Bitfinex has announced the launch of staking on ADA, the native cryptocurrency of the Cardano network.
Now on the staking.bitfinex.com platform of the famous exchange it is possible to put in staking, besides ADA, also EOS, Cosmos (ATOM), Algorand (ALGO), v.systems (VSYS) and Tezos (XTZ).
How Cardano staking works on Bitfinex
The cryptocurrencies will be stored on the Bitfinex platform, using the exchange’s internal custody solution, so once staked they remain under the control of the platform, in the same way as other tokens deposited on it for trading purposes.
The premiums are paid each week, thanks to a snapshot of the account balance at mid-week, on the basis of which the premiums will be distributed according to the amount of tokens held at the time of the snapshot.
There is no minimum amount to stake, but there is a minimum amount of rewards, generally set in a number of tokens with a value around $0.10. This minimum prize is reset every time rewards are distributed, but should never exceed $0.20.
Depending on the protocol, some tokens staked are blocked for a certain period of time, but Bitfinex immobilizes only a part of the digital tokens in its possession, so that it is almost always possible to withdraw them at any time. If these withdrawals were too high there would be a delay in the withdrawal due to the settings of the cryptocurrency protocol you want to withdraw.
The CTO of Bitfinex, Paolo Ardoino, stated:
“We’re delighted to announce that Bitfinex customers will now have the opportunity to start staking their ADA assets. Our ADA staking service builds on the success we’ve already had since first launching our staking program“.
The start of the staking program on Bitfinex took place in April and is part of the exchange’s attempt to become a one-stop shop for cryptocurrency trading, offering a variety of services including margin trading with up to 5x leverage.