Polkadot Staking: Where and How to Stake DOT in 2025

Polkadot staking has become an attractive way to earn passive income while supporting the security of the blockchain. Unlike traditional blockchains, Polkadot uses Nominated Proof-of-Stake (NPoS), where users nominate validators instead of running their own nodes. It simply means that instead of each user setting up and maintaining their own node to validate transactions (which can be complex and resource-intensive), they can delegate their staking power to trusted validators. This lowers technical barriers and enhances decentralization.

Polkadot 2.0 will make staking even more rewarding. With upgrades like faster transactions (block times reduced from 12s to 6s) and improved scalability, staking is expected to become more efficient and cost-effective. In this guide, we’ll explore everything you need to know about Polkadot staking—from understanding how Polkadot staking works to choosing the best staking platforms and maximizing rewards.

Polkadot Staking: Summary

Polkadot staking offers a way to earn passive income while strengthening network security through Nominated Proof-of-Stake. By staking DOT and nominating trusted validators, users help maintain decentralization and ensure the network remains stable, all while collecting rewards.

As staking is expected to gain momentum with Polkadot 2.0, understanding the best methods, platforms, and strategies is key to maximizing returns. More than 58% of DOT is already staked, reflecting strong investors’ confidence in its long-term potential. This guide explains everything you need to know, including how to stake DOT, choose the right platform, optimize rewards, and manage risks.

What is Polkadot Staking?

Staking is the process of locking up cryptocurrency to support the network in exchange for rewards. In Polkadot, staking serves two main purposes:

• Securing the network: By staking DOT tokens, users contribute to the security and decentralization of the blockchain.
• Earning rewards: Users receive staking rewards for participating in the network’s security.

Staking involves locking, also known as bonding, $DOT tokens on the Polkadot blockchain for rewards. As discussed in our detailed Polkadot review, Polkadot uses a unique consensus mechanism – Nominated Proof-of-Stake. NPoS consensus enables $DOT holders to stake their tokens in two ways – through direct nominations and by joining a nomination pool.

Therefore, DOT holders stake their tokens in two ways:

• As a Validator: Validators run network nodes, produce blocks, and validate transactions.
• As a Nominator: Nominators don’t run nodes but delegate their DOT to trusted validators to earn staking rewards.

The former refers to locking $DOT tokens on-chain and selecting (nominating) a validator that will represent the staker in the block validation process. $DOT holders can nominate up to 16 validators. However, they’ll need to stake a minimum of 250 DOT tokens to be eligible to become nominators.

Now that we understand the basics, let’s explore how Polkadot staking works in more detail.

How Does Polkadot Staking Work?

Polkadot staking follows a Nominated Proof-of-Stake (NPoS) system, where users stake DOT tokens to secure the network and earn rewards. We reviewed that the two key participants in this system are validators and nominators.

The key difference between validators and nominators lies in their roles. The role of the validator is to produce new blocks and to run nodes. The role of the nominator is to contribute to network security via staking. Rewarded tokens to validators will be shared with their nominators. Validators with lower stake amounts receive rewards comparable to those with higher stakes, preventing an over-concentration of power.

This method reduces the possibility of centralization. Just as nominators share their rewards with validators, they also share the risk of slashing. If a validator engages in malicious activity or fails to adhere to network protocols, the associated nominator may also incur a penalty through slashing.

How Polkadot Staking Rewards Work?

Polkadot’s shared security model is the backbone of its ecosystem. It ensures decentralization by rewarding validators equally, regardless of their total stake. The NPoS consensus mechanism encourages $DOT holders to secure the network without running their own nodes. Anyone who stakes at least 1 $DOT token can join the nomination pool, making the staking process accessible to a wider range of contributors. All these factors make Polkadot’s staking mechanism quite unique.

• Rewards are distributed equally among validators, preventing large validators from earning disproportionately higher rewards.
• Nominators receive a share of rewards based on the performance of the validator they support.
• Rewards must be manually claimed within 84 eras (84 days), or they will be lost.

How to Select the Best Validators for Polkadot Staking?

Staking DOT tokens will enable investors to nominate up to 16 validators to represent them in the block validation process. Nominators should consider the following criteria when choosing their validators:

• Era points: Validators will earn points for completing different tasks on the chain during each era. High-performing validators will earn more points, enabling them to earn higher rewards. If validators constantly earn high era points, it suggests that they have good uptime.
• Validator’s self stake: Validators with a high self-stake will have more ‘skin in the game.’ Having a high self-stake demonstrates the validator’s commitment, reducing the chances of slashing.
• Commission fees: Validators take a percentage of the rewards they earn as commission fees that vary from 0% to 100%. Validators with low commissions (but not 0%) will enable nominators to earn a larger share of the rewards. On the other hand, validators with a 100% commission fee will not share rewards with their nominators. You can check the validator’s commission fee on the Staking Dashboard.
• Identity: Validators with a verified on-chain identity will have a greater chance of getting selected by nominators. You can check whether the validators have been verified by tapping their names. Most verified validators will leave their email or a link to their website or X account.
• Slashing history: Validators with no history of getting slashed are more likely to get chosen by nominators. Validators that get slashed can lose between 0.01% and 100% of their staked tokens.

Where to Stake Polkadot: Best Platforms for Staking DOT in 2025

Polkadot staking is available through multiple platforms, including centralized exchanges, wallets, native staking via Polkadot-JS UI, and liquid staking services. Below is a breakdown of the best ways to stake DOT.

1. Centralized Exchanges (CEXs)

Exchanges allow users to stake DOT without dealing with technical complexities. Some of the top platforms include:

Kraken: User-Friendly Exchange for Staking DOT

Kraken is a well-established cryptocurrency exchange known for its strong security, extensive asset support, and advanced trading features. It offers spot trading, margin trading, futures, and staking services, making it a comprehensive platform for both beginners and professional traders.

Coinbase: Best Platform For Polkadot Staking

Coinbase is a user-friendly cryptocurrency exchange that offers staking services for Polkadot (DOT) with an estimated APY of 5-7%. It provides a simple staking experience with no lock-up periods, allowing users to earn passive income while maintaining flexibility.

2. Staking Through Wallets

Wallets allow users to retain full control over their private keys while staking DOT. Some popular wallets include:

Ledger Live: Offers Most Secured Way to Stake Polkadot

Ledger is a hardware wallet that provides secure and offline staking solutions for Polkadot (DOT). Through Ledger Live, users can stake DOT while maintaining full control over their private keys, offering a safer alternative to centralized exchanges.

Nova Wallet: Best Wallet For Staking Polkadot

Nova Wallet is a non-custodial mobile wallet that allows users to stake Polkadot (DOT) directly or through nomination pools. Developed by Novasama Technologies and funded by the Polkadot Treasury, it enables users to interact seamlessly with the Polkadot network without relying on third-party staking providers.

3. Native Staking

For staking Polkadot, holders have another option as well. They can directly stake on the official Polkadot wallet. Most of DOT holders find this process of staking easier as compared to other methods.

Polkadot-JS UI: Best Method to Stake DOT

Polkadot-JS UI is the official web-based wallet for Polkadot, providing advanced staking features designed for experienced users and developers. It offers full control over validator selection, supports direct staking and nomination pools, and integrates seamlessly with Polkadot’s governance system.

4. Liquid Staking Services

Below you will find the top liquid staking services thorough which you can put your DOT to staking.

Bifrost: Best Liquid Staking Platform For Polkadot Staking

Liquid staking allows users to stake DOT while still having access to liquidity. Instead of locking up their DOT, users receive tokenized versions of their staked assets. Bifrost is a liquid staking platform on Polkadot, offering users a way to stake DOT while maintaining liquidity. Instead of locking up DOT for 28 days, users receive vDOT, a tokenized version of staked DOT that can be used across DeFi protocols for lending, farming, and trading. Bifrost’s liquid staking solution improves capital efficiency while still allowing users to earn staking rewards.

If you want to know more about the staking platforms, check out our separate article on Best Crypto Staking Platforms for 2025 with highest staking APY.

How to Stake Polkadot: A Step-by-Step Guide

Staking Polkadot is simple, but the steps vary based on whether you use an exchange, wallet, or Polkadot’s native UI. Below is a step-by-step guide for each method.

Staking Through Exchanges: Best for Beginners

• Step 1: Create an account on a centralized exchange that supports Polkadot staking, like Coinbase and Kraken.
• Step 2: Buy or deposit DOT tokens.
• Step 3: Locate the Stake or Earn section and select DOT from the list of available assets.
• Step 4: Enter the amount to stake and choose the staking terms (if applicable).
• Step 5: Tap the Stake button.

Remember, the most commonly used centralized exchanges require a lower Polkadot staking minimum requirement (or no minimum requirement) compared to native staking on Polkadot. However, CEXs may also charge commission fees, which can reduce your returns.

Staking Through Wallets: Best for Security & Self-Custody

• Step 1: Set up a wallet that supports SDOT, like Nova Wallet, Talisman, or Ledger.
• Step 2: Fund your wallet with at least 250 DOT to be eligible for staking rewards. If you use Ledger, the Polkadot minimum stake requirement is 254 $DOT.
• Step 3: Locate the Staking tab and select Polkadot.
• Step 4: Enter the amount to stake.
• Step 5: Depending on the staked amount, the wallet recommends direct staking or staking via a nomination pool.
• Step 6: Choose up to 16 validators to nominate and confirm your choice.

Don’t forget to leave enough funds to cover transaction fees.

Staking Through The Polkadot-JS UI: Best for Advanced Users

• Step 1: Create a Polkadot account. You’ll need a minimum of 1 $DOT in your account to keep it active.
• Step 2: Navigate to the Polkadot-JS UI. You’ll find the Staking button under the Network tab.
• Step 3: Tap the + Nominator button (in the upper right corner).
• Step 4: Choose your Stash account and select the amount you wish to stake.
• Step 5: Choose your reward destination.
• Step 6: Tap the Next button to select your validators.
• Step 7: Tap the Bond & Nominate button to review your transaction.
• Step 8: Tap the Sign and Submit button to finish the process.

Not all nominators with 250 staked $DOT tokens will earn staking rewards since the minimum stake threshold can change with each era. The minimum stake requirement will be based on the total number of nominators and their stake amounts. Likewise, you won’t be able to earn staking rewards if you nominate a validator who takes 100% commission.

Liquid Staking via Bifrost: Best for DeFi & Earning While Staying Liquid

Polkadot’s parachains, like Bifrost, Equilibrium, and Acala, offer liquid staking options. Liquid staking platforms issue tokenized representations of staked $DOT, such as vDOT (Bifrost), LDOT (Acala), and xDOT (Equilibrium), which can be used in DeFi applications.

Here’s how to stake $DOT on Bifrost:

• Step 1: Download the Bifrost app.
• Step 2: Select the Polkadot network in the main dashboard (upper right corner).
• Step 3: Select the vStaking option in the module bar on the left.
• Step 4: Enter the amount you wish to stake and tap the Mint button (the minimum amount requirement is 1 $DOT)

Liquid staking can generate higher returns than traditional staking since stakers will be able to use their liquid tokens in various DeFi protocols.

Now that you know how to stake DOT, let’s explore how much you can earn.

How Much Can You Earn by Staking Polkadot?

Polkadot staking rewards depend on multiple factors, including the validator’s performance, commission fees, and the overall amount of DOT staked.

Factors Affecting Staking Rewards

• Choosing a trustworthy validator with low fees and strong uptime boosts your staking rewards, while unreliable ones can lead to losses.
• Different platforms offer different returns, and some may charge fees that cut into your earnings.
• Unstaking DOT takes 28 days, during which your tokens are locked and won’t earn rewards.
• With Polkadot’s 10% annual inflation, staking helps prevent your holdings from losing value over time.
• Rewards change based on network conditions, validator performance, and platform policies.
• Doing your research before staking ensures better returns and lowers risks.
• A staking calculator can help estimate how much you might earn based on the amount and duration.

How to Manually Claim Staking Rewards?

The Polkadot staking rewards are calculated per era, which lasts about 24 hours. This means that the amount of rewards will vary from era to era. The staking rewards will be available for 84 eras (or 84 days), after which they’ll be lost if no one claims them. If the distribution of the rewards is not automatic, it will have to be triggered by someone (usually validators).

You can claim the staking rewards manually in the following way:

• Go to the Staking Dashboard and navigate to the Pools tab (located in the module bar on the left).
• Tap the ‘Withdraw’ button to cash out your rewards. You can tap the Bond button to return the rewards into the staking pool and increase your stake.
• Tap the Submit button and sign the extrinsic.
• Polkadot also enables permissionless claiming, meaning anyone can claim the rewards on your behalf. To do that, you must update your claim permissio.
• Go to the Pool tab and tap the Manage button.
• Click on the Update Claim Permission icon.
• Tap the Enable Permissionless Claiming button and choose one of the three options: Allow Compound (everyone can claim and bond your rewards), Allow Withdraw (anyone can claim your rewards as transferable balance), Allow All (anybody can withdraw your rewards on your behalf).
• You can manage your rewards through the Payouts tab located within the Staking Dashboard.

If your staking rewards aren’t showing up, check if you meet the minimum staking requirement (250 $DOT). If you’re above the minimum staking requirement and still can’t see your rewards, you may need to reposition your account using Polkadot-JS UI. Go to the Bags page located under the Staking tab and tap the “Move up X” button to reposition your account. This will enable you to start receiving rewards again.

APYs Across Different Platforms

You can also stake your tokens on different platforms to earn higher APYs. For example, Best Wallet supports 60 blockchains, including Polkadot, and it has an integrated staking aggregator that produces high APYs.

Tips and Strategies for Maximizing Polkadot Staking Rewards

Nominators can maximize their rewards by staking their tokens on platforms offering high APYs. For example, the Polkadot APY on Kraken ranges between 12% and 18%. They should also consider choosing high-performance validators. High-performance validators usually earn more era points, which can lead to bigger rewards.

Nominating multiple validators could also do the trick since nominators will be able to take advantage of both active and less active validators. By nominating multiple validators, the chance of being affected by the poor performance of a single validator will be significantly reduced.

You should regularly monitor your nominations to ensure you’re supporting active and reliable validators. Another way nominators can maximize their staking rewards is through compounding. You’ll increase your total stake if you send your rewards to your stash accounts and bond them. And finally, you should take advantage of liquid staking. Liquid staking will enable you to earn rewards, gain governance rights, and participate in DeFi activities.

With that in mind, $DOT tokens can act as lucrative portfolio diversifiers. With Polkadot 2.0, the $DOT token could trade between $12 and $16, representing a 140-220% increase compared to its current price. On top of that, one case study suggests that Bifrost and Polkadot could redefine cross-chain liquid staking.

Bifrost used the Polkadot SDK to develop a dedicated liquid staking chain. Its transition to Polkadot allowed vDOT holders to move their tokens across multiple chains. This helped Bifrost evolve from a smart contract protocol to a sovereign application-specific blockchain. Bifrost also plans to extend its liquid staking ecosystem by allowing its users to mint vETH tokens directly on the Polkadot blockchain.

Benefits and Risks of Staking Polkadot (DOT)

Polkadot staking comes with benefits and challenges that you should know before tapping the stake button.

Polkadot Staking vs. Other Staking Options

Although Polkadot is one of the most prominent staking coins, here’s how DOT staking compares to other passive income options:

Mistakes to Avoid When Staking Polkadot

The biggest mistake people make while trying to stake this coin is not paying attention to the minimum requirements. To become nominators, token holders will have to stake a minimum of 250 DOTs. They’ll also have to leave at least 1 $DOT on their accounts to keep them active, while the minimum requirement to join a nomination pool is 1 $DOT.

However, not all token holders who stake 250 $DOTs will receive rewards since Polkadot uses a bags-list system. The goal of the bags list is to select the top 22,500 nominators who will receive rewards. Nominators with a higher bag position will have a greater chance of becoming one of the 22,500 nominators. Another common mistake $DOT holders make is missing reward claim deadlines. As mentioned before, the rewards must be claimed within 84 eras. Otherwise, they’ll be lost.

In a nutshell:

• Ensure you stake at least 250 DOT to become a nominator and keep 1 DOT in your account to stay active.
• Only the top 22,500 nominators receive rewards; a higher stake improves your chances.
• Claim rewards within 84 eras, or they will expire.
• Avoid inactive or oversubscribed validators to prevent missed rewards.

Best Practices to Stake Polkadot

• Pick validators with verified identities and a strong performance record.
• Spread your stake across multiple validators (up to 16) to reduce risk.
• Regularly check network updates and validator performance for informed decisions.
• Learn the staking process and tools to prevent technical errors.
• Use trusted wallets like Ledger to secure your staked DOT.

How to Unstake Polkadot: A Detailed Guide

To earn staking rewards, nominators will first have to bond (lock) their tokens for a set period of time. They must unstake (unbond) their $DOT if they want to stop the staking process. They can do this whenever they want. However, the unbonding process will take 28 days. During the unbonding period, nominators won’t be able to use their tokens or earn rewards. The goal of the unbonding period is to serve as a security measure, i.e., to ensure that validators and nominators are held accountable for their prior participation in network security.

You can unbond your tokens in the following way:

1. Go to the Staking Dashboard and navigate to the Nominate tab (located in the module bar on the left).
2. Tap the ‘Unstake’ button.
3. Enter the amount you wish to unbond, sign the batch call from your wallet, and tap the Submit button.
4. After 28 days, you’ll be able to withdraw your unbonded tokens.

Unbonding Process & Timelines

• Unbonding DOT takes 28 days.
• To fully unbond, go to “Nominate”, click “Unstake”, submit, and sign.
• To unbond partially, click “-” under “Bonded Funds”, enter the amount, and confirm. Ensure at least 250 DOT remains staked.
• Fast unstake is possible if no active validator exposure for 28 days.
• After the wait, click the unlocked padlock, select “Withdraw Unlocked”, and sign.
• Rebonding is possible before tokens fully unbond.
• Unbonded DOT returns to your transferable balance for use.

Fast Unstake Feature

Fast Unstake lets users instantly unbond DOT if they haven’t supported a validator in the last 28 eras. The stash must have no unbonding or redeemable funds. Eligible users can unstake via the Staking Dashboard or fastUnstake extrinsic with a 1 DOT deposit, refunded if successful. Funds become transferable in about three minutes.

Future of Polkadot Staking: Long-Term Trends to Watch

The future of Polkadot staking will be shaped by upcoming network upgrades, changes in staking rewards, and the expansion of liquid staking options. Polkadot 2.0 introduces Async Backing, which is expected to reduce block times from 12 seconds to 6 seconds, increasing transaction speed and efficiency. Elastic Scaling offers temporary lease option for additional computational power, improving resource allocation and network performance.

Changes to staking rewards are also under discussion. The Polkadot community is considering adjustments to the ideal staking rate to maintain a balance between decentralization and rewards. Additionally, a proposal suggests reducing the network’s annual inflation rate from 10% to 8%, which could impact the overall staking yield and DOT’s supply dynamics.

Liquid staking is expanding as an alternative to traditional staking, allowing users to stake DOT while keeping it accessible for trading or DeFi use. Platforms like Bifrost provide tokenized versions of staked DOT, offering more flexibility while maintaining network security.

Conclusion: What is Polkadot Staking?

With Polkadot 2.0 launch, Polkadot staking presents an exciting opportunity. Faster transactions, enhanced scalability, and a more efficient ecosystem could lead to higher rewards and increased adoption. The fact that more than half of the DOT supply is already staked signals strong investor confidence in its long-term potential. There are multiple ways to stake, from exchanges and wallets to nomination pools and liquid staking platforms. However, choosing reliable validators, understanding staking thresholds, and managing risks like slashing and unbonding delays are essential. As Polkadot continues to evolve, staking DOT remains a valuable strategy for earning passive income while contributing to network security.

See Also:

• Cardano Staking: How to Earn Rewards By Staking ADA
• Bitcoin Staking: How to Earn Rewards by Staking Crypto?
• How to Stake Pyth Tokens in 2025: A Beginner’s Guide
• XRP Staking: How to Earn Rewards With XRP in 2025
• How to Stake POL: Beginner’s Guide to Polygon Staking

Frequently Asked Questions

References

• Coinbase. “Polkadot (DOT) Staking.” Coinbase Help, https://help.coinbase.com/en/prime/staking/dot.
• Reddit User. “Best Way to Stake 1500 DOT?” Reddit – r/Polkadot, https://www.reddit.com/r/Polkadot/comments/1bahtul/best_way_to_stake_1500_dot/?rdt=65127.
• Bifrost. “A Complete Guide to Polkadot Staking.” Bifrost Blog, https://bifrost.io/blog/a-complete-guide-to-polkadot-staking.
• Polkadot Wiki. “Introduction to Staking.” Polkadot Network, https://wiki.polkadot.network/docs/learn-staking.
• Polkadot Wiki. “Advanced Staking Concepts.” Polkadot Network, http://wiki.polkadot.network/docs/learn-staking-advanced.