UST Staking

Update – UST collapsed during the LUNA crash but Binance and other platforms still support other stablecoins with high yield like USDC.

UST staking on Anchor Protocol is one of the best ways to earn interest on stablecoins and Binance has recognized that by also announcing support for UST staking (TerraUSD) within its Binance Earn platform.

Founder of Terraform Labs Do Kwon also tweeted the Binance announcement, and that the Binance interest rate will be the same as staking UST on Anchor. That used to be 20% APY but the UST yield has lowered slightly.

Binance TerraUSD Staking

The catch is that the highest crypto interest rate of 19.63% is capped at only the first 200 UST staked. It’s possible Binance will decide to increase that limit after user feedback though as TerraUSD staking is in very high demand due to the high yield.

Binance exchange announced three tiers:

  • Up to 30,000 UST – 13.98% APY, and 30 day lockup
  • Up to 2,000 UST – 16.85% APY, and 60 day lockup
  • Up to 200 UST – 19.63% APY, and 90 day lockup

Many crypto Youtube channels reacted positively to the news of being able to stake TerraUSD on Binance and the daily interest payouts.

Cryptoassets are a highly volatile unregulated investment product. Your capital is at risk.

UST Staking Options

Some investors prefer to use a crypto exchange rather than staking UST on Anchor Protocol to keep their stable coins in the same place they trade crypto and buy altcoins.

Bybit

Bybit also added support for UST staking earlier this month, although it was in such high demand they soon sold out the 50 million UST availability.

They may add more however, and when someone unstakes you can quickly stake UST. Keep checking back. Their rate is 15% APY (it was initially 20%, then, 18%, and now 15%).

Bybit also offer short-term 99% APY staking on some crypto assets and NFT related coin, for example you can stake GMT on the platform for high yield.

Nexo

Nexo also offer the option to stake TerraUSD alongside many other cryptocurrencies and stablecoins.

Their rate is up to 17% APY if you opt to receive interest payouts in Nexo tokens (NEXO).

There is no lockup period to commit to on Bybit or Nexo, unlike Binance. They use flexible terms (Nexo offers both flexible staking and locked staking as an additional option for a higher interest rate on some cryptos, but not on TerraUSD currently).

Other popular stablecoin interest platforms like the Crypto Earn part of Crypto.com exchange, or the crypto savings accounts Aqru, BlockFi and Matrixport are yet to support TerraUSD staking but may do in the near future to stay competitive.

Where to Buy UST

Firstly you’ll need to buy crypto if you don’t have any already, and sell it for USDT (Tether). Then use a UST / USDT trading pair to buy TerraUSD.

Nexo support crypto swaps and Bybit has a UST / USDT trading pair (lower fees than Nexo). Once you own UST then you can send it to yourself – check the wallet address carefully – on whatever platform you use to stake UST.

Read more about earning interest on stablecoins and our full guide to crypto staking.

If you don’t own any crypto yet the easiest fiat on-ramp is regulated platform eToro which also supports staking Ethereum, Cardano and Tron which unlike stablecoins can also rise in value over the long-term. From there it can be transferred to Binance.

Hopefully more platforms continue to add the ability to stake UST as it has one of the highest interest rates of all staking coins.

Cryptoassets are a highly volatile unregulated investment product. Your capital is at risk.