Major crypto exchange Coinbase is rolling out Tezos staking rewards for users in the United Kingdom and three European countries.
Major cryptocurrency exchange Coinbase is rolling out Tezos (XTZ) staking rewards for users in the United Kingdom and three European countries.
In an announcement on May 28, the exchange revealed that users in the UK, France, Spain and the Netherlands are now eligible to earn interest on their XTZ holdings for depositing and holding the token on the exchange.
According to Coinbase, since this feature was launched in the United States back in November, users have earned over $2 million in XTZ staking rewards.
What is staking?
In blockchains that use a Proof-of-Stake system, staking enables network participants to earn a form of “interest” on their holdings, as long as they are willing to lock up their funds to help maintain the operations of the network.
The system works because, as opposed to Proof-of-Work systems such as Bitcoin (BTC), nodes in a PoS network are engaged in validating blocks, rather than mining them.
Validators for each block on the network are selected, algorithmically, on the basis of the number of tokens a given node has staked in their wallet — i.e.