Binance US has announced plans of listing Atom, the native currency of the interoperable blockchain, Cosmos, on its staking platform.
Amid these news, Atom has recovered from last week’s lows and is up 3% in the last trading day but still down double-digits week-to-date.
Crypto Market Plunging
In all fairness, the crypto market is still under bear grip and despite bullish news, it will take a lot of convincing for traders to shift from the safety of fiat and stable coins.
Stable coins, given the high demand, are trading at a premium, in green and for each USD converted to USDT, for instance, fewer coins will be yielded.
At the time of going to press, each USDT which is backed by fiat and other liquid assets, is trading at $1.01 for every USD deposited.
Cosmos (Atom) and the Security of Proof-of-Stake
For Atom holders, this is bullish news.
It is even better for the safety of the network because Atom will earn rewards from user funds and redistribute them to holders.
In the Proof-of-Stake network of which Ethereum will soon shift to, Staking is vital for the safety of the network. Unlike Proof-of-Work networks like Bitcoin which gobbles up huge amounts of electricity and requires expensive gear from China, Proof-of-Stake systems require nothing more than the native’s currency coins.
For their commitment, validators—who can receive coins from coin holders through delegation—and this is what Binance would do, are rewarded.
Cosmos-based Kava listed at Binance Staking Platform
Kava, a cross-chain DeFi platform that is based on Cosmos, is one of the many coins that are listed on Binance Staking.
Holders of Kava receive anywhere between 14-16% in annual yields while the minimum holding is 1 Kava.
Binance US now says users without Atom can purchase them since the exchange already supports Atom trading pairs.
For rewards, the exchange will take hourly snapshots. Rewards will be calculated daily and distributed monthly.
Binance received $5 million worth of Tether (USDT)
Earlier, it was reported that just over $5 million worth of USDT had been moved from an unknown wallet to Binance. The move, observers say, is a mark of market confidence and a possibility of market revival.
— Whale Alert (@whale_alert) March 10, 2020