Coinbase (Nasdaq: COIN) is doubling down on its defense of crypto staking, taking to social media platform X on Friday to spotlight the substantial rewards missed by users in select U.S. states. The crypto exchange underscored that despite a shift in regulatory attitudes, significant roadblocks still hinder access for some crypto holders.
In a video message, Coinbase revealed that while the U.S. Securities and Exchange Commission (SEC) and over 40 states now permit staking services on its platform, four states—California, New Jersey, Maryland, and Wisconsin—continue to restrict participation.
The company broke down the missed earnings: roughly \$3 million in staking rewards have been lost by Wisconsin users since June 2023, with Maryland users missing out on about \$5 million. New Jersey customers have forgone approximately \$12 million, and Californians have been shut out of nearly \$71 million in potential gains. Coinbase also reassured users that no staked assets have been lost on its platform to date.
Five States Drop Staking Lawsuits Against Coinbase Amid Regulatory Shifts
Coinbase has gained ground in its legal battles as five U.S. states—Vermont, South Carolina, Kentucky, Illinois, and Alabama—have officially dropped their staking-related lawsuits. Alabama was the most recent to dismiss its case on April 23, attributing the decision to ongoing collaborative efforts between the Securities and Exchange Commission (SEC) and the crypto sector to clarify regulatory standards.
This development came on the heels of the SEC’s February move to withdraw its federal lawsuit against Coinbase, a pivotal decision that appears to have prompted several states to reconsider their legal approaches. While these reversals signal positive momentum, Coinbase reaffirmed its commitment to restoring full staking rights. The company continues to advocate for staking, calling it essential to securing blockchain networks and empowering crypto participants.
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