Market News

Kraken Relaunches U.S. Crypto Staking Service: Enhanced Features and Security for Investors

blockchain industry, crypto staking, cryptocurrency rewards, Digital Assets, Kraken, SEC settlement, U.S. crypto regulations

Kraken is relaunching its crypto staking services in the U.S. after previously shutting them down in 2023 due to a settlement with the SEC. Customers in 39 states can now stake eligible tokens through Kraken Pro, allowing them to earn rewards from bonded staking. Kraken’s global head of consumer, Mark Greenberg, described this as a positive development for the U.S. crypto Market. The exchange originally debuted on-chain staking in 2019 but had to pause its U.S. operations as part of a $30 million settlement with the SEC for not properly registering the service. The relaunch reflects changing dynamics in the crypto industry under new regulatory conditions.



Kraken Resumes Crypto Staking Services for U.S. Clients

Kraken, a leading cryptocurrency exchange, has announced the return of its crypto staking service to customers in the United States. After halting its staking services in 2023 due to a settlement with the U.S. Securities and Exchange Commission (SEC), Kraken is now offering this feature in 39 states and territories.

Staking allows users to earn rewards by locking up their crypto assets with the network for a set period. Kraken delegates these staked assets to validators, who handle transaction processing and block production. The rewards from this process are then shared with the users, minus any fees.

Mark Greenberg, Kraken’s global head of consumer, shared that this development is an “overwhelmingly positive” sign for the U.S. crypto Market. Kraken was the first major exchange to launch on-chain staking back in 2019 but had to cease U.S. operations after being charged by the SEC for not registering their staking program.

The SEC emphasized the need for proper disclosures and safeguards for investment contracts involving cryptocurrency. Following this, Kraken continued to offer staking services to non-U.S. clients through a separate subsidiary.

The relaunch of Kraken’s staking service indicates a shift in the regulatory landscape, particularly with the recent executive order from former President Donald Trump focusing on comprehensive federal crypto regulations and revoking certain Biden-era restrictions. This change in leadership seems to provide a more favorable environment for crypto intermediaries in the United States.

As the crypto landscape evolves, Kraken’s return to crypto staking reflects a broader recovery and adaptation of the industry under new regulations.

Tags: Blockchain, Crypto, Crypto Exchange, Crypto Staking, Cryptocurrency, Digital Assets, Kraken, SEC, Web3

What is Kraken Resumes U.S. Crypto Staking Service?
Kraken’s U.S. Crypto Staking Service allows you to earn rewards by holding certain cryptocurrencies. When you stake your crypto, it helps support the network, and in return, you get paid in more crypto.

How does staking work?
Staking involves locking up your cryptocurrency for a certain period. This helps maintain the network’s security and operations. In exchange, you earn rewards, which can be added to your crypto balance.

What cryptocurrencies can I stake with Kraken?
Kraken offers several cryptocurrencies for staking, including popular options like Ethereum, Tezos, and Cardano. You can check the specific list on their website as it may change over time.

Do I need a minimum amount to start staking?
Yes, there is usually a minimum amount required to stake each cryptocurrency. This minimum varies depending on the crypto you choose, so be sure to check the details for each option.

Are there any risks involved in staking?
Yes, there are some risks with staking. The value of your staked cryptocurrency can go up or down, and there may also be periods when you cannot access your funds. It’s important to understand these risks before you start staking.

Leave a Comment

DeFi Explained: Simple Guide Green Crypto and Sustainability China’s Stock Market Rally and Outlook The Future of NFTs The Rise of AI in Crypto
DeFi Explained: Simple Guide Green Crypto and Sustainability China’s Stock Market Rally and Outlook The Future of NFTs The Rise of AI in Crypto
DeFi Explained: Simple Guide Green Crypto and Sustainability China’s Stock Market Rally and Outlook The Future of NFTs The Rise of AI in Crypto