Coinbase Adds Support for Cardano Staking

The largest US cryptocurrency exchange included Cardano (ADA) into its staking offerings, promising APYs of up to 3.75%. Shortly after, the price of the token shot up by double-digits to a new local peak.

• In line with its expansion plans for 2022, Coinbase announced yesterday the addition of Cardano to its staking product offerings.
• The exchange said Cardano staking has been possible for a while since the blockchain protocol employs proof of stake, but the process could be “confusing and complicated” if executed on its own.
• Now, though, Coinbase aims to simplify it by allowing retail users to participate in the Cardano network and earn rewards.
• The product offering is already live, with Coinbase outlining the current estimated annual return of 3.75% APY. There’s an initial holding period of up to 25 days. Once completed, customers will receive their rewards every 5-7 days.
• Coinbase added that users will remain in complete control of their assets and will be able to “opt-out any time you want.”
• Coinbase announcements are typically followed by significant price appreciations, and ADA’s daily performance didn’t disappoint.
• The asset struggled below $1 for weeks, and it had neared that level yesterday before it skyrocketed by over 20% to nearly $1.2 – its highest level since early February.
• ADA traded below $0.8 less than ten days ago, meaning that it has gained roughly 50% in that timeframe.

ADAUSD. Source: TradingView