Validator types that you can use to stake asset on Coinbase Prime:
Coinbase default dedicated validator: Yes
Coinbase Developer Platform dedicated validator: Yes
Delegation minimum requirement (Prime UI Min.): 32ETH, see ETH guide for details.
Staking maximum: 3200 ETH per wallet
Estimated rewards rate: Rewards rates vary - visit https://www.stakingrewards.com/cryptoassets* for current estimated reward rates.
Estimated reward payout:
Era |Validator rewards are distributed every 4 - 5 days after the activation period is complete. Rewards may not settle in a specified account for an additional duration depending on network conditions.
Era | Transaction rewards are distributed when a validator processes a transaction and are not distributed in a specified time frame.
Tranaction Rewards are deposited into a designated ETH Transaction Reward Wallet, identifiable by the name "Staking Transaction Rewards"
All transaction rewards collected in a portfolio are distributed into this wallet.
Users will not be able to deposit funds into the wallet.
Delegator reward compound: Not applicable
*Third-party website provided for information only. Coinbase hasn't verified and doesn't guarantee the accuracy of information, including minimum requirements, staking maximums, and reward rates, provided on www.stakingrewards.com
Bonding period: Dependent on network conditions
Unbonding period: Dependent on network conditions
Refer to the Staking & Unstaking section of this article for more details on the staking activation and unstaking processes.
Ability to stake when using the following entity:
Coinbase Custody Trust Company, LLC: Yes
Coinbase Custody International, Ltd.: Yes
Coinbase Germany GmBH: Yes
Coinbase, Inc. (Custodial Account only): Yes
Staking: The entire wallet you select will be staked in exact multiples of 32 ETH to fund validators. If there is a remainder, it will not be staked.
Ability to unstake assets: Yes, the entire wallet will be unstaked.
Can you withdraw part of staked assets (or must you withdraw all): Must withdrawal all
Ability to change staking amounts: Yes, but you have manually re-stake new rewards (post-merge) and additional deposits in increments of 32 ETH
Ability to add new principal funds to a staked wallet: No
Partial amounts allowed: No
Fees charged when using the following validator types:
Coinbase Default Dedicated validator: 10% Charged by Coinbase Prime. Note: validation services are diversified across multiple high-quality validator providers including Coinbase Developer Platform
Coinbase Developer Platform dedicated validator: Subscription, participatory, and service fee vary. Reach out to your Account Manager or Prime Operations team for more information
Note: please note that the fee is not automatically taken out of your ETH rewards but is invoiced on a monthly basis.
Consensus requirements: General consensus approvals required for all staking activities
What is the US tax treatment for ETH staking?
When you receive your liquid rewards in your Coinbase Prime account, Coinbase will consider rewards earned from staking ETH as taxable income and subject to any required tax information reporting. Subject to future guidance from the IRS, ETH staking rewards are considered income, just like any other kind of staking rewards.
Rewards: Both ETH staking transaction and validator rewards will be considered income when they are received, using the market price of ETH as of the date they are received.
Tax treatment for ETH staking outside of the US may differ based on your jurisdiction and regulations; please contact a qualified tax accountant for more information.
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