Coinbase Ventures Invests in Decentralized Ethereum Staking Pool Rocket Pool
Luisa Crawford Aug 12, 2023 16:30
Coinbase Ventures has invested in Rocket Pool, acquiring RPL tokens to support the decentralized Ethereum staking pool. The move aligns with efforts to scale Ethereum's infrastructure.
Coinbase Ventures, the investment arm of the prominent cryptocurrency exchange Coinbase, has made a strategic investment in Rocket Pool, a decentralized Ethereum staking pool. The announcement was made on August 10, 2023, through a series of tweets by Coinbase Ventures.
Investment Details
Coinbase Ventures has acquired an undisclosed amount of RPL tokens from the Rocket Pool team. This investment marks Coinbase's entry into the liquid staking sector, a move that aligns with their ongoing efforts to scale Ethereum's infrastructure in a decentralized manner.
Despite the acquisition of RPL tokens, there was no noticeable increase in the value of the tokens following the announcement.
Coinbase's Involvement
Coinbase Ventures has expressed deep admiration for Rocket Pool's commitment to building one of the largest decentralized staking networks over the past six years. They will actively participate in Rocket Pool's Oracle DAO and use ETH from their corporate balance sheet to operate several hundred nodes on the Rocket Pool network.
This involvement not only enhances the network's decentralization but also contributes to the overall stability and security of the Rocket Pool protocol. The open-source code of the protocol undergoes regular audits, ensuring the network's decentralization and security.
About Rocket Pool
Rocket Pool is a leading liquid staking network on Ethereum, allowing users to stake ETH while retaining liquidity. It offers up to 4.33% APR for ETH2 staking, with additional RPL rewards for those running their own nodes, amounting to up to 6.36% APR.
The network emphasizes decentralization, consisting of over 3,100 node operators with more than 780,000 ETH staked. Rocket Pool's open-source and audited smart contracts guarantee fully non-custodial staking and a maximum degree of decentralization.
Coinbase's strategic investment in Rocket Pool signifies a significant step in its expansion in the decentralized finance sector. It reflects a shared belief between the two entities in scaling Ethereum's infrastructure in a safe, decentralized manner, aiming to bring the next billion users onchain. The collaboration between Coinbase and Rocket Pool is expected to support Rocket Pool's long-term growth and contribute to the Rocket Pool community in the years ahead.
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