How to Stake SOL on Solana: A Guide for Passive Income

Staking has quietly become one of the simplest ways to earn passive income—and Solana is right at the heart of it. Known for its lightning-fast transactions and low fees, Solana has not only captured the attention of developers but also investors who want their crypto to work for them. 

If you're holding SOL and not staking it, you might be missing out on a steady stream of rewards that require minimal effort. But before you jump in, it's important to understand what staking actually is, how to do it, and what to expect in 2025.

Let’s dive into the details of staking SOL on the Solana network—from the basics to the step-by-step process, tax implications, and how to unstake your assets when needed.

What is Solana Staking?

Solana staking is the process of locking up your SOL tokens in a crypto wallet to help support the network’s security and operations. In return, you earn staking rewards—essentially passive income paid out in SOL.

When you stake SOL, you’re delegating your tokens to a validator, a special participant who helps confirm transactions and maintain the Solana blockchain. By doing this, you play a role in decentralizing and securing the network, while getting rewarded for it.

There are three key benefits to staking:

• Earning Rewards: Based on factors like how much you stake and the overall network conditions.
• Governance Rights: Some staking options may give you a say in future upgrades or changes to Solana.
• Supporting the Network: By staking, you help maintain network security and performance.

Rewards are typically distributed every two days, or what Solana calls an “epoch.”

Understanding Staking Methods

There are two main ways to stake SOL on Solana:

1. Native Staking

This is the traditional method. You lock your SOL tokens with a validator using a supported wallet like Phantom. 

Your SOL is inaccessible during this period unless you choose to unstake it. It’s the simplest way for beginners to earn rewards and contribute to governance.

2. Liquid Staking

With liquid staking, you still earn rewards but also get a special token in return—called an LST (Liquid Staking Token). 

For example, staking via Jito gives you JitoSOL. These LSTs can be used in DeFi apps while your original SOL is still working behind the scenes. This method gives you more flexibility but requires some DeFi knowledge.

The main difference? Native staking locks your funds; liquid staking gives you liquidity.

Solana Staking Tax 2025

Taxation is an important (and often overlooked) aspect of staking. In the U.S., Solana staking is subject to both income and capital gains tax.

• Income Tax: You’ll owe taxes on the SOL rewards as soon as they become claimable or when you unstake them.
• Capital Gains Tax: If you later sell your SOL (including your rewards), you'll be taxed on any price appreciation.

Always track the date and value of your staking rewards for accurate reporting—and consult a tax professional to stay compliant.

How to Stake SOL on Solana

Let’s walk through the step-by-step guide to staking your SOL:

Step 1: Download a Solana Wallet

We recommend Phantom Wallet for its simplicity and built-in staking tools.

1. Go to the official Phantom Wallet site.
2. Click Download, then Create a New Wallet.
3. Choose Seed Phrase Wallet and create a secure password.
4. Write down your seed phrase and keep it offline.
5. Set a username and finish setup.

Step 2: Fund Your Wallet

You can transfer SOL from another wallet or buy directly using a debit or credit card inside the Phantom Wallet via integrated partners like Robinhood or Topper.

Step 3: Start Staking SOL

1. Open Phantom and click on Solana in your token list.
2. Hit Start earning SOL.
3. Choose between Native Staking or Liquid Staking:
   • For native staking, pick a validator (Phantom lists them by reputation and estimated APY).
   • Enter the amount of SOL and click Stake.
4. For liquid staking, Phantom integrates with Jito, giving you JitoSOL in return.

After confirmation, you’ll start earning rewards in the next epoch (around 2 days).

Read more about Solana (SOL):

Solana (SOL), Market Cap, Price Today & Chart History

Solana (SOL) Price Today

How to buy Solana (SOL)

SOL to USD: Convert Solana to US Dollar

How to Stake Solana (SOL)

Trade Solana Futures

How to Unstake SOL

Need your SOL back? Here’s how to unstake depending on your method:

Native Unstaking:

1. Open Phantom.
2. Go to your Solana token.
3. Click Unstake next to your active stake account.
4. Wait for the deactivation period (usually takes about 2 days).
5. Once completed, your SOL will return to your wallet.

Liquid Unstaking:

With JitoSOL, you can simply swap your liquid token back to SOL using DeFi platforms that support the asset.

Conclusion

Staking SOL on Solana is one of the easiest and most rewarding ways to earn passive income from your crypto holdings. Thanks to low fees, a fast network, and growing liquid staking options, Solana makes staking beginner-friendly and profitable. 

But it’s essential to understand the tax rules, choose the right validator, and be aware of the risks.

Whether you’re staking natively for simplicity or exploring DeFi with liquid staking, the key is to start small, stay informed, and monitor your investments. With the right strategy, staking SOL in 2025 could become a smart long-term move for your portfolio.

FAQs

1. How often do I receive staking rewards on Solana?

Staking rewards are distributed every two days (per epoch).

2. Can I lose my SOL if my validator gets slashed?

You won’t lose your principal, but your staking rewards might be reduced.

3. Is staking SOL better with Phantom or other wallets?

Phantom is beginner-friendly, but other wallets like Solflare or Ledger also support staking with additional features.

4. Can I stake any amount of SOL?

Yes, but some validators may have minimum staking requirements.

5. What happens if I forget my Phantom Wallet seed phrase?

You’ll lose access to your funds. Always back it up securely.