By Bitcoinist - 10 months ago - Reading Time: 2 minutes
Coinbase Attracts Customers With 4% Yield On USDC, Challenging Banking Giants
Coinbase, undeterred by the ongoing legal challenges posed by the US Securities and Exchange Commission, remains steadfast in its commitment to enhancing its services for crypto enthusiasts.
Despite the regulatory hurdles, the renowned crypto exchange has taken a significant stride towards catering to more sophisticated traders with the introduction of Coinbase Advanced, a specialized trading platform.
Coinbase Advanced now offers traders the enticing prospect of earning “up to 4% rewards on the USDC they hold on Coinbase or any USDC used in open orders.”
The company has unveiled an array of improvements on Coinbase.com, the primary trading platform, featuring a total of 237 new USDC trading pairs.
Coinbase Touts Yield Potential
While banks have long been regarded as go-to destinations for individuals seeking a safe and stable way to grow their savings, the exchange’s foray into the realm of high-yield offerings introduces a paradigm shift in the potential for generating substantial returns.
With a 4% yield on USDC holdings, Coinbase challenges the status quo and presents an alternative avenue for individuals to amplify their investment growth.
Unlike traditional banks, which typically offer modest APYs ranging from 0.01% to 0.50% on savings accounts, the company’s 4% yield eclipses these offerings by a considerable margin.
As the leading cryptocurrency exchange in the United States, Coinbase has garnered a reputation for its robust security measures, regulatory compliance, and user-friendly interfaces.
Crypto Exchange Reinforces Stance On Cryptocurrencies
In its ongoing response to the securities claims made by the US Securities and Exchange Commission, the company has once again asserted that cryptocurrencies should not be classified as investment contracts and, therefore, should not be considered securities.
While the exchange has previously expressed this argument in public statements, a recent filing delves deeper into the company’s position, providing further clarification.
According to Coinbase, the cryptocurrencies available on its secondary market platform do not fall under any arrangements where a promoter sells an asset tied to a contract, citing the precedent-setting Howey case in the Supreme Court.
Coinbase’s filing represents a firm and well-reasoned defense of its position, aiming to establish a clear distinction between cryptocurrencies and traditional securities.
The company emphasizes that the nature of cryptocurrencies, particularly those traded on its platform, does not align with the characteristics typically associated with securities.
Featured image from Getty Images
Original source: Bitcoinist