Digital banking service Revolut is starting to offer crypto staking to customers in the U.K. and European Economic Area (EEA), according to an emailed announcement.
Revolut, which has around 25 million customers worldwide, the vast majority of whom are in the U.K. and the European Economic Area (EEA), is rolling out the service this week, AltFi reported Monday. At first, the London-based fintech will support staking of the tokens of Polkadot (DOT), Tezos (XTZ), Cardano (ADA) and Ethereum (ETH). Yields on the assets reach up to 11.65%, though these are variable, Revolut said in its email on Tuesday.
Crypto staking involves holders of a particular asset offering their tokens to help support the running and maintenance of a blockchain, receiving a reward in return. Staking has attained newfound prominence in the crypto industry in recent months since Ethereum, the largest blockchain supporting decentralized finance (DeFi), transitioned to a proof-of-stake model. Compared with a proof-of-work mechanism, proof-of-stake blockchains require far less energy and are cheaper to operate and more scalable.
Revolut has been offering crypto services since 2017, gradually stepping up its offerings over time. From solely providing buying and selling of crypto, the bank started allowing customers to transfer their assets to wallets and platforms elsewhere in 2021. In October 2022, Revolut added a feature allowing customers to spend their crypto on everyday purchases using a debit card. It received approval to offer crypto services from the Financial Conduct Authority in September.
UPDATE (Feb. 7, 10:28 UTC): Removes link to AltFi story and changes attribution to Revolut's announcement.
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