US based cryptocurrency exchange Coinbase has launched a DAI rewards program for customers in the US (excluding Hawaii), UK, Netherlands, Spain, France, and Australia, according to a blog post published on July 29.
Customers in the stated jurisdictions will be able to earn up to 2% APY by holding DAI in their Coinbase wallets. Users who fulfil the eligibility requirements will automatically be opted into the program. Rewards will be distributed daily.
The announcement reads,
Eligible customers will begin earning rewards automatically once they have $1 of Dai in their Coinbase accounts. Initial rewards will be distributed within five business days, then every day following, which means customers can use or withdraw their rewards as soon as they receive them.
Coinbase has offered incentive programs in the past in a bid to attract users to its platform. One stablecoin incentive program is that of the USD Coin (USDC), which was launched in October 2019. Users earn 1.25% APY for holding USDC. Coinbase lets users earn DAI through its Coinbase Earn program as well.
DAI is one of the most popular stablecoins on the market and a critical part of the MakerDAO ecosystem, which itself is a foundation for the DeFi space. Multiple projects and exchanges have been deepening integration with DeFi platforms in recent weeks.