Staking is the hot new trend in the cryptocurrency space this year where a user actively participates in transaction validation on a proof-of-stake (PoS) blockchain and earns staking rewards in return. As a result, the demand for platforms providing staking as a service has become quite popular among the less tech-savvy users.
Popular exchanges like Binance and Coinbase have already entered this booming market, and the latest contender in the game is trading platform and multi-asset brokerage, eToro.
According to a copy of a press release shared with The Daily Chain, eToro has launched its dedicated staking service option for Cardano (ADA) and Tron (TRX). ADA staking is the latest in the crypto space and eToro is one of the first to support it.
Users who hold positions for a certain amount of time in any of the above-mentioned assets will be earning a monthly staking reward. The entire process is automated and is hence a seamless way for even those who are new to this space.
An eToro spokesperson told Cointelegraph that the rewards are calculated based on regular snapshots taken at 00:00 GMT. The system then calculates the corresponding reward at the end of the month based on average daily position size.
Yoni Assia, CEO, and Co-founder of eToro, said in a statement:
“eToro has a large and active crypto community and our goal is to ensure that we are always offering them the very best products and services. We are excited to launch our staking of Cardano and TRON, providing a highly market-competitive offering. We are proud to be one of the first regulated platforms to offer a staking service for Cardano and will be further expanding our staking service in the coming months.”
As of now, TRX yields a 5.78% annual reward, and ADA yields 7.82% annually. Staking rewards are also distributed automatically in the supported asset.
As a move the make the process completely transparent, users will also receive a monthly report via email, detailing the yield of their staking rewards and how it was calculated.
Tron CEO and founder Justin Sun said in the release:
“As we continue to see diminishing returns from traditional CeFi services, DeFi is continuing to expand. Services such as eToro’s new staking service takes the complexity and confusion out of the staking process, and makes it accessible to everyone.”
The exchange is currently working on adding more assets to this new service and has NEO, Tezos, EOS, and eventually ETH 2.0 in the list among other assets.