- Coinbase’s venture arm has invested in Rocket Pool (RPL).
- These investment solidifies the partnership between both entities.
The investment branch of the biggest publicly traded U.S. crypto exchange Coinbase Ventures has announced a ‘strategic investment’ in Rocket Pool (RPL).
Coinbase Venture purchased the liquid staking network’s native token RPL as an expansion of its existing relationship with Rocket Pool while also emphasizing the importance of decentralized Ethereum (ETH) staking. The value of the investment was not disclosed by Coinbase Ventures on X (formerly known as Twitter) where the news was first made public. However, the investment from Coinbase triggered a surge in the price of the RPL token.
In the last 24 hours, more than a 9% price jump has been recorded on RPL, which provides direct incentives, insurance as well as governance gateway for the Rocket Pool ecosystem. At the time of this writing, the RPL token was trading at $28.05. Compared to the price dip which RPL experienced sometime in June, its current price may be a positive signal that bullish days are here to stay.
Shortly after Rocket Pool introduced new features that allow its users to gain access to their staking rewards and reduce the barrier to becoming an Ethereum validator. One of these features, the Atlas upgrade sparked excitement and helped trigger the price of RPL to reach a new All-Time-High (ATH) of $59.7. This in turn, drew attention to the token as there was a massive influx of whales into the ecosystem helping to pare off related losses.
Rocket Pool Demonstrates Positive Prospects
Meanwhile, the announcement about Coinbase Venture’s RPL purchase comes after several months of being a part of Rocket Pool’s Oracle Decentralized Autonomous Organization (DAO).
This is a group of permissions special node operators who are also responsible for the liquid staking network. Within this time, Coinbase claimed to have familiarised with David Rugendyke, Rocket Pool founder and Chief Executive Officer (CEO), and Darren Langley, General Manager.
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The exchange applauded their efforts in the last six years. Their commitment to building one of the largest decentralized staking networks is one to be admired. One pseudonymous Rocket Pool community contributor known as Valdorff also acknowledged that the investment is an indication of Coinbase’s confidence in the protocol and the RPL token.
“Rocket Pool’s brand is valuable and Coinbase wants to be tied to us,” Valdorff added.
Rocket Pool’s outstanding statistics speak for itself. The protocol’s token is currently ranked 68th among the world’s major cryptocurrencies with a market capitalization of over $555 million. The Pool offers 3.33% APY for staking ETH and has over 779,000 ETH valued at approximately $1.4 billion. DefiLlama confirms that this makes Rocket Pool the third most popular liquid staking platform by Total Value Locked (TVL), locked behind Lido and Coinbase.
The news of Coinbase’s investment comes only a few days after the trading platform launched Layer-2 scaling solution Base for public use as previously reported by Crypto-News Flash.
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