Why BTC can't be used for staking?

[BitMaxz]

Know that you're not the only one hehehe
There are already some protocols that are working on this demand, but a simpler way that I found for this is:

Deposit BTC in Binance for example and withdraw BTCB, this is Bitcoin in BSC network, after that you are free to to "anything" in DeFi
You can stake in protocols like AAVE or Acryptos (https://app.acryptos.com/), or you can lend your BTC to borrow another coins and leverage your position, participate in another protocols etc

And another protocol is BOB
https://www.gobob.xyz/

You can stake your BTC sending your BTC and receiving Bitcoin LST in EVM wallet, but I didn't test this one yet (I will soon)

I don't think OP would love to exchange his BTC to other coins or token even it has some staking option.
What he wants is the safety way I guess that doesn't need to move and exchange it from BTC to tokens or any coins that has features to stake.

@OP, why not use the service from Binance? It looks similar to staking, but they offer flexible investment and dual investment with profits depends on how long you want it to invest. Dual investment is a bit risky if you set it to long period of time but flexible one anytime you can withdraw it but the only difference is the APY flexible offers less but the dual investment offers higher APY.

[gunhell16]

I have a friend who can say if he is a true bitcoin lover, where when a bitcoin was only $200 at that time, he was really just saving. Then, when Binance rose up in this industry, since he was a long-term holder, when he saw that Binance had stake features, since he didn't like to trade, he just put his bitcoin on the exchange, so why not put it in stakes? At least there is interest added to his bitcoin.

In which, for me, he has a point and the chances of the price rising in the future are even higher, which the bank cannot do and provide, but for this occasion, I would rather allocate my allocation fund for trading to the trading activity that I will do. Because the fund turns over faster, as long as you make sure that you are capable and know what you are doing in trading.

[rdluffy]

...

I don't think OP would love to exchange his BTC to other coins or token even it has some staking option.
What he wants is the safety way I guess that doesn't need to move and exchange it from BTC to tokens or any coins that has features to stake.

[/quote]

Just to be clear, BTCB or WBTC are wrapped tokens of BTC created to solve the problem of people wanting to stake BTC
I don't know if I trust more Binance or AAVE for example, but of course an exchange feel more safe than a DeFi protocol

WBTC for example, you'll have the same value as BTC in your token

[MrSpasybo]

Well, there were some lending platforms offered staking of BTC too and gave returns ranging from 4 to 8% which isn't technically staking but that's how it's referred. Basically it's running on PoW so no matter how much coins one hold it doesn't change anything on the network since verifying blocks done by miners.

Layer-2 platforms on BTC are offering quite interesting staking options. Their mechanism requires BTC holders to lock their BTC into their protocol to receive rewards for contributing to the network. This provides BTC with additional interesting utilities that we have mentioned in the past when staking became a major trend after Ethereum switched to the POS consensus protocol.

I don't have many BTC, but I'm also not interested in staking on Layer-2. I would feel safer being able to self-custody my BTC instead of entrusting it to a protocol that could be attacked at any time. The price increase of BTC during the bull run has been enough to provide returns that meet my expectations.

[examplens]

As for Bitcoin staking, all the possibilities suggested here are nothing more than lending BTC to a third party with interest. Wrapped tokens and similar things are just a model that facilitates asset management, but the background of everything is always the same. Borrowed BTC will be used by an exchange or any other service to increase its liquidity, the reward is in the form of staking rewards.
The DeFi protocols you are talking about serve to give the user the illusion that they have complete control over their investment.

[ZAINmalik75]

Hello guys, how are you doing?? so, I was wondering about my holdings on BTC, and thinking why don't I stake it?

Now I know technically, you can’t “stake” BTC in the traditional sense because Bitcoin doesn’t use a PoS consensus mechanism as it relies on proof-of-work.

Though I see there are ways to put your BTC to work that feel a lot like staking. Looking online, I saw things like savings programs, using wrapped BTC in DeFi like BGBTC, WBTC etc, and others etc can help you earn rewards for it.

So I'm curious, what do you guys think of these options? I believe a lot of you here hold substantial amounts of BTC and maybe less who knows..

WrappedBTC is not real because anything which is not on BTC blockchain is cannot be real BTC and anything can happen although anything can happen with BTC too but chances are low here. These WBTC and other versions are pegged on 1:1 ratio with the real BTC and to get them you have to give your real BTC or lock it for the time you want to stake the WBTC.

It means you have to giveaway your original BTC although we can stretch legs of this as long as we want but it can be risky but rewarding too. The choice is yours I suggest not to do this.

[Faisal2202]

Hello guys, how are you doing?? so, I was wondering about my holdings on BTC, and thinking why don't I stake it?

Now I know technically, you can’t “stake” BTC in the traditional sense because Bitcoin doesn’t use a PoS consensus mechanism as it relies on proof-of-work.

Though I see there are ways to put your BTC to work that feel a lot like staking. Looking online, I saw things like savings programs, using wrapped BTC in DeFi like BGBTC, WBTC etc, and others etc can help you earn rewards for it.

So I'm curious, what do you guys think of these options? I believe a lot of you here hold substantial amounts of BTC and maybe less who knows..

Staking BTC is a good idea but I don't like it because we have to replace or swap our BTC with other tokens like the ones you mentioned, and these are not real BTC as we must consider them alts as I consider them alts so it does not mean everyone have to it is their own decision.

I think it's risky because the project can rugpull as to get their tokens like WBTC, or BGBTC which I don't know what it is but Wrapped BTC is not actual BTC although the ratio is pegged to 1 which is good but still it's your decision, overall there must be many people in crypto space staking their BTC.

[bayu7adi]

Yes, the consensus type used is PoW, so to be able to mine new BTC coins, you must use hardware with high computing power to get high results....

However, if your goal is staking and getting passive profits from it, then you can take advantage of DeFi services from several platforms... if I'm not mistaken, Binance provides this service under the name Binance Babylon BTC Staking... by staking, it is hoped that you can get two benefits at once, the first is the benefit of obtaining staking rewards and the second is the benefit of the increase in the price of BTC, which makes the value of your BTC increase...

[joniboini]

if I'm not mistaken, Binance provides this service under the name Binance Babylon BTC Staking... by staking, it is hoped that you can get two benefits at once, the first is the benefit of obtaining staking rewards and the second is the benefit of the increase in the price of BTC, which makes the value of your BTC increase...

Is this a new product or is it the same Bitcoin lending disguised as staking? I swear there are dozens of Bitcoin staking products launched by exchanges that refer to the same thing. If anyone is interested, make sure you properly research and understand the risk. It's as risky as using wrapped tokens, maybe more depending on how the platform uses your coins. You don't want to end up as a victim of another bust lending platform even though Binance is the one who offers you this. IIRC we have many companies that went bankrupt because of their aggressive loan policy, including loaning Bitcoin with a high interest. CMIIW.

[Bobcrypto]

        -      There are centralized exchanges where you can stake your bitcoin if you are the type who is lazy to trade and all you want to do is save and hold bitcoin, usually what others do is put their bitcoin on an exchange site platform and set it up for 3 months/90 days before it is unlocked.

Now if you ask me if I trade often, I would probably prefer to trade my bitcoin on the spot even if the profit is small every day, it is fine because we can get a bigger profit than putting it in the staking features of any cex platform.

I have personally done some analysis on staking and trading Bitcoin/altcoins, after some experiments on both, first, I have the same thoughts on your ideas. Now many people chose staking because they have know trading experiences, while some of them are emotional traders.
Now from my trading/staking experiments, i think that  trading is more profitable than staking even with an equal capital basis. Staking rewards are very little, some times it is based on the staking pool and number of participants that limit rewards. For example, if you stake a $100 worth of Bitcoin for one week, you are not likely to earn up to $2 on the week, but if you trade a $100 worth of Bitcoin on spot trade option, it is most likely that you will make a profit, at least, between $2 to $3 on the week. However, trading requires some experiences boost profit.

[Crypto Library]

If we look on the  security then bitcoin is best and reliable decentralised coin what makes this ecosystem independent. And if we want to stake our bitcoin then it wouldn't going to on it position after stakes.

Staking means we have to give our fund to another third party hand and that will broke up the decentralisation. In my opinion if you are looking  for investment and want profit then I don't think we need to stake because if we do hold for long term and we should also accept the profile as the staking.

[bounceback]

If we look on the  security then bitcoin is best and reliable decentralised coin what makes this ecosystem independent. And if we want to stake our bitcoin then it wouldn't going to on it position after stakes.

Staking means we have to give our fund to another third party hand and that will broke up the decentralisation. In my opinion if you are looking  for investment and want profit then I don't think we need to stake because if we do hold for long term and we should also accept the profile as the staking.

Staking bitcoin with higher reward looks difficult to find any third party promising high return, I agree with your opinion about keep holding bitcoin for long term and its the same way as staking due with exchange market not promising high return profitable or reward from staking or duel investment way in Binance exchange.
If you want take high risk and high return not bad ideas put in the future for bitcoin and take as long position, I believe if bitcoin price increasing have bigger profitable earn from bitcoin price up then from future long position profitable.

[Stompix]

Satoshi in 2009:
Be your own bank, not your keys, not your coins.
The crypto world in 2025:
Let me just deposit these coins I own in some centralized service so I can receive some tokens in exchange on which I can get interest, all based on the promise of payment.

[Gurujebs]

Staking BTC is a good idea but I don't like it because we have to replace or swap our BTC with other tokens like the ones you mentioned, and these are not real BTC as we must consider them alts as I consider them alts so it does not mean everyone have to it is their own decision.

I think it's risky because the project can rugpull as to get their tokens like WBTC, or BGBTC which I don't know what it is but Wrapped BTC is not actual BTC although the ratio is pegged to 1 which is good but still it's your decision, overall there must be many people in crypto space staking their BTC.

Even if one has to wrapped Bitcoin to stake, I don't like the idea because you have to lock your coins and then get another equivalent wrapped coins in another blockchain network, took much stress because you want a little yield on your Bitcoin and there has been many reported hack of wrapped Bitcoin where the hacker mints more coins on supply to redeem real Bitcoin and to date, the Bitcoins are gone because they were laundered through bad mixers.

If you are holding less than 1 Bitcoin, youndont have any reason to stake your Bitcoin, I'm talking about the reward because it's not worth the risk in the first place.

[Mia Chloe]

If we look on the  security then bitcoin is best and reliable decentralised coin what makes this ecosystem independent. And if we want to stake our bitcoin then it wouldn't going to on it position after stakes.

Bitcoin is not actually suitable for staking due to its underlying Proof of Work consensus mechanism In PoW miners  actually compete to solve complex mathematical puzzles to validate transactions and create new blocks and this particular mechanism is not compatible with staking because  staking requires a Proof of Stake (PoS) consensus mechanism.

Unlike pow In PoS validators are chosen to create new blocks based on the amount of cryptocurrency they "stake" or lock up as a kinda collateral Bitcoin's protocol does not have a built-in staking mechanism, and its reward mechanism is based on block rewards and transaction fees, which are not dependent on staking.