CEO Ivan Soto-Wright says staking mirrors a savings account with blockchain benefits.
MoonPay has launched a new feature that lets Solana holders earn passive income. The company announced its liquid staking program for Solana on July 23. This product allows users to earn an 8.49% annual yield on their SOL tokens. This news was made public on the official MoonPay X account.
With this new service, MoonPay desires to simplify staking and make it flexible. Crypto staking is a complex or risky process for many individuals, as it tends to freeze their coins. The concept of MoonPay is not the same. Liquid staking allows its users to generate rewards without losing their funds.
When individuals put their SOL as stakes, they get a token known as mpSOL. This token is a stake of their SOL. The positive aspect of the mpSOL is that one can trade or engage in other DeFi initiatives. This implies that individuals have the option of moving or putting their assets to use even as they get rewarded.
The rewards are changed after 48 hours. Therefore, users get to see their staking profit in a shorter period rather than weeks or months. No lockup period as well. Anyone can unstake their SOL at any time they desire. This is what makes it more of a savings account with added advantages.
According to MoonPay, this service is available in more than 100 countries. But it is not yet present in the European Economic Area and New York. The main idea is that any user can begin staking with only a dollar, and it is not only significant investors who can do it.
This action places MoonPay against other Solana liquid staking operators such as Marinade and Jito. MoonPay, however, aims at being different by prioritizing simplicity. The company is interested in the interests of ordinary individuals, not necessarily well-educated in crypto. It has a simple interface that allows a user to stake by merely making a few taps and does not have to worry about complex crypto procedures.
The CEO of MoonPay, Ivan Soto-Wright, said that the goal is to give people a staking experience similar to a traditional savings account. He feels that the blockchain has the potential to give higher returns and, at the same time, makes things simpler. The vision aligns with the increasing demand for simple ways to earn crypto by those who are just starting and retail investors.
MoonPay also does not take the rules lightly. Not too long ago, New York State granted the company a BitLicense. This license enables it to carry out its business in several sections in the U.S. It can also assist MoonPay in establishing confidence both with the regulators and customers.
This is the new staking feature that demonstrates how the ecosystem of Solana continues to expand. Increasingly more companies provide the opportunities of passive income generation with flexible funds. The trend appeals to retail investors and institutional investors.
MoonPay is part of the trend of companies that operate with the concepts of traditional finance and apply blockchain technology by launching this product. Since more individuals seek greater returns, such convenient staking solutions may become extremely popular.
On the whole, the step of MoonPay demonstrates the efforts of crypto firms to simplify and make DeFi services accessible to all. This would enable more individuals to make additional income out of their crypto assets and not lose control of their money.
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