Largest US cryptocurrency exchange Coinbase has announced that they will offer a new service. The service will allow their institutional clients to stake their Tezos coins to earn profit. Staking cryptocurrencies works essentially the same way as bank deposits in savings accounts: a client deposits or stakes its coins for limited period of time and earns passive income. Staking is possible for few PoS (Proof of Stake) cryptocurrencies like Tesoz, EOS and a few others. The more coins are staked the higher the reward. It is unlike PoW ( Proof of Work) coins, where network is secured by miners. PoW coins like Bitcoin and Etherium, PoS networks are secured by coins that a user deposits.

(Dmitry Gene Zuckoff, an IT professional with interests in Fintech and distributed ledger technologies)