Staking as a Service is one of the hottest topics in the cryptocurrency circle. The heavyweight player Coinbase has made continuous moves in the field of Staking Economy. Today, it is reported that the Coinbase custody system supports Tezos Staking. Tezos is the largest ICO in 2017, and its popularity abroad For example, for EOS in China, this article will take you to analyze the logic of Coinbase’s entry as a custody role, the relationship between Staking as aService service providers and the custody system, and what potential roles there are in the domestic ecology.
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Why does anyone have to put tokens into a cold wallet for staking?
For users with very large currency holdings (including general funds, retirement pension insurance funds, family offices, exchanges, etc.), cold wallets are so-called hardware wallets, which are used to keep cryptocurrency safe offline. Simply speaking, using cold wallets can enable users The private key is always stored in the hardware, and only the signature of the private key is involved in the operation on the chain (the signature of the private key is irreversible, even if it is obtained by a hacker, the private key cannot be reversed), so the funds are almost guaranteed to be 100% safe.
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Wetez speculates that there are two possibilities
1. The staking economy is an important track. Coinbase must stand firmly on the track of cryptocurrency. It is very important to invest in Staked.us as an institutional staking service and to run an institutional staking service yourself. As long as one can succeed, it is a success.
2. Coinbase is an institutional service provider, and Staked.us is a tool provider for Coinbase. The tools include (how to run a node to obtain staking rewards, ensure node uptime and avoid Slash mechanism, staking reward display page and report, staking recognition popularization, etc.), such a cooperation Staked.us will be responsible for all Staking-related businesses and export horizontal tools and services, while Coinbase will focus on the security aspect of the custody system and other businesses.
Before moving on, let's take a deeper look at hosting services that are not easily accessible to the average user.
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What sparks can the combination of Coinbase and Staked.us create in China?
The first step of Coinbase is to rely on security and compliance to win institutional services, and provide institutional value-added staking services, so that institutional funds can also enjoy passive and stable value-added income. The next step is likely to use its own custody system to provide exchanges Users carry out staking, and users directly carry out staking on the exchange to obtain staking rewards after purchasing the cryptocurrency of the PoS consensus, and the exchange thus obtains stickiness to retain users.
If the Coinbase custody business is used as a benchmark, there are Tuolian Technology and Cobo, which are well-known in China. In 2017, Tuolian Technology was established with professional custody services as an entry point. After a year of launching its custody product Jadepool, it has already become a well-known Exchanges, mining pools, and wallet apps provide professional custody services, with custody amounts reaching tens of millions of dollars. The JadePool team mentioned that the competition in custody services is not only in asset custody, but value-added services are also a feature, such as connecting to ERC721 game scenarios, connecting to decentralized token exchange services (KYBER), and of course the most important custody system will be Fully support the Staking service of all POS public chains.
If you use the Staking business of Staked.us as a benchmark, there are Wetez, Hashquark, etc. in China. Such service organizations provide node operation services for excellent PoS public chains. Other value-added services include Staking-related product design, different chain governance models and generation Currency economic awareness education.
It seems that the domestic teams are not far behind. The value-added services of the custody system include staking, the voting governance mentioned by Coinbase, and game scenarios. There are a large number of exchanges, wallets, and institutions in China. , there will be a good combination of hosting system providers and Staking service providers.
If Coinbase represents a model student of cryptocurrency exchange compliance, then in the future, Coinbase will provide institutional staking services through this road, which will have a strong encouragement to the market. With the maturity of supervision and compliance, institutions can formally Investing a large amount of legal currency funds in digital currency will benefit the custodian institution first. What role does Staking play? The annualized rate of return is about 5%-25%. The maturity of the short-selling market and the hedging of volatility risks can create fixed-income products denominated in fiat currency, and pension funds that tend to be stable will have greater incentives to enter the cryptocurrency market.
