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Cosmos, Polkadot, and Tezos lead with yields over 10%

Cosmos, Polkadot, and Tezos lead with yields over 10%

GrafaGrafa2024/10/25 02:51
By:Mahathir Bayena

CoinGecko’s latest report has identified three blockchain networks—Cosmos (CRYPTO:ATOM), Polkadot (CRYPTO:DOT), and Tezos (CRYPTO:XTZ)—as offering staking yields above 10%. 

Based on the analysis, these networks outperformed other major proof-of-stake (PoS) blockchains in staking returns, despite varying designs and strategies. 

According to the report, staking yields are influenced by factors like security, speed, and tokenomics, which are determined by each network’s structure. 

CoinGecko emphasised, “There is no universal formula for achieving optimal long-term returns.” 

Cosmos, for instance, offers the highest staking yield, with more than half of its circulating supply staked. 

The report explained, “Staking yields are shaped by several factors. Each blockchain’s unique design influences the rewards, with networks like Ethereum prioritizing security, while Solana focuses on speed.” 

Cosmos has been leading due to a combination of strong market gains and network growth. 

The report also noted that Cosmos is set to host the first MiCA-compliant stablecoin, which could further boost its ecosystem. 

Polkadot, known for offering higher yields, has taken a strategic risk to maintain competitive staking returns. 

Meanwhile, Tezos benefits from being one of the earliest PoS protocols, which has helped build a loyal user base through an easy-to-use interface. 

CoinGecko’s findings suggest that staking yields can differ significantly between blockchains. 

For instance, Ethereum (CRYPTO:ETH) and Sui (CRYPTO:SUI) have a stark difference in staking ratios, yet offer nearly identical yields. 

“This highlights that investors must consider each network’s unique features when choosing where to stake their tokens,” CoinGecko stated.

At press time, the Cosmos Hub price was $4.83, the Polkadot price was $4.20, and the Tezos price was $0.6693.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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