Coinbase is now offering an easy, secure way to earn staking rewards on Tezos
By Rhea Kaw, Product Manager
At Coinbase, we’re focused on offering more ways for customers to earn rewards by holding crypto. Today, we’re announcing staking rewards on every Tezos (XTZ) held on Coinbase by eligible US customers. Coinbase now stakes Tezos on behalf of customers and distributes rewards directly to customer accounts.
Staking lets you earn income with your crypto by participating in the network of a particular asset. When you stake your crypto, you make the underlying blockchain of that asset more secure and more efficient. And in exchange, you get rewarded with more assets from the network.
With today’s launch, Coinbase is offering an easy, secure way for anyone to actively participate in the Tezos network. While it’s possible to stake Tezos on your own or via a delegated staking service, it can be confusing, complicated, and even risky with regard to the security of your staked Tezos. We’re changing that with staking rewards on Coinbase.
With Coinbase staking rewards:
- You can begin earning rewards on your crypto. The current estimated annual return for Tezos staking on Coinbase is ~5%. You’ll see your pending rewards increase in real-time in the app, and once your initial holding period completes (35–40 days), you’ll receive rewards in your account every 3 days.
- You will always maintain control. Your Tezos always stays in your wallet; you just earn rewards while keeping your crypto safely on Coinbase. You can opt out any time you want.
The return rate stated by Coinbase is a projection based on the rewards we’ve generated over the past 90 days. The Tezos network sets the underlying return rate depending on the number of staking participants. Coinbase distributes the return to customers and keeps a portion as commission.
Coinbase Earn Tezos
Starting today, eligible customers in all Coinbase supported countries can also participate in the Coinbase Earn Tezos campaign. Customers can earn a bit of Tezos simply by learning about the token and taking a few quizzes. Through Coinbase Earn, you can earn up to $6 of Tezos, which Coinbase can then start staking on your behalf.
You shouldn’t have to be an expert crypto trader to grow your crypto wealth. Offering simple ways for our customers to earn crypto through staking is an important step in building an open financial system. You can learn more about staking rewards on Coinbase at coinbase.com/staking.
For eligibility criteria, please visit our support center.
Check out the original article here.