Coinbase has announced that it will now be listing Cardano's $ADA token for staking, alongside plans to expand and scale its staking portfolio throughout the year.
The publicly traded crypto firm has been continuously listing a number of tokens, ranging from mainstream ones to projects and protocols that are obscure but have had a decent traction in the open market. According to Coinbase, it has "plans to continue to scale [our] staking portfolio," expanding on its latest listings across the year.
ADA, the Cardano blockchain's native cryptocurrency, ranks in the top 10 cryptocurrencies in the market in terms of market capitalization, with over $39.6 billion in total market cap with roughly $3.7 billion in average daily trading volume.
As a proof-of-stake protocol, Cardano's network is secured through staking at its core. By design, Cardano features smart contracts, which rival blockchains such as Ethereum and Solana also have, enabling functionalities for decentralized finance, non-fungible tokens (NFTs), and highly scalable Web3 integrations for other protocols.
"Cardano is one of the top ten most valuable cryptocurrencies by market cap. It’s a proof-of-stake blockchain designed to be a next-gen evolution of Ethereum — with a blockchain that seeks to be more flexible, sustainable, and scalable," shares Coinbase Senior Product Manager Rupmalini Sahu.
Coinbase staking enables users to earn rewards from their crypto. In the case of Cardano, the estimated annual return is at 3.75% APY (annual percentage yield). Users must complete an initial holding period that runs between 20 to 25 days to be eligible for weekly rewards.
Coinbase's staking program provides users with full control over their Cardano stacks, and users may opt out any time. Cardano joins existing protocols listed on Coinbase which are also provided with staking rewards: Algorand, Cosmos, Ethereum, and Tezos.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.