Here is a concise overview of earning interest on your crypto holdings by staking on centralized exchanges (CEXs):

Staking crypto on CEXs like Binance, Coinbase, and Kraken allows you to earn passive income while maintaining the convenience and liquidity of keeping your assets on an exchange. These platforms offer staking services for many proof-of-stake coins, with yields typically ranging from 3-20% APY depending on the asset.

The highest staking rewards on CEXs are often for lesser-known altcoins, while stablecoins and major assets like ETH tend to offer 3-10% APY on average. Binance is known for competitive rates, with up to 10% APY on BUSD and USDT, and 5% on the first 0.01 BTC.

Staking on CEXs is generally simpler than self-custody staking, as the exchange manages the technical aspects. However, it requires trusting the exchange with your assets, exposing you to risks like hacks, bankruptcy, and frozen withdrawals as seen with Celsius.

While convenient, CEX staking provides lower rewards than DeFi and often involves lockup periods where assets can't be withdrawn. Carefully research an exchange's security, insurance, and reputation before staking significant sums.

Ultimately, CEX staking suits those prioritizing simplicity over maximum returns. Holding keys in your own wallet and staking directly or via DeFi protocols offers higher yields but with added complexity. Consider your risk tolerance and tech savvy when deciding where to stake.