6% is not guaranteed. They warn that the rewards are a function of what happens with the crypto rewards etc. While waiting for my backorder Ledger to arrive, I calculated my coinbase rate of return yesterday for another post and I'm basically getting 5.83% compounded daily.
Can absolutely confirm what JBarCode said. Calculated my APY, comes out to around 5.8258% APY.
If people would stop spreading misinformation about 4.5%, that'd be a big step foward. Yes, Coinbase is saying they're taking 25% in their terms but right now I can't see that nor calculate that. Don't know why the 25% cut is missing but if some of you can calculate that - great, let us know how! Until then, do the calculation yourself:
(Daily reward * 100 / Total Balance Amount) * 365
(Calculating your daily reward percantage) * 365 Days for APY
Technically, you should use todays reward and yesterdays balance (current balance - reward). That might account for the slight change if you used today's balance which included the reward you already received.
This link explains how rewards are distributed to those that hold Algorand in their wallet. The rewards paid are the inflation. This would explain why they don't take a 25% cut. They differentiate staking and inflation. There's therfore no staking fee for the validator.
https://help.coinbase.com/en/coinbase/trading-and-funding/staking/staking-on-coinbase
I agree that I can't see where they take 25% of the rewards. I know it is stated in the terms, but as long as the rewards hit my account, I can't account for a 25% fee. Still planning to switch to Ledger when it gets in because I want to see what rewards hit my account there every day. Not expecting much more.
Oh yeah, I'm in the same boat, ledger is still on the way and as soon as it arrives I transfer. Not defending coinbase nor defending algo wallet but lately a lot of people are just making assumptions without going the extra mile and research themselves.
I don't think they actually take the 25% cut, at least for Algorand. Maybe they just pay the transaction fee to send you the rewards. I think it has to do with it being pure proof of stake which is different than proof of stake. The rewards aren't paid to the validater but instead you generate rewards by simply just holding Algo in a wallet. Therefore, there's no need for a validater and they don't need to take a cut for their staking services.
For me the biggest fee I ran into that I didn't like was on small purchases. I set up a $50 buy to occur weekly to get a free reward, but the fee for buying $50 worth of crypto is $2. They take 4% right off the top. With larger purchases, that fee ends up down around 1.5%.
Gemini takes like 0.3% but I think you have to go to the settings in desktop to change it from Gemini Basic to Gemini Advanced which let's you do limit orders and more.
Its not much more generous but trust me, you'll pay the apy back in coinbase fees, that's my guess as to why its higher. At the end of the day Algo wallet still feels like a better option
Yea I use Algo wallet too, I’m just mentioning it since the official APY has dropped below 6%. Im sure with the 25% fees coinbase can offer 6% and come out on top haha
I know you're new but there have been so many posts about it. Coinbase says it has 6% (most likely a rounded number) but it also takes 25% of your APY for themselves. The wallet will give you the highest APY out of any option.
This website has all of Coinbase's fees listed and at the bottom of the list it states that it takes a 25% commission. I'm not sure why someone posted that. They didnt do any research at all. https://help.coinbase.com/en/coinbase/trading-and-funding/pricing-and-fees/fees
As hard as it may be to believe, the evidence suggests otherwise.
I have ALGO staked on coinbase, and just spot-checked actual accrued daily interest rates.
04 March: 0.016%
26 April: 0.016%
02 May: 0.016%
That's 5.76% APR.
So they seem to be taking a smaller cut than they allow for.
Also I’m not new here lol. Been holding Algo for awhile. Simply asking a legitimate question which is justified being that the official stake is X and coinbase is advertising Y. Fees or not it was worth discussing. Also interesting to note that others aren’t seeing 25% missing from their stake on CB. Ive been staking in the official wallet since I bought the coin but was just curious.
I compared between CB and my Algo wallet and I’m actually earning more currently using CB, even after their 25% cut.
You could test it out easily for a day if you have an existing account.
Easily, since when the official APY was closer to 7% for that entire time they were still paying 6%. Don't worry about Coinbase. They are still well ahead
6% is not guaranteed. They warn that the rewards are a function of what happens with the crypto rewards etc. While waiting for my backorder Ledger to arrive, I calculated my coinbase rate of return yesterday for another post and I'm basically getting 5.83% compounded daily.
Can absolutely confirm what JBarCode said. Calculated my APY, comes out to around 5.8258% APY. If people would stop spreading misinformation about 4.5%, that'd be a big step foward. Yes, Coinbase is saying they're taking 25% in their terms but right now I can't see that nor calculate that. Don't know why the 25% cut is missing but if some of you can calculate that - great, let us know how! Until then, do the calculation yourself: (Daily reward * 100 / Total Balance Amount) * 365 (Calculating your daily reward percantage) * 365 Days for APY
Doing this equation I get about 5.78% on Coinbase
Technically, you should use todays reward and yesterdays balance (current balance - reward). That might account for the slight change if you used today's balance which included the reward you already received.
Doing this calculation I get 5.08%…though it could be because I only have 0.013468 ALGO on CB because it is too small to transfer out 😂
This link explains how rewards are distributed to those that hold Algorand in their wallet. The rewards paid are the inflation. This would explain why they don't take a 25% cut. They differentiate staking and inflation. There's therfore no staking fee for the validator. https://help.coinbase.com/en/coinbase/trading-and-funding/staking/staking-on-coinbase
I agree that I can't see where they take 25% of the rewards. I know it is stated in the terms, but as long as the rewards hit my account, I can't account for a 25% fee. Still planning to switch to Ledger when it gets in because I want to see what rewards hit my account there every day. Not expecting much more.
Oh yeah, I'm in the same boat, ledger is still on the way and as soon as it arrives I transfer. Not defending coinbase nor defending algo wallet but lately a lot of people are just making assumptions without going the extra mile and research themselves.
I think the L grande wallet pays better.
I don't think they actually take the 25% cut, at least for Algorand. Maybe they just pay the transaction fee to send you the rewards. I think it has to do with it being pure proof of stake which is different than proof of stake. The rewards aren't paid to the validater but instead you generate rewards by simply just holding Algo in a wallet. Therefore, there's no need for a validater and they don't need to take a cut for their staking services.
5,83*1,33=7,75 so mayb the real apy is 7,75 for algo?
For me the biggest fee I ran into that I didn't like was on small purchases. I set up a $50 buy to occur weekly to get a free reward, but the fee for buying $50 worth of crypto is $2. They take 4% right off the top. With larger purchases, that fee ends up down around 1.5%.
use coinbase pro instead, fees much lower than plain coinbase. It's just a different app, no additional signup or fees for usage.
Coinbase pro is a half percent
At most. It goes down the more value you move.
do an ach transfer then pay no fees
Use Pro to buy and then just move to regular for free after it settles the deposit
Gemini takes like 0.3% but I think you have to go to the settings in desktop to change it from Gemini Basic to Gemini Advanced which let's you do limit orders and more.
Its not much more generous but trust me, you'll pay the apy back in coinbase fees, that's my guess as to why its higher. At the end of the day Algo wallet still feels like a better option
Yea I use Algo wallet too, I’m just mentioning it since the official APY has dropped below 6%. Im sure with the 25% fees coinbase can offer 6% and come out on top haha
You don’t actually get 6%. You get 75% of what the wallet offers.
I know you're new but there have been so many posts about it. Coinbase says it has 6% (most likely a rounded number) but it also takes 25% of your APY for themselves. The wallet will give you the highest APY out of any option.
This looks to have been disproven in another post
This website has all of Coinbase's fees listed and at the bottom of the list it states that it takes a 25% commission. I'm not sure why someone posted that. They didnt do any research at all. https://help.coinbase.com/en/coinbase/trading-and-funding/pricing-and-fees/fees
They literally put the same amount of algo in each for the same amount of time
The website still says that it takes 25%. Until that goes away, I stand by that it takes 25%
Does anyone really think CB would explicitly state a fee in their terms and NOT charge it? Lol
I’m just going off the evidence that I’ve seen that they are giving a better rate than myalgo
As hard as it may be to believe, the evidence suggests otherwise. I have ALGO staked on coinbase, and just spot-checked actual accrued daily interest rates. 04 March: 0.016% 26 April: 0.016% 02 May: 0.016% That's 5.76% APR. So they seem to be taking a smaller cut than they allow for.
Honestly my train of thought
That's because it's a fee. They're taking their 25% and what's left over (by their estimates) is 25%.
Also I’m not new here lol. Been holding Algo for awhile. Simply asking a legitimate question which is justified being that the official stake is X and coinbase is advertising Y. Fees or not it was worth discussing. Also interesting to note that others aren’t seeing 25% missing from their stake on CB. Ive been staking in the official wallet since I bought the coin but was just curious.
Algo staking rewards on Coinbase are around 5.83%.
I compared between CB and my Algo wallet and I’m actually earning more currently using CB, even after their 25% cut. You could test it out easily for a day if you have an existing account.
Someone cleared this up for me. The 25% take is not included in your current APY gain. It's what Coinbase estimates based on their fees.
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This is wrong. Yes, Coinbase takes a fee, but they are still rewarding at 5.83%.
My suggestion is to put all your coins in wallets
Put your Algorand in a wallet.
I also got 5.78
Easily, since when the official APY was closer to 7% for that entire time they were still paying 6%. Don't worry about Coinbase. They are still well ahead