Coinbase launches crypto rewards program for USDC holders

Exchanges • October 2, 2019, 1:02PM EDT
UPDATED: October 2, 2019, 1:22PM EDT
The Block

Coinbase has announced the launch of a crypto rewards program for its users.

Starting Tuesday, eligible U.S. customers will earn 1.25% APY for every USDC stablecoin they hold on the exchange. According to Coinbase, "USDC Rewards is a way for Coinbase customers to earn a return on USD Coin holdings without having to sell or transact any cryptocurrency." 

THE SCOOP

Keep up with the latest news, trends, charts and views on crypto and DeFi with a new biweekly newsletter from The Block's Frank Chaparro

By signing-up you agree to our Terms of Service and Privacy Policy
By signing-up you agree to our Terms of Service and Privacy Policy

Coinbase also notes that the exchange will not "lend or manage" its users' USDC holdings. "Your crypto is yours and always stays in your account. You simply earn while storing your crypto safely on Coinbase," the firm states.

On whether Coinbase plans to extend its crypto reward program to other cryptocurrencies, a Coinbase spokesperson tells The Block "We are always exploring new ways to help Coinbase customers grow their crypto wealth. Prior to USD Coin Rewards, we started offering customers a way to earn crypto for learning about new assets through Coinbase Earn" adding that "As always, we’re invested in developing products that most benefit our customers and help us build an open financial system."

USDC is a stablecoin launched by CENTRE, a consortium co-founded by Coinbase and Circle.  

About Author

Steven Zheng is a researcher for The Block. He joined The Block in August 2018. Steven graduated from St. John’s University with a degree in economics. Previously, he covered blockchain and crypto at Radicle, a startup analytics firm. He also had brief stints at Cheddar, a media startup, and Bowery Capital, a venture capital firm. He owns bitcoin. Follow Steven on Twitter at: @Dogetoshi