I'm a beginner so I put it in the Beginners & Help section.
Coinbase offers "Cosmos" with a yearly annual return of 17.66%.
I did some research on Cosmos and its future looks bright.
On my research, it says to only Stake on huge platforms, such as Coinbase.
I realize the drawback is you freeze your funds for a certain amount of time.
The other drawback is because of Crypto's ups and downs, you might lose money if it goes down. But that's true of any crypto, including BTC.
As far as I can tell, the annual return stays at 17.66% for the duration.
Is there any drawback I'm missing?
Why don't people just buy Cryptos that they can stake?
In my opinion, the main disadvantage of staking is that you give crypto currencies for safekeeping to others, and this disadvantage overrides all the possible advantages of this option. I am ready to lose my annual income of 17.66%, if only I had crypto currencies in my custody. Although the same, bitcoin, in the future of several years, will more than overtake this figure of 17.66%.
Another disadvantage you mentioned is the freezing of your money. If you urgently need your assets, then you will not be able to pick them up. This limits your financial mobility. Also, I don't like being restricted from using my own money. This looks absurd.
I can assume that people use staking services, using the example of a Coinbase, because of banal greed and a desire to get more money. The side effect of this is most often lost money. Not 17.66% received as annual income, but all 100% of the amount in the stake.