Bitstamp exchange launches Earn products for ALGO and ETH in the US allowing the customers to earn interest on staking for these coins so let’s read more today in our latest cryptocurrency news.
As Bitstamp continues its push into the US markets, the platform aims to introduce its Earn product to the US investors. The product is available for non-US customers already and it is meant to turn into a key ETH and ALGO staking solution. The investors fund the Bitstamp accounts and collect the staking rewards and for its part, it will take on a fee on the yield customers earn. The US CEO Bobby Zagotta said that the yields are not generated via lending like other high-interest crypto accounts. He added:
“This offering is staking, pure and simple. We’re not into a lending product in the U.S. and as such, you know, it’s a protocol-driven set of rewards. We don’t have discretion over how those rewards are created. We’re not moving people’s funds or making investments. So it’s very, very far removed from what some of the lending companies like BlockFi have done.”
BlockFi is a New Jersey-based rewards platform for crypto and Celsius is a London-based competitor which drew the ire of hte SEC this year. Both companies were ordered to stop offering high-itnerest accounts to US customers after the regulator alleged they are unregistered securities. BlockFi reached a $100 million settlement with the SEC and shifted its product offerings while Celsius was redesigning the product to pass it along to regulators.
Bitstamp made sure to steer clear of offering accounts that generate yields from lending and has more work to do with regulators. The customers in Alabama, Hawaii, Idaho, Nevada, and New Jersey as well as New York and Louisiana won’t be able to take part. The list includes a few of the states which were critical of BLockFi and Celsius. Zagotta added that he is confident Bitstamap’s Earn Product will have room to grow and this year will be great for the US team as the Bitstamp exchange launches the Earn product:
“We’ve been in building mode. We’ve doubled our [U.S.] staff and we have kind of relayed out the product roadmap. And so there will be more announcements, both in the form of tokens available for listing in the U.S., but then also other Earn-like offerings that will enable people to do more with their assets.”
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