Coinbase launches Tezos staking rewards, XTZ pumps 14 percent

Leading U.S.-based cryptocurrency exchange Coinbase is paving the way for customers to earn rewards on their Tezos (XTZ) funds.

In a blog post published today, the trading platform announced a new staking program that will allow all “eligible US” clients holding Tezos in their Coinbase wallets to earn staking rewards on their tokens. To get started, all one needs to do is purchase or withdraw Tezos from an external account and deposit it into their Coinbase wallet address.

Following the Coinbase announcement, the price of Tezos tokens jumped by nearly 14 percent. XTZ tokens are currently trading for about $1.06, according to Messari data. The same scenario played out in late September when Binance, the leading crypto exchange globally by volume, similarly added Tezos staking to its platform.

Coinbase is currently offering rewards for Tezos staking at roughly 5 percent, requiring that those taking part hold their tokens for between 35 to 40 days. Once the period ends, users can begin receiving rewards as often as every three days. Return rates depend primarily on the rewards garnered over a 90-day period and on the number of participants in the program.

Meanwhile, Coinbase has also added Tezos to its Coinbase Earn program, enabling its customers to earn XTZ tokens for watching videos and taking quizzes about the cryptocurrency.

“You shouldn’t have to be an expert crypto trader to grow your crypto wealth,” Coinbase said in a statement. “Offering simple ways for our customers to earn crypto through staking is an important step in building an open financial system.”