Coinbase announced today, in a blog post, the waitlist to earn staking rewards with ETH2 is now live. Their customers will be able to earn up to 7.5% just for holding ETH2.0. If you decide to join the waitlist, the sooner the better, as those who join today will be first in line to earn ETH2.0 staking rewards.
One of the top requests made by Coinbase customers was the ability to stake and earn rewards. First Coinbase offerings in staking started with Tezos in 2019 followed with Cosmos in 2020. This year started with 2021. We hope we will see more cryptocurrencies made available for staking on Coinbase.
Staking explained
If you want to stake ETH2.0 by yourself without any third party, like an exchange, you need to deposit 32 ETH to run validator software. As a validator, you are responsible for storing data, processing transactions, and adding new blocks to the blockchain. This process, known as proof-of-stake will keep Ethereum secure for everyone and earn you new ETH in the process.
As 32 ETH is more than $55,000 at current prices, it presents a large sum for the average crypto investor.
Coinbase made staking a much simpler and easier process. There will be no minimum amount required to stake, and customers will be able to convert, stake, and earn rewards on a portion of Ethereum instead of their entire balance, and rewards will add up in real-time through the lifetime rewards ticker in the Coinbase app or on Coinbase.com.
All features might not be available right away, so Coinbase will continue to share more information about ETH2 rewards once it becomes available. Unfortunately, Customers in New York State are not currently eligible to sign-up for the waitlist.
