Best Exchanges
for Staking.

Proof-of-stake blockchains (Ethereum, Solana, Cardano, Polkadot) secure their networks by having token holders lock up their coins as collateral. In return, those holders earn rewards — typically paid in the same token.

When you stake through an exchange, the exchange pools your tokens with other users' and runs the validator infrastructure. You earn a share of the rewards minus the exchange's commission.

The short version: you hold the token, you click “stake,” you earn interest-like rewards. The exchange handles the technical side.

Here's where it gets important. HMRC treats staking rewards as miscellaneous income, not capital gains. The rewards are taxed at your marginal income tax rate at the point you receive them.

That means if you earn 0.1 ETH in staking rewards when ETH is worth£2,500, you have £250 of taxable income. If you're a basic-rate taxpayer, that's £50 in tax. Higher rate: £100.

The cost basis for those reward tokens is their value when you received them. If you later sell the 0.1 ETH for £300, you have a separate £50 capital gain on the disposal.

In practice, this creates a double layer of tax: income tax when you receive staking rewards, then potential CGT when you dispose of them. Keep records of every reward distribution including the date, amount, and GBP value at the time.