Big Bitcoin Exchange Launched 10 Percent Return Altcoin Staking Program!
Staking is a way for cryptocurrency users to earn passive income as they earn interest in their investments. Now, to meet the demands of customers, the popular stock market Bitfinex began staking out a rewards program according to an announcement made today.
Stacking Altcoins in Bitfinex
The new staking services allow Bitfinex users to earn up to 10% interest per year to invest and hold their digital assets on the stock exchange. For now, however, the staking program is only implemented on EOS, Cosmos (ATOM) and v.systems (VSYS) altcoins. The stock exchange plans to add support to Tezos (XTZ) in May. Speaking about Staking, Bitfinex’s Technology Officer, Paolo Ardoino, said the app is committed to combining existing customers and the wider crypto community with innovative products and features. Ardoino said the following in his statement:
“Bitfinex Staking Rewards Program offers our users another way to increase their presence on our platform.”
Stacked tokens will remain under stock market control and will be secured like other cryptocurrencies on the platform. The company guarantees to users that funds will be securely stored on the platform using the secure on-premises retention solution. So customers won’t have to worry. To celebrate the launch, the exchange is holding a competition that allows participants to win a branded Bitfinex t-shirt.
Crypto Money Staking Becomes Popular
Bitfinex is not the first cryptocurrency exchange to launch a stake-focused rewards program. Kraken, Coinbase and leading stock market Binance have launched similar staking services that offer users a 5% to 7% annual return. Although cryptocurrency staking may seem attractive, it does bring some risks. Unless users trade with funds, it is not generally recommended to store large amounts of crypto money on exchanges. Because these funds are secured only until the stock market is attacked. Hackers are nightmares of cryptocurrency exchanges. These treacherous players always target exchanges, and the trading platform of the next victim cannot be determined. It is worth remembering that exchanges such as Mt Gox and Cryptopia, which went bankrupt after serious security breaches, are the biggest examples leading to the loss of users’ funds.