Coinbase Prime – Coinbase’s institutional arm for advanced trading – has introduced Ethereum staking solutions for its domestic institutional clients in the US.
“Coinbase Prime provides institutions with an end-to-end staking experience. Clients can create a wallet, decide how much to stake, and initiate staking from the ETH asset page on their Coinbase Prime account,”
wrote Aaron Schnarch, VP of Product Custody, in a blog post.
Staking is seen as a passive way to generate income. According to Coinbase, the solution would make it easy for institutions, who have been on the fence due to a lack of high-end services, to enter the crypto market.
Apart from the providing yields, the company would use advanced security measures to ensure the safety of the funds.
“To further ensure the security of client accounts, staking transactions must first complete consensus before they are executed,”
read the blog.
The ticker ETH2 would represent staked Ethereum. Once the network’s upgrade to Proof-of-Stake – expected in September 2022 – is complete, ETH and ETH2 tickers will be merged into a single entity.
Staking is a prominent feature for most crypto projects. Currently, almost 11% of all the Ethereum in circulation is staked on various platforms generating an average yield of around 4%.
Coinbase Prime also supports staking for Solana, Polkadot, Cosmos, Tezos, Celo, and more.
