Press "Enter" to skip to content

Tezos surges after the Staking announcement

Cryptocurrency

Coinbase announced that they would be adding staking functionality to their platform so that users can earn regular rewards by staking their XTZ token within the exchange.

The news instantly sent XTZ’s price surging up high by 70%, which may partially stem from the fact that the addition of network participants via Coinbase’s new pool staking feature may enhance the network activity and decentralization of the popular Proof-of-Stake (PoS) protocol.

On November 6, Coinbase announced the implementation of staking rewards for Tezos on its retail platform. In such a way, Coinbase wants to condition its users to participate in the Tezos network, thus making the underlying blockchain “more secure and efficient.”

They mentioned,

“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.”

By doing so, Coinbase claims that users can expect to receive a return of roughly 5 percent over a 90-day period that will be distributed directly to user’s accounts in parts every three days after going through an initial holding period of 35-40 days.

Disclaimer - OBN is an informational website which aims to give the latest blockchain related news to the readers. Articles on OBN should not be considered as investment advice. Trading cryptocurrencies is a high-risk investment, every user is advised to consult an expert before making any decisions.