Exchange Tier

Exchanges offering staking as a service

These staking rates are obtained from exchanges. This tier exists due to the distinctive nature of staking reward rates offered by crypto exchanges, which sets them apart from other providers.

Exchanges and Staking Methods

Kraken sheds light on this issue by categorizing staking methods as "bounded" and "flexible." The flexible method allows for immediate receipt of rewards and assets, while the bounded method requires a waiting period before receiving rewards and assets.

Generally, exchanges offer the flexible method, resulting in a lower APY. However, the bounded method provides staking rates comparable to those other providers offer.

Systematic Computation Method

The distinction between bounded and flexible methods is not always clear, necessitating the creation of a specific tier for exchanges.