Leading US-based cryptocurrency exchange Coinbase today announced that it has rolled out crypto staking services for New York residents after receiving regulatory approval. Notably, Coinbase’s New York-based users can now stake Ethereum (ETH) and Solana (SOL) on the exchange.
Coinbase’s New York Users Can Now Stake Ethereum, Solana
After years of regulatory back-and-forth, Coinbase has finally emerged victorious, as the exchange today announced that its New York-based users can now stake leading cryptocurrencies, including ETH and SOL.
For the uninitiated, staking is one of cryptocurrencies’ most-used features, as it allows holders to put their digital assets to use to not only secure the underlying blockchain network but also receive rewards in return.
In the announcement, Coinbase thanked New York’s Governor Kathy Hochul for “embracing progress and providing clarity” to ensure that New York residents get the opportunity to stake their digital assets.
It should be noted that back in 2023, multiple US states had filed lawsuits against Coinbase for offering staking services, alleging that it had violated securities laws. Subsequently, states such as South Carolina, Alabama, Kentucky, and Illinois dropped their cases, following Donald Trump’s victory in the 2024 US presidential election.
Coinbase stated that although its New York-based users can now enjoy its staking services, the battle is not over yet. The crypto trading platform added:
We estimate that residents in California, New Jersey, Maryland, and Wisconsin have collectively missed out on more than $130 million in staking rewards due to state-wide bans. That’s real money for families and communities who shouldn’t be left behind.
It is worth highlighting that financial regulators in the US are finally warming up to crypto staking services, as the Trump administration works toward creating a conducive crypto regulatory framework in the country to stop the exodus of businesses witnessed under Joe Biden’s regime.
Regulators Steadily Embracing Crypto Staking Services
Recently, asset manager Grayscale Investments announced that its Ethereum exchange-traded fund (ETF) had become the first ETF in the country to allow staking. The firm is now awaiting the approval of staking services for its Solana-based investment product.
Similarly, other Solana-based ETFs are expected to offer staking services to their investors in the near term. Specifically, Solana ETFs from Franklin, CoinShares, Bitwise, Fidelity, Canary, and VanEck are expected to receive regulatory nod for staking in as little as two weeks.
That said, the road toward complete regulatory embrace of crypto staking services is not expected to be fully devoid of ups and downs. Recently, the US Securities and Exchange Commission (SEC) delayed the approval of staking proposals for Ethereum ETFs. At press time, ETH trades at $4,535, up 1% in the past 24 hours.
Featured image from Unsplash.com, chart from TradingView.com
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