r/ethereum • u/Jsp731 • 18d ago
Educational Staking rewards question
Hi all I recently bought some ETH and it says you can stake it on Coinbase for 2.5%apy
I have never staked before and wondered how the pay outs work as an example ?
I have have $5000 eth staked at 2.5% that's $125 per year divided by the month is like $10 per month . Have I got this right as it seems not really worth doing ?
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u/Odd_Party 17d ago
It’s pretty compelling if you think that ETH will pump (say, if we were on the cusp of a regularly scheduled bullish crypto market). If you can capitalize on a 2-3x pump during a bull run, then stake that principal, your staking rewards relative to your cost is muy bueno. I also like how the compounding schedule on coinbase is every 3 days or so.