In the third quarter of 2023, the crypto market has seen a significant uptake in staking activities. And certain networks lead the charge, while other cryptos offer a better staking yield.
Aptos and Sui emerged as the most staked altcoins based on the percentage of circulating supply that had been locked in.
Aptos, Sui, Solana Amongst the Most Staked
New research shed light on the average stake rate, which refers to the percentage of tokens from the circulating supply that are being staked in a particular crypto network. The report unveiled that the average stake rate for the top 35 stakable altcoins hit an all-time high of 52.4% in Q3 2023, marking a rise from 49.3% in the preceding quarter.
Staking, a process where coin holders participate in the operation of a Proof-of-Stake (PoS) blockchain by locking up a certain amount of coins, has been lauded for its ability to secure the network and deter malicious activities. The higher the stake rate, the more fortified the network becomes against potential attacks.
In the most recent quarter, Aptos and Sui topped the list with 84.1% and 80.5% of their supply staked, respectively, followed by Mina, Solana, and Cosmos.
Read more: Top 7 High-Yield Liquid Staking Platforms To Watch in 2023
Still, an increase in stake rate often reflects a better understanding and willingness among holders to support the network. If the network activity remains unchanged, an increase in stake rate could reduce average return due to a larger pool of validators sharing the staking rewards.
Top 10 Cryptos Offer Staking Yield Below 7.5%
Despite the uptick in stake rates, the report noted a slight dip in the average staking yield, which dropped by 0.4% to 10.2%. This continues a downtrend that started in March 2022, when the average yield peaked at 15.4%.
Among the top 10 cryptos by market cap, only Polkadot and Cosmos offered yields higher than 7.5%.
Ethereum also saw increased staking activities, capturing a 79% share of the PoS sector. However, a shift of transaction activity from Ethereum’s mainnet to various layer-2 networks led to a Q3 staking yield of just 4.5%, marking Ethereum’s lowest on record.
Read more: Top 5 Crypto Staking Mistakes To Avoid
The overall value of staked altcoins also increased by 3% compared to Q2 2023, reaching a total of $73.5 billion. On the flip side, the annualized rewards for stakers experienced a decline, falling to $4.1 billion, a 7% decrease from the last quarter and an 18% decrease year-over-year.
Furthermore, the market capitalization of the top PoS altcoins witnessed a 7% contraction to $254 billion. Despite this quarterly contraction, the year-over-year analysis reflects a stronger market, with cryptos marking a 10% to 40% increase, barring stablecoins.
Top Cryptos With the Highest Staking Yield
Here is the full list of top cryptos with the highest staking yield in Q3 2023:
| Project | Ticker | Staking Yield |
| Liverpeer | LPT | 28.70% |
| Secret | SCRT | 25.50% |
| Audius | AUDIO | 19.20% |
| Cosmos | ATOM | 18.90% |
| Kava | KAVA | 18.90% |
| Injective | INJ | 15.90% |
| Polkadot | DOT | 15.10% |
| Mina | MINA | 14.80% |
| Thorchain | RUNE | 11.50% |
| Harmony | ONE | 11.00% |
| Skale | SKL | 10.90% |
| Osmosis | OSMO | 10.60% |
| Flow | FLOW | 9.80% |
| Stacks | STX | 9% |
| Decred | DCR | 9.00% |
| Radix | XRD | 8.60% |
| NEAR | NEAR | 8.30% |
| Oasis | ROSE | 8.00% |
| Kusama | KSM | 8.00% |
| Avalanche | AVAX | 7.90% |
| MultiversX | EGLD | 7.90% |
| Solana | SOL | 7.60% |
| Algorand | ALGO | 7.50% |
| Aptos | APT | 7.30% |
| The Graph | GRT | 6.40% |
| Tezos | XTZ | 6.20% |
| Fantom | FTM | 6.10% |
| Celo | CELO | 6.00% |
| Dash | DASH | 5.80% |
| SEI | SEI | 5.50% |
| Polygon | MATIC | 5.20% |
| Sui | SUI | 4.90% |
| Ethereum | ETH | 4.20% |
| TRON | TRX | 3.90% |
| Cardano | ADA | 3.30% |
As Ethereum continues to dominate the PoS sector despite its record low staking yield, and with a diverse roster of altcoins offering compelling staking yields, the stage is set for a captivating interplay of network allegiance and yield optimization into the last quarter of 2023.
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