Recently, Coinbase Ventures made the decision to deepen its participation with Rocket Pool, a liquid staking platform. Additionally, it joined Rocket Pool’s Oracle DAO (oDAO), a team of specialized node operators in the ecosystem of the protocol who are in charge of carrying out certain additional tasks for the project.
The investing arm of Coinbase, which according to trade volume is the most centralized cryptocurrency exchange in the US, is Coinbase Ventures. Its choice to sign up for Rocket Pool and its Oracle DAO will let it partake in the 15% of overall RPL inflation that is generated throughout each reward period.
The prizes come in RPL, which is Rocket Pool’s native coin, and are intended for the Oracle DAO. The ecosystem of the project provides the protocol with insurance and governance in addition to direct incentives. The token’s performance in April, however, has been very stable so far, fluctuating just slightly between $43 and $44.
The staking derivative from Rocket Pool, rETH, is valued higher than Ether itself. Currently, 1 rETH can be traded for 1.07295 on Uniswap, the biggest decentralized exchange on Ethereum.
Rocket Pool was a prior investment for Coinbase Ventures
The fact that Coinbase Ventures has already expressed interest in Rocket Pool should be noted. In fact, Coinbase Ventures made an investment in Rocket Pool earlier in 2023, said the project’s founder David Rugendyke.
He said in a statement that Coinbase Ventures will be joining the oDAO, saying, “We’re thrilled to announce that Coinbase Ventures is strengthening its collaboration with Rocket Pool via a direct investment into RPL in addition to its proposed admission into the Odao”. Coinbase Ventures also intends to launch its own Rocket Pool minipools using ETH and RPL.
The Oracle DAO’s increasing engagement, however, is reportedly a result of Ethereum’s Shanghai hard fork, which is scheduled to occur on April 12 and is now little over a week away. The fork will permit Ether withdrawals for the first time once it takes place.
Coinbase Ventures is a good addition to the dAO, according to [object Object], one of the Rocket Pool node operators who made the announcement on the project’s Discord server. Additionally, they stated that they wished to see more organizations sign up, particularly those with non-US bases for businesses, organizations, and the like.
Currently, 8 of the 18 members of the oDAO are situated in the US; hence, increasing the number of non-US organizations would aid in decentralization and variety among the participants.
