Learn how to stake on coinbase and earn additional crypto. Coinbase is the largest crypto trading platform in U.S, with over 200 tradable cryptocurrencies, including Bitcoin, Ethereum, and Dogecoin, are available for customers to purchase, sell, and trade on Coinbase. With more than 108 million users and $101 billion worth of assets on its platform.
What is staking?
Similar to receiving interest or dividends while holding onto your underlying assets, crypto staking is a way to make passive income in the world of cryptocurrencies.
By leveraging your current holdings to attest to the veracity of transactions on an underlying blockchain network, you can stake your way to earning cryptocurrency as compensation.
Users can stake cryptocurrencies on coinbase just like other exchanges and earn additional crypto. But how does it all work?
Since users validate other people’s transactions on proof-of-stake blockchain networks, staking is fundamentally comparable to bitcoin mining. With the minimum required balance, users can easily stake cryptocurrencies by validating other transactions and collecting staking incentives in the form of crypto tokens.
How to stake on coinbase.
- Create a Coinbase account.
- Buy the necessary proof-of-stake coin on Coinbase that you want to stake.
- After signing up, a user must acquire proof-of-stake cryptocurrency from Coinbase to utilize for staking.
- Deposit the tokens you bought on Coinbase in order to stake the cryptocurrency you just bought.
- Once a user has made the necessary cryptocurrency deposit, the exchange instantly starts the staking process and sends rewards to your wallet as soon as they become available.
Staking requirements for Coinbase
For staking through Coinbase, there are no specific criteria. To accrue incentives for specified durations, a user must have sufficient cash to lock in for that time frame.
For instance, a user who wants to stake ETH on Coinbase must:
1. Buy and hold ETH in your coinbase wallet.
2. Reside in a jurisdiction that allows ETH stakes
3. Verify his or her ID completely.
4. Verification of all ID documents in full
5. Read and comprehend the staked Ethereum terms and conditions.
Final thoughts
Staking crypto should be entirely your decision, and you should understand how crypto currencies work before you invest your money in them.
