South Korea’s cryptocurrency landscape has reached a new milestone as Coinone becomes the first Korean exchange to offer itcoin">Bitcoin staking services, breaking new ground in a market traditionally dominated by proof-of-work mining rewards. The innovative service utilizes the Babylon protocol, a specialized blockchain platform designed to secure decentralized networks through itcoin">Bitcoin’s robust security model. Unlike conventional staking mechanisms that require asset conversion or lengthy lock-up periods, Coinone’s implementation allows users to earn rewards through BABY tokens while maintaining complete flexibility over their itcoin">Bitcoin holdings, enabling deposits, withdrawals, and trades at any time during the staking period.
The technical implementation addresses a fundamental challenge in the itcoin">Bitcoin ecosystem, as the original itcoin">Bitcoin network operates on proof-of-work consensus rather than proof-of-stake mechanisms. Through integration with external protocols like Babylon, Coinone enables users to delegate their BTC to support network security on staking-compatible chains without compromising the integrity or accessibility of their original itcoin">Bitcoin holdings. This approach represents a significant innovation in itcoin">Bitcoin utility, allowing long-term holders to generate passive income while preserving the liquidity and trading flexibility that many investors require in volatile cryptocurrency markets.
Coinone has launched the service with considerable promotional support, including a special event running through September 7th that rewards participants based on their itcoin">Bitcoin purchase volume. The promotion requires users to register event codes, accept staking terms, and purchase a minimum of 100,000 won (approximately $72) worth of itcoin">Bitcoin to qualify for rewards. The top 10 participants by volume will share 2 million won in BTC rewards, while additional eligible participants will distribute an 8 million won prize pool, demonstrating Coinone’s commitment to driving adoption of this groundbreaking service.
The itcoin">Bitcoin staking launch occurs against a backdrop of evolving regulatory dynamics in South Korea, where authorities recently ordered exchanges to suspend crypto lending services due to regulatory concerns while simultaneously preparing more structured frameworks for institutional trading and spot crypto ETFs. CEO Lee Seong-hyun emphasized that the staking service addresses growing global trends toward long-term itcoin">Bitcoin holding strategies, providing investors with secure options for passive income generation. This strategic positioning aligns with South Korea’s broader pivot toward regulated crypto adoption, including developments in Korean won-pegged stablecoins and institutional trading access, suggesting that innovative services like itcoin">Bitcoin staking may play crucial roles in the country’s evolving digital finance ecosystem.
