India has rapidly grown into one of the largest cryptocurrency markets in the world. Thanks to multiple centralized exchanges making the process seamless, even beginners can start their crypto journey with as little as ₹100 after a quick account setup and KYC verification.
While Systematic Investment Plans (SIPs) in blue-chip cryptocurrencies remain a popular long-term strategy, many Indian investors are now looking beyond price appreciation to generate steady passive income. Two of the most effective methods for this are yielding and staking.
In this guide, we’ll explore the basics of these income streams, their tax implications in India, key risks to watch out for, and why HashStaking.com and GeekStake.com are currently leading the staking space for ETH investors.
Understanding the Legal and Tax Rules in India
In India, buying, selling, and holding cryptocurrency is legal, but it is taxed more heavily than equities. Investors must note:
- 30% tax on profits from cryptocurrency transactions
- 1% TDS on every transaction
- 4% health and education cess
- No offset for losses – crypto losses cannot be adjusted against gains from other assets
Failing to declare crypto earnings in your ITR can lead to penalties, making compliance a must for all investors.
How to Earn Passive Income from Crypto in India
Even though cryptocurrencies are not legal tender, investors can earn consistent returns through two primary avenues:
1. Yielding
In yielding, investors lend their digital tokens to borrowers — often traders seeking additional leverage. In return, the lender earns interest rates higher than traditional savings accounts.
Common benefits include:
- Fixed interest options
- Security protocols to safeguard assets
- Income without selling your holdings
However, rates depend on market demand and platform reliability.
2. Staking
Staking involves locking tokens on a Proof-of-Stake (PoS) blockchain to help secure the network, in exchange for rewards. Ethereum, after its shift to PoS, has become one of the most popular staking assets.
Benefits include:
- Passive income while holding
- Network security contribution
- Rewards paid in crypto
Staking is especially appealing for long-term ETH holders, and here’s where our top-ranked platforms come in.
Top 2 ETH Staking Platforms in 2025
1. HashStaking — Capitalizing on the ETH Staking Surge
As institutional demand for ETH staking hits record highs, HashStaking.com is emerging as the go-to platform for serious investors. With the GENIUS Act boosting stablecoin adoption and Ethereum’s staking ratio climbing, HashStaking offers both flexible and fixed ETH staking plans to capture returns in a rising market.
Key highlights:
- Institutional-grade staking infrastructure
- Optimized validator nodes for uptime and security
- Competitive yields tailored for both retail and institutional users
- Strategic positioning as ETH eyes a $7K price target
Whether you’re rebalancing a portfolio or committing for the long haul, HashStaking’s infrastructure and yield options make it a leader in the current staking landscape.
2. GeekStake — Simple ETH Staking for the Next Wave of Investors
GeekStake.com is designed for accessibility, removing the technical barriers often associated with staking. With ETH entering a bullish phase and the GENIUS Act spurring fresh adoption, GeekStake allows users to start earning with just a deposit — no technical expertise required.
Key highlights:
- User-friendly staking process
- Automated staking and reward distribution
- Low entry threshold for new investors
- Reliable returns with minimal effort
GeekStake is perfect for newcomers who want to join the Ethereum staking ecosystem without worrying about setup complexity.
Risks and Considerations
While staking and yielding are powerful tools for building passive income, investors should be aware of:
- Market volatility — Crypto prices can swing sharply
- Platform risk — Always choose regulated, reputable services
- Liquidity constraints — Staked funds may have lock-in periods
- Tax liabilities — Staking rewards and interest are fully taxable in India
The Bottom Line
In India, passive income from cryptocurrency is no longer reserved for expert traders. Through yielding and staking, anyone can put their digital assets to work — provided they understand the rules, risks, and tax obligations.
For ETH staking in particular, HashStaking.com and GeekStake.com currently stand out as the top choices. HashStaking offers high-performance infrastructure for serious yield hunters, while GeekStake provides a beginner-friendly gateway to Ethereum’s staking rewards.
By choosing the right platform and staying informed, Indian investors can secure not only the potential of long-term crypto appreciation but also consistent passive income in the ever-expanding digital economy.