Cryptocurrency brokerage sFOX is offering customers commission-free access to blockchain staking directly from regulated custody without the risks associated with transferring ownership of their coins, the company said Tuesday.
sFOX is a software layer designed to make staking easy and allows professional users, high net worth individuals, hedge funds and the like to store their staked cryptocurrencies in trust company accounts in Wyoming, providing complete separation and protection of customer funds in the unlikely event of the company’s bankruptcy, according to a press release.
“We provide a gateway to staking without interfering or taking any revenue or profits,” sFOX founder Akbar Thobhani said in an interview. “The customer can stake directly with the blockchain and receive rewards directly from the blockchain. It’s unlike some other staking projects where you transfer ownership of your assets and third parties can decide for you how to stake or lend these coins.”
A focus on segregated, bankruptcy-protected and regulated custody makes sense after several crypto companies went bankrupt last year. The sFOX staking product aims to increase innovation, allowing portfolio managers to stake the same crypto on which they have open positions on the platform, the company said.
“The most important thing right now is bringing transparency to crypto,” Thobhani said. “It means we really need to rethink things in this space.”