Coinbase offering 4% yield on USDC held by customers, rivaling major banks
Coinbase said Wednesday that Coinbase Advanced, its trading platform aimed at more sophisticated traders, will offer “up to 4% rewards on the USDC that they hold on Coinbase or on any USDC used in open orders.” Coinbase launched 4% rewards on USDC for all Coinbase customers on June 15, adding the caveat that the “rate is subject to change and can vary.” According to an FAQ article, Coinbase doesn’t lend out the USDC in its customers accounts, claiming it “has no right to use” those funds. “USDC Rewards is a loyalty program that is funded with Coinbase’s own funds. The program is designed to incentivize more of our customers to use Coinbase services to store their USDC,” the FAQ continued. The 4% yield offering is significant because it rivals what major banks give in terms of APY for their high yield savings accounts. Apple’s savings account, which launched in April and is tied to its credit card, offers 4.15% APY. And according to Bankrate, which tracks and rates financi...