How To Stake Stellar (XLM): Complete Guide!

Stellar (XLM) staking doesn’t work like traditional staking at all. Confused? Don’t worry—you’re not alone. That’s why we’ve created this easy-to-understand guide to help you navigate exactly how to stake Stellar (XLM), what makes it different, and how you can still earn rewards.

Whether you’re new to crypto or already holding XLM in your wallet, this guide will walk you through everything you need to know, from setting up your wallet to tracking your rewards like a pro. Let’s dive in!

What is Stellar (XLM)?

Before we explore how to stake Stellar (XLM), it’s important to understand what this blockchain network actually is. Stellar is a decentralized, peer-to-peer payment network launched in 2015 by the Stellar Development Foundation. 

Its mission? To connect global financial systems and make cross-border payments fast, accessible, and incredibly affordable.

The network runs on a native token called Lumens (XLM), which acts as a bridge for currency conversion and helps facilitate lightning-fast transactions. 

But unlike Ethereum or Solana, Stellar doesn’t rely on proof-of-stake (PoS) or proof-of-work (PoW) mechanisms. Instead, it uses something called the Stellar Consensus Protocol (SCP)—a unique algorithm designed for speed, low cost, and decentralization.

Here are some features that set Stellar apart:

• Transaction fees are insanely low—just 0.00001 XLM.
• Anyone can join the network—there’s no need for expensive mining rigs or minimum balances.
• The network confirms transactions in just a few seconds.

Because of its unique structure, Stellar (XLM) staking doesn’t involve locking your tokens in the traditional sense. But that doesn’t mean you can’t earn it. Let’s talk about how.

How to Stake Stellar (XLM)?

If you’re wondering how to stake Stellar (XLM) and earn rewards, you should know upfront: XLM cannot be staked in the traditional PoS sense. 

Instead, users can earn passive income through third-party platforms, liquidity pools, and previously, inflation pools (though these are no longer active on Stellar). Below is a step-by-step guide to get you started.

Step 1: Purchase Stellar (XLM) Tokens

First, you’ll need to get your hands on some XLM. You can buy Stellar Lumens on major exchanges like Bitrue.

Once purchased, consider moving your tokens to a personal wallet for better control and safety.

Step 2: Choose a Compatible Wallet

Not all wallets support Stellar network features. A few trusted ones include:

• Solar Wallet – Built for Stellar, with a clean interface.
• Ledger Nano X – A hardware wallet for maximum security.

These wallets allow you to interact with the Stellar blockchain and participate in XLM reward programs.

Step 3: Pick a Staking Platform

Since Stellar doesn’t offer native staking, you’ll need a platform that supports staking-like features for XLM. Some popular choices.

Simply deposit your XLM into these platforms, select the duration (if applicable), and start earning.

Step 4: Stake Your XLM

Once your tokens are in the platform wallet:

1. Navigate to the staking or “earn” section.
2. Select Stellar (XLM).
3. Choose how much you want to stake and for how long.
4. Confirm your selection.

And that’s it! Your XLM is now working for you.

Read more about XLM: 

How to buy Stellar Network (XLM)

Stellar Network (XLM) Price Today

How to Stake Stellar Network (XLM)

XRP to USD: Convert Stellar Network (XLM) to USD

Stellar Network (XLM), Market Cap, Price Today & Chart History

How To Track Staked XLM in Your Portfolio

Managing multiple assets across wallets and platforms can quickly get overwhelming. That’s where crypto portfolio trackers come in handy. Tools like CoinStats Portfolio Tracker let you:

• Connect with over 100 wallets and exchanges
• Monitor all your holdings, including staked assets
• Track earnings and portfolio performance in real-time

Even better, CoinStats does not require your private keys, ensuring your safety and peace of mind.

If you’re serious about growing your passive income, using a portfolio tracker is a smart move to stay organized and informed.

Conclusion

While you can’t stake Stellar (XLM) in the traditional PoS sense, there are still legitimate and rewarding ways to earn passive income with this powerful cryptocurrency. 

\By leveraging third-party platforms like Binance or Nexo, and keeping your tokens in compatible wallets, you can make your XLM work for you—even in a bear market.

The key is to understand how Stellar (XLM) staking works, stay updated with your rewards, and use tools like portfolio trackers to simplify the process. 

Done right, staking XLM could be a strategic move in your broader financial journey—especially if you're aiming for long-term growth and passive income.

FAQ

Q1: Can you stake Stellar (XLM) directly on the Stellar network?
No, the Stellar blockchain doesn’t support native staking. Instead, you earn through third-party platforms that offer yield programs.

Q2: What is the Stellar Consensus Protocol (SCP)?
SCP is Stellar’s unique consensus mechanism. It allows for fast, secure, and decentralized transactions without using PoS or PoW.

Q3: Is staking XLM safe?
Yes—if you use trusted platforms like Binance or Nexo, and secure wallets like Ledger or Solar Wallet.

Q4: How much can I earn by staking Stellar (XLM)?
Returns vary by platform, duration, and market conditions. Always check the latest APY (Annual Percentage Yield) before staking.

Q5: Can I lose money staking XLM?
Yes. While you earn rewards, the value of XLM can drop, which could result in overall losses. Always stake responsibly.