I. The Essence of Staking

Staking = Using tokens as collateral to help PoS chains validate transactions in exchange for newly issued token rewards. Core difference: PoW competes on electricity, PoS competes on coin amount + online duration.

II. Real Annualized Returns for Mainstream Coins in 2025 (November 23)

Coin Real Annualized Return Notes
ETH 3.1-4.8% After Lido fees
SOL 6.2-7.8% Jito/Marinade
ADA 4.1-5.3% -
ATOM 8.5-11.2% High volatility

III. Three Ways to Participate (Only Actual Costs)

1. Exchange Staking (Easiest)

  • Operation: One-click on Binance / OKX / Bybit

  • Cost: 15-30% fee deducted from rewards, lowest net return

  • Suitable for: Small amounts under $1000, tech novices

2. Staking Pools (Highest Cost-Performance)

  • Main protocols: Lido (ETH), Jito (SOL), Rocket Pool

  • Threshold: Starting from 0.01 coins

  • Cost: 5-10% fees

  • Advantage: Receive liquid staking tokens (stETH, mSOL) to continue participating in DeFi cycles

  • Suitable for: Medium funds, long-term holders, those who understand basic DeFi operations

3. Self-Built Nodes (Recommended Only for Whales)

  • Threshold: ETH starting from 32, SOL minimum around 50

  • Cost: Hardware investment + 24h online maintenance + technical skills

  • Advantage: Full rewards to yourself, no fees + node governance rights

  • Suitable for: Ample funds, technical background, long-termists

IV. Real Risks in 2025 (Only the Most Deadly Ones)

1. Lock-up Period Risk

  • ETH still requires queuing for unlocking (up to several months)

  • SOL unlocking is flexible, but early unstaking incurs a 7-day reward penalty

2. Probability of Going to Zero

  • In 2025, 11 small chain staking protocols have exploded, total loss of $470 million

  • Iron rule: Only touch coins and protocols in the top 20 TVL

3. Token Price Drop Offsetting Rewards

  • Case: Stake 10 ETH earn 0.4 ETH, if ETH drops 30%, net loss 2.96 ETH

4. Restaking Risk

  • EigenLayer-like protocols have had 3 minor vulnerabilities in 2025

  • Reminder: Additional rewards only +1-2%, risk not proportional to reward, not recommended

V. 2025 Lowest Cost Starter Plan (Under $1000)

Fund Allocation Amount Operation Plan Expected Annualized Return Unlocking Flexibility
Stablecoin + SOL 500 USDC Convert to SOL → Jito Staking Pool 7.1% Flexible (7-day reward penalty)
Stablecoin + ETH 300 USDC Buy stETH (Lido) 3.8% + DeFi yields Requires queuing (3-6 months)
Stablecoin 200 USDC Binance Flexible Staking Around 5% Withdraw anytime (no penalty)

Expected Returns and Liquidity

  • Overall annualized: 5.8-7.2%

  • Risk level: Extremely low

  • Emergency mechanism: Can withdraw 20% funds anytime

VI. One-Sentence Conclusion

Staking is the most stable source of 4-8% real annualized returns that ordinary people can get in 2025, but always only use "dead money" (idle money not used for 3+ years), and only select top coins and top protocols. Anything else is trading life for interest.