Robinhood, a prominent American trading platform has rolled out its first-ever crypto-staking product for its European customers.
The company made this announcement in a press statement dated Wednesday, May 15.
However, the trading company has also launched several other new features for European users and this development marks Robinhood’s first foray into crypto-staking products exclusively available to its European customers.
Robinhood Crypto customers can now stake their solana (SOL) holdings directly through the app, allowing them to earn rewards with the flexibility to unstake at any time, the first stated
Robinhood also unveiled a suite of new features for its European customers, including staking, localized apps, crypto rewards for new users, and updated Learn & Earn modules. With Robinhood Crypto, users can trade over 30 cryptocurrencies, track real-time prices, and access charts to refine their trading strategies.
The firm explained:
Starting today, we’re introducing our first-ever crypto-staking product, which will be available exclusively to our customers in Europe.
New customers can now receive a 10% bonus on their net purchases within the first 30 days on the platform. The bonus will be paid in USDC. This initiative aims to attract new users and enhance their crypto investment experience.
The platform will also launch local language versions of the Robinhood Crypto app, beginning with users in Italy, Poland, and Lithuania
Once available, customers in these countries will have a fully translated experience, increasing their confidence and comfort as they research investments and place trades.
The decision to select Solana for Robinhood’s inaugural staking product was influenced by the token’s popularity among its EU customer base. Besides, Johann Kerbrat, the general manager of Robinhood Crypto, highlighted the simplicity of staking on the Solana network compared to Ethereum.
Kerbrat cited Solana’s shorter bonding period of approximately two days, unlike Ethereum’s variable period, which can extend from several days to weeks.
Meanwhile, Kerbrat noted the new feature will offer an approximate annual percentage yield (APY) of 5% at launch. While the initial APY is subject to change based on the fluctuating nature of staking rewards, Robinhood’s offering is shy of Coinbase’s estimated 5.42% reward for Solana stakes.
Johann Kerbrat, VP and GM of Robinhood Crypto also said;
Since launching at the end of last year, our customers in Europe have made it clear they want an app that supports local languages and offers products to earn passive income
How Robinhood Made Its Way Into European Union
Robinhood Crypto was introduced to the European Union in December as a specialized cryptocurrency trading platform. With its registration and regulation in Lithuania, the application has witnessed substantial downloads, especially in Poland, Italy, and its home country, Lithuania.
The European Union version of the app lists 33 tokens, surpassing the 15 crypto assets available on Robinhood’s U.S. trading platform. Notably, SOL and Solana-based memecoins like BONK and Dogwifhat (WIF) are accessible in the EU but not in the U.S.
The application in the EU features 33 tokens, exceeding the 15 crypto assets offered on Robinhood’s U.S. trading platform. It is worth mentioning that SOL and Solana-based meme coins such as BONK and Dogwifhat (WIF) can be accessed in the EU but not in the U.S.
Robinhood’s expansion of crypto services in Europe comes as its U.S. counterpart faces regulatory scrutiny. Recently, Robinhood received a Wells Notice from the SEC concerning its crypto listings.
Kerbrat emphasized that Robinhood and its EU crypto branch operate as separate business entities. As such, the European operations remain unaffected by the ongoing developments in the US.
What You Should Know
- Crypto staking is currently under scrutiny in the United States. The U.S. Securities and Exchange Commission (SEC) has taken action against several crypto exchanges offering staking services, arguing that these services constitute unregistered securities offerings.
- For instance, the SEC charged crypto exchange Kraken in February 2023, leading to a $30 million settlement and the cessation of Kraken’s U.S. staking services.
- The securities regulator has also sent Robinhood Markets a Wells notice regarding its crypto operations, which the company intends to fight in court if necessary.
