOT tokens.
This is also a great advantage of Staking Polkadot on Kraken.
It's very easy to use Kraken to Stake your DOT.
It takes only a few steps to stake and unstake.
The layout is clean, and you don't need to choose good validators by yourself.
Also, there is no minimum amount required to Stake Polkadot on Kraken.
On the other hand, when Staking Polkadot on-chain, you will need at least 40 DOT to receive Staking Rewards.
When Staking Polkadot on Kraken, you don't have Custody of your assets.
You need to trust the exchange with your DOT tokens.
Not Your Keys, Not Your Coins.
If you don't take this risk into account, then Staking with Kraken is indeed safe.
Kraken is one of the oldest and most secure crypto exchanges.
The exchange has robust security and suitable 2FA methods.
(I contact them about enabling Trezor as 2FA (as Binance already does). They informed me that they are working on it.)
Also, when you Stake DOT on Kraken, you don't need to worry about choosing good validators to avoid getting slashed.
Kraken does all the work for you!
Conclusion: Does it worth to Stake Polkadot on Kraken?
Well, the first thing I need to say is:
When compared with other Staking Plataforms, Kraken pays fewer Staking Rewards.
That's been said, Staking Rewards isn't the only thing that counts.
I indeed do use Kraken on 2 of my 3 Staking Strategies.
I especially recommend Kraken for beginners since it's way easier than any other Staking Platform.
I also recommend it for cases when you need liquidity!
Right now, I'm waiting for the First Parachain on Polkadot.
I want to have some transferable DOT tokens to support ACALA via crowdloan.
If I stake all my DOT on-chain, I need to wait 28 days to access them.
But when Staking on Kraken, I may unstake anytime.
So, I don't need to worry about stoping receiving rewards while I am waiting for the first Parachain Auction.
I will update this post if anything changes on Kraken.
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