Many crypto service firms and exchanges continue to improve the quality of their services to stand out as the most preferred crypto trading venue and accommodate the growing cryptocurrency market. The provision of several value-added services and incentives by several crypto service firms and exchanges continue to be on the rise as the competition begins to set in due to the influx of the cryptocurrency market, which is fast becoming the go-to investment ground. Coinbase, one of the world’s leading cryptocurrency exchanges domiciled in the U.S.A, is set to be the latest exchange to offer its customers reward on their Ethereum 2.0 stakes, set to launch soon.
Coinbase users will earn 7.5% annual returns on locked Ethereum
The announcement of the launch of an upgraded network, Ethereum 2.0, was met with several enthusiasm and rewards across the Blockchain space, mainly due to the supposed improved features the network possesses. That information prompted Coinbase to assure its customers that it would fully support staking on the network.
A new report posted on the crypto exchange’s website has announced that it will soon be launching a staking reward program for the network where users can earn 7.5% annual interest on their Ethereum stakes and holdings. In the report, the exchange stated that it has opened up a list where interested customers can signup for the new reward program, as it awaits its launching soon.
The launching of Ethereum 2.0 is poised to change the face of the network. Ethereum 2.0, also known as Serenity, has increased the speed and scalability of the network since the launch of its first phase. The network is yet to launch fully yet, but it is expected to limit traffic congestion and regulate gas prices when the other phase of it launches late in the year.
A few exchanges have already started their reward program
The value of Ethereum to the Blockchain space’s overall operations cannot be quantified, as it is also responsible for equipping the building of most DeFi and DEX applications. The requirement of being a validator, i.e., the individuals responsible for processing transactions and developing new blocks on the network, is to stake 32 ETH on the network.
However, with the new Coinbase requirements, customers would not need validators to be handled by Coinbase. It is also worthy to note that holders of ETH can trade their assets, but those who signup for the rewards programs have automatically locked up their assets at the moment and would be eligible for rewards.
This is not the first blockchain reward program that Coinbase is currently involved with, as the exchange also offers similar earning programs for Cosmos (ATOM) and Tezos(XTZ) holders. It is also worthy to note that while coinbase Ethereum 2.0 staking reward program is still in progress, a few exchanges like Kraken have already started offering Ethereum 2.0 staking rewards to its customers.