After a successful experiment to launch Tezos in the US last year, Coinbase plans to deliver this service to four European countries. Due to the fact that traditional investment instruments do not provide good returns to investors, crypto-staking become in demand in the financial market.
Coinbase's San Francisco-based cryptocurrency trading platform is currently expanding its Tezos service packages to four European countries. On Thursday, May 28th, Coinbase announced the provision of these services in the UK, France, Spain and the Netherlands. The crypto trading platform has stated that it will focus on allowing its customers to earn rewards by owning the Tezos cryptocurrency.
Coinbase first launched Tezos Staking Service in the U.S. last year in November 2019. Coinbase now claims that since then, its customers have earned $ 2 million in cryptocurrencies. The cryptocurrency exchange also mentioned that this is a new profitable alternative to traditional investments, such as bonds and stocks.
The cryptocurrency platform listed Tezos in July 2019. Since then, according to Coinbase, the current annual return of users hosting their Tezos is 5%. Please note that Coinbase stakes Tezos on behalf of users and distributes rewards directly to customer accounts. The company's official press release states:
“With today's launch, Coinbase offers an easy and secure way for the UK and some EU customers to actively participate in the Tezos network. Despite the fact that you can bet Tezos on your own or through a delegated betting system, this can lead to confusion, complex and even risky from the point of view of the security of your Tezos, on which a deal is made. We are changing this by making rewards at Coinbase. ”
Please note that in order to receive the right to receive rewards, users must necessarily keep their coins for at least 35-40 days.
Learn more about Tezos and Coinbase rewards.
Tezos is blockchain Proof-of-Stake, which allows users to place coins to receive rewards. The number of rewards in the PoS system is directly proportional to the number of coins delivered.
The process is beneficial because with the help of staking you help the blockchain become more efficient and secure. Cryptocurrency betting is gradually becoming popular as it allows you to earn a steady income. As such, traditional investment instruments, such as government bonds and savings accounts, have failed again and again. The profitability of such investment instruments also fell to a multi-year low.
In this case, crypto-consulting becomes the best alternative for investors. However, it should be noted that the price of assets and remuneration related to shares may fluctuate depending on market dynamics. A Coinbase spokesperson told CoinDesk that the company is working with several local regulators to expand its staking service. He said:
“We start with these new markets in the first place, as we expand internationally, we constantly review and consider additional markets.”