How to stake Polygon (MATIC) from Australia

By   |   Verified by David Boyd   |   Published 21 Dec 2022

  • Polygon (MATIC) is a popular staking token in the Defi space.
  • MATIC tokens can be purchased on any Polygon-supported crypto exchange or wallet.
  • People who stake their MATIC can make returns and offset movements in prices.

Staking MATIC for a passive income is one of the most popular ways the token is put to use.

By staking MATIC people can reduce the volatility of price movements and it helps to maintain the integrity of the MATIC network.

This is a step-by-step guide for where and how Australians can stake Polygon.

Where to stake Polygon (MATIC)

Binance Australia

On website

Highlights

  • Sign up on Binance Australia to get a 100 USDT cashback voucher. Terms and Conditions apply.
  • World's largest crypto exchanges.
  • Buy, sell, trade, and stake 1,000s of crypto coins and trading pairs.
  • Zero-fee deposit via PayID or Osko from Australia.

Pros

  • It has some of the lowest trading fees out there. 0.1% for spot trading and 0.5% for instant buy or sell fees.
  • Credit card or debit card deposits are accepted.
  • Provides charting and trading tools suitable for advanced crypto traders.

Cons

  • The platform UI can be complicated to learn for new investors.
eToro Crypto

On website

Crypto assets are unregulated & highly speculative. No consumer protection. Capital at risk.

Highlights

  • Access thousands of assets across multiple categories.
  • Copy trades of popular investors that trade Crypto.
  • Access powerful analysis tools and innovative social features.

Pros

  • The user-friendly website and app make it easy to trade from anywhere.
  • Trade Bitcoin, Ethereum, and 60+ other crypto assets.
  • With its CopyTrader feature, you can replicate the moves of other investors.
  • Start trading with just $10.

Cons

  • There is a 1% fee that is added to the market price.
  • Other exchanges have more selections of crypto coins and tokens.
Swyftx

On website

Highlights

  • Receive $10 worth of BTC when you sign up and verify your account.
  • Trade over 300 assets on Swyftx including Bitcoin, Ethereum, Ripple and Litecoin as well as DeFi coins such as UniCoin.
  • Deposit or withdraw funds from your account using several payment methods (PayID, OSKI, POLi or bank transfers).
  • New to Crypto? Try Swyftx's demo mode, it allows you to mock trade with no financial risk while you learn the ropes of crypto trading.

Pros

  • Trade more than 300 crypto assets through the Swyftx platform.
  • Offers tight spreads and low trading fees.
  • Get support within 5 minutes through their live chat.
  • Practice trading with a demo mode.

Cons

  • Lacks access to advanced trading markets.
Crypto.com

Highlights

  • Buy Bitcoin and 250+ cryptocurrencies with 20+ fiat currencies.
  • Earn up to 8.5% p.a. staking your crypto, and up to 14% p.a. for stablecoins.
  • Spend with the Crypto.com Visa Card and get up to 5% back.
  • Enjoy greater capital efficiency and lower margin requirements.

Pros

  • Get access to additional features including lending, borrowing, debit cards, and more.
  • Start trading with just $1.
  • Use your spot assets as collateral.
  • There is a USD 2,000 referral bonus.

Cons

  • Lack of educational resources.
Uphold Crypto

On website

Crypto assets are highly volatile. Your capital is at risk. Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment, and you should not expect to be protected if something goes wrong.

Uphold Crypto

Highlights

  • Invest in 250 + cryptocurrencies and stablecoins, 27 national currencies, and multiple precious metals with 0% commission.
  • Ability to trade crypto against other assets like foreign currency and commodities.
  • Registered with FinCEN (US), FCA (UK), and FCIS (Lithuania).

Pros

  • Open an account in less than a minute.
  • Low deposit requirement and commission-free trading.
  • Option to trade fiat currencies and precious metals.

Cons

  • High spreads on low-liquidity assets.

How to stake MATIC

If you are interested in staking Polygon (MATIC) from Australia, here is a step-by-step guide on how you can do so.

Step 1: Select a staking method

The easiest way to stake MATIC is with a crypto exchange, or with a Defi project.

Step 2: Select an exchange

You can stake Polygon (MATIC) at a number of well-known crypto exchanges. When you are comparing exchanges where you can stake, there are several things to look for.

Make sure that you are satisfied with the security measures in place at the exchange and that there have been no recent security compromises.

Since yield and fees vary between exchanges, compare how much you could earn and what fees you would have to pay. Make sure the crypto exchange is trustworthy.

Step 3: Send Polygon MATIC to your wallet

If you do not already own any Polygon MATIC tokens, you can buy them on the exchange.

If you already have MATIC in a wallet, you can transfer them to the exchange or a defi project where they can then be staked.

Step 4: Set up the contract

The exchange operates as the staking pool operator. Any rewards earned in return for staking will be acquired and administered by the exchange.

When configuring the contract, you will have to specify how long you want to stake your MATIC. Typically, the longer you stake, the higher the yield typically will be.

Withdrawing your tokens before the end of the contract will affect the yield (APY).

Make sure you clearly understand all the terms and conditions before staking.

Pros and cons

Pros

  • Staking is an easy way to earn interest on your Polygon (MATIC) holdings, with yields increasing the longer you stake for.
  • You can stake without any mining equipment, such as you would for Proof-of-Work (PoW) cryptocurrencies like Bitcoin.
  • Staking benefits the community by helping to maintain the integrity and efficiency of the Polygon network.
  • Staking is a lot more environmentally friendly compared to mining cryptocurrencies.

Cons

  • Your Polygon coins will be inaccessible while staked, leaving you exposed to loss from market volatility.
  • There are fees to stake at an exchange, which will offset profits.
  • Staking Polygon doesn't shield you from loss.

FAQs

Is it worth staking Polygon MATIC?

Staking MATIC can be rewarding, with the rewards increasing the longer you stake for. However, staking a small number of tokens for a short period of time may not yield a meaningful amount.

What happens if the price of MATIC decreases while staked?

Typically, you won't have access to your MATIC tokens while they are staked or locked up on an exchange. That means you risk the value of MATIC falling and being unable to sell out of your position. If this scenario played out, the amount you would lose would depend on how far the value of MATIC was to decrease.

How much MATIC do you need to stake?

Typically, there are no upper or lower limits on how much MATIC you can stake. Only a small amount of MATIC will be needed to stake of a couple of MATIC tokens.

Can you lose money staking MATIC?

Yes, you can lose money while staking MATIC since the price action can be volatile. Also, you run the risk of a crypto exchange collapsing or a defi project melting down while your MATIC is locked up.

Do you have to stake MATIC on an exchange?

No, you could also look for a Defi project or a liquidity pool to stake your MATIC.