Subscribe to our newsletter!

Submit

Thank you for signing up for our newsletter!

We’re excited to have you with us and will keep you updated with the latest news, insights, and updates straight to your inbox.
Oops! Something went wrong while submitting the form.
Back to Blog
October 12, 2021
|
Read time {time} min

What Is Staking Crypto and How Much Can You Earn?

Written by
Permission
Stay in the loop

Get the latest insights, product updates, and news from Permission — shaping the future of user-owned data and AI innovation.

Subscribe

While traditional finance solutions offer very low or even negative interest on their savings products, the crypto industry is always coming up with new ways to earn money.

In addition to investing and trading, the decentralized finance (DeFi) sector offers an excellent alternative to generating passive income through numerous ways, such as yield farming and cryptocurrency lending.

Today, we will introduce you to staking, a popular activity both in the DeFi and broader digital asset space. Staking crypto not only allows you to put your coins to work and earn rewards but also helps secure the networks of various blockchain solutions.

In this article, we will explore what crypto staking is, how it works, where to get started, as well as the potential risks and revenue you can generate with the activity.

What Is Crypto Staking?

Crypto staking refers to the activity in which a user locks coins in a wallet for a certain period of time to secure the network of a blockchain based on a Proof-of-Stake (PoS) consensus mechanism (or its variant, i.e., Delegated-Proof-of-Stake).

In terms of blockchain security, the network will choose a user who has staked his coins to validate the next block either randomly or by utilizing various factors (e.g., the amount of tokens staked).

In exchange for maintaining the ecosystem, users who stake their coins earn rewards, which is usually the combination of the cryptocurrency included in the block they validated and the fees associated with the transactions they processed for users.

What Is the Difference Between Crypto Staking and Mining?

It’s important to talk about the difference between crypto staking and mining. While both activities have the same purpose – to secure the network, generate new blocks, and validate transactions – they use two distinct approaches to achieve this goal.

Cryptocurrency mining is present mostly in Proof-of-Work (PoW) blockchain networks (e.g., Bitcoin), where validators (called miners) are required to leverage their computational power to solve complex mathematical puzzles to validate blocks.

For this, they purchase specialized hardware (e.g., ASICs and GPUs), which they operate continuously to compete with other miners to secure the reward for each block.

The higher the hash rate (computational power) in a PoW network is, the better it can protect against both internal and external threats, such as 51% attacks and malicious nodes.

As you can see, this is a rather energy-intensive process, which the PoW consensus algorithm has been long criticized for.

On the other hand, PoS blockchains do not require validators to utilize physical hardware or computational hardware to secure the blockchain. Instead, validators lock up their coins in their wallet via staking. Simply put, they guarantee the network’s safety with their money.

While this significantly reduces the energy consumption of the blockchain, staking is a similarly efficient mechanism in protecting users as mining blocks via the PoW algorithm.

In terms of investment, staking can be a more attractive method for users as it doesn’t feature the high upfront costs of mining (where you have to purchase the equipment first to get started) while providing a more predictable revenue stream (in a similar way as a savings account or a government bond).

Furthermore, staking has a well-established infrastructure within the crypto space. As a result, plenty of services offer an easy, flexible way for users to stake their coins. This contrasts with cryptocurrency mining, which requires miners to possess the technical knowledge and skills to maintain their equipment.

How Does Crypto Staking Work?

Now that you know the basics, let’s see how crypto staking works in practice.

First, it’s important to mention that staking is present in the crypto space in two different forms.

We have already taken a look at the first, where validators lock up their coins in their wallets to secure blockchain networks based on the PoS algorithm.

The process works as follows:

  1. A user deposits cryptocurrency into a supported wallet or staking service.
  2. The user selects the period (e.g., one month) he/she seeks to stake coins and utilizes the service to lock them up in his or her wallet. Alternatively, some solutions allow flexible staking, where users are free to withdraw their crypto holdings at any time without a mandatory lock-up time.
  3. After the lock-up period ends (or, in the case of flexible staking, the user is satisfied with the rewards), the staking provider releases the user’s coins and distributes the earnings after deducting the fees for providing the service (usually a percentage rate subtracted from the profits).
  4. The user is free to withdraw, spend, or re-stake the coins to generate more rewards.

The second type, called DeFi staking, is utilized not for safety purposes, but to offer a desirable user experience on certain decentralized exchanges (DEXs) that feature non-custodial atomic swaps between cryptocurrencies.

Unlike centralized exchanges, these DeFi solutions called automated market makers (AAMs) feature an entirely decentralized process for swapping coins. However, as they lack the order books of centrally-operated services, AAMs have to acquire liquidity from their users to facilitate efficient trading.

For that reason, they incentivize their users to supply both tokens of a trading pair at a 1:1 ratio in a liquidity pool. These rewards are usually offered in the platforms’ native coins after liquidity providers (LPs) have staked a special type of cryptocurrency called LP token.

LP tokens represent the users’ share in a liquidity pool, which they can redeem at any time for the tokens they supplied to the protocol along with their rewards.

By staking LP tokens, users lock the liquidity they provided to a specific platform for a certain period. Since this is a beneficial scenario for the service provider, it makes sense for the protocol to offer staking rewards for LPs.

Now let’s see an example for DeFi staking:

  1. A user connects his wallet to a DeFi AAM protocol and deposits DAI and ETH at a 1:1 ratio (1 ETH and $3,485 DAI based on October 11 prices) in the DAI/ETH liquidity pool.
  2. As the next step, the protocol issues the amount of DAI-ETH LP tokens that represent the user’s share in the pool and distributes them to his or her wallet.
  3. The user locks the DAI-ETH LP tokens on the protocol for 30 days to earn native token rewards from the service provider.
  4. After 30 days, the user redeems the DAI-ETH LP tokens for his or her original tokens as well as to claim any staking and liquidity provider rewards (e.g., a share of trading fees from the pool).

As you can see, no matter the staking type you choose, the process is similar in both cases and rather straightforward. And, while the mechanism is utilized to achieve different goals for the platforms, it serves the same purpose for stakers: to generate profits.

How Much Staking Rewards Can I Earn?

Besides its simplicity and lack of upfront costs, staking has become so popular in the cryptocurrency industry because it’s an excellent way for users to generate a passive income.

Staking rewards vary by the coin, which can range from anywhere from 1-2% to as high as 150% annually, especially if we take compound interest into account (when you maximize your gains by continuously re-staking or reinvesting your profits along with the principal sum).

In most cases, cryptocurrencies with larger market caps offer lower annual percentage yields (APYs) than smaller coins.

For example, while Ethereum (ETH) and Cardano (ADA) features 5-6% APYs, smaller-cap digital assets like DefiChain (DFI) or the Mirror Protocol (MIR) allow stakers to earn a yearly 70-75% after their coins.

Furthermore, rewards can also vary by the platform or service you utilize for staking. For example, while Binance and Everstake offer a 5.54% APY on ADA, some pools only feature a 3-4% ratio.

The reason for the variance in rewards may be due to two factors.

First, all of these services operate staking pools where they combine the locked coins of users to increase their chances to become validators and gain rewards.

At the same time, many PoS-based blockchains choose a validator for a block based on the amount of staked cryptocurrency. This means that the larger the pool, the greater chance it has to produce blocks and the better rewards it can generate for users.

Second, the commission service providers deduct from user profits can greatly impact one’s staking rewards. While some pools operate without fees, others charge 3-12%, and there are also platforms with extraordinarily high rates (30-50%).

For that reason, it’s crucial to research both the coins and the staking providers to generate the best staking rewards.

Is Staking Crypto Safe?

In general, crypto staking can be considered a safe activity within the digital asset space. However, it definitely comes with certain risks.

Unlike crypto lending, where lenders mostly earn revenue on stablecoins – digital assets pegged to one or a basket of other financial instruments (e.g., USD, EUR) to stabilize its price movements – staking predominantly involves locking up “standard,” non-stablecoin cryptocurrencies.

For that reason, the coins you dedicate to staking are subject to the high volatility associated with the cryptocurrency asset class (especially if you stake small-cap coins). As they can increase and decrease in value in short periods, this increases the risks of stakers.

These risks increase if you choose a staking service where users must lock up their coins for a specific period as you won’t be able to liquidate your crypto holdings in the case of a sudden market crash or another price movement (even if it’s favorable).

However, if you choose a flexible staking provider with no mandatory lock-up periods, you can mitigate your risks.

That said, volatility is not the only risk that comes with staking. For that reason, you should also be aware of the following factors:

  1. Counterparty risks: You can choose to stake your coins either on a centralized service where the provider stores your crypto holdings on your behalf or via a decentralized, non-custodial solution. If you choose the former, you should know that the platform is in custody of your private keys, which provide access to your coins. For that reason, you face increased risks of a loss in case of a successful hacker attack or an “internal” exit scam, unless the provider features the necessary security measures and guarantees.
  2. Smart contract bugs: If you stake coins as a liquidity provider on a DeFi protocol, you should be aware of the risks of smart contract bugs. Since these platforms use smart contracts to operate, a small issue in the code can lead to grave consequences for users. Therefore, you should always ensure that you use a reputable platform that features audited smart contracts.
  3. Slashing: Staking services handle all the technical parts of staking for you, including operating a blockchain node and validating blocks. However, suppose the provider is dishonest or fails to maintain a 100% uptime. In that case, some networks punish it by refusing to distribute rewards for a block or even slashing all its cryptocurrency stake. In the latter case, all users who have staked crypto via the service would lose their locked-up tokens.

Based on the above information, staking can be a high-risk activity. However, that is only true if you fail to do your own due diligence.

For example, you can significantly decrease your risks by staking your coins via a secure wallet through a reputable provider that features a long-standing history of continuous uptime and honest activity as part of a non-custodial solution.

Where to Start Staking Coins

Earlier on, we discussed the process you have to follow to stake your coins.

Now, you only need to choose the platform and method you will use to generate rewards after your cryptocurrency holdings.

For this, you can select between four different solutions:

  1. Cryptocurrency exchanges: Crypto exchanges provide one of the most convenient ways to stake crypto as you don’t have to move your holdings to other wallets or platforms to generate rewards. While this can come in handy when network transaction fees are high, this is a custodial solution that involves increased counterparty risks.
  2. Staking service providers:Like crypto exchanges, staking-as-a-service providers offer easy access to staking across numerous blockchains. However, these also involve custody over users’ funds.
  3. Crypto wallets: Many cryptocurrency wallet providers allow their users to stake their coins directly from their wallets without an intermediary. As a result, they don’t face the counterparty risks of custodial services while offering the same level of convenience (and similar reward rates).
  4. Manual staking: This is maybe the most complex method to start staking, which is a possibility for advanced users. Here, you operate your own node and stake your coins on your own. While this offers you the most freedom, it requires the necessary time and technical expertise to run your machine as well as a higher upfront investment for many blockchains (as there is usually a minimum amount validators have to meet).

It is also important to mention cold staking, where you generate a passive income via a wallet (e.g., a hardware wallet) that is not connected to the internet. For that reason, it’s probably one of the safest ways to earn revenue with the activity.

Staking: An Easy Way to Earn Rewards on Your Crypto Holdings

Crypto staking is a widely popular activity, where you can easily generate extra revenue on your digital assets without significant upfront investments.

As it only takes an initial deposit and a few clicks to get started, staking is a great way for both beginners and advanced crypto users to earn coin rewards.

At the same time, long-term investors can utilize staking to put the cryptocurrency they hold to work to maximize their profits.

In terms of risks, staking is generally a safe way to earn crypto. However, users must do their own due diligence as well as select reputable (ideally non-custodial) providers and coins with larger market capitalizations to minimize their risks.

Recent articles

Is Muse Family Friendly?

Nov 9th, 2026
|
{time} read time

Haven't downloaded Meta's new AI agent?
Even if it's a hard pass for you, Muse still keeps a file on you, according to its own operating instructions.

‍

Muse launched September 8 and reached an estimated 10.9 million downloads worldwide by October 20, according to Sensor Tower. People connect it to their email, calendar, and messages, even to their bank accounts and health data. WIRED reported that independent AI researcher Karan Joshi got Muse to reveal that it was instructed to keep "a page for every person in the user's life." Family. Friends. Partners. Coworkers.

‍

Those people don't use Muse, and as researchers wrote, they "have no say in being profiled." Their information still ends up working for Meta. Meta has to know the people around you to be useful, and Muse works from public information and what users choose to share. But it wouldn't be the first time Meta kept tabs on people who never signed up. In 2018, Mark Zuckerberg told Congress that Facebook collects data on non-users.

‍

What you tell Meta's AI

‍

Since December 2025, what people say to Meta AI has shaped the ads they see across Meta's apps, and in most countries there's no way to opt out. That's a billion monthly users whose questions, worries, and plans can become ad signals. Help with a budget, a gift for a partner, a job they want to quit: every question reveals what someone needs, fears, or wants to buy. You produce it. Meta sells access to it.

‍

Meta says Muse isn't connected to its ad system. But Muse is designed to know your inbox, your calendar, your bank account, and the people in your life, and the line between Muse and Meta's ads is a company policy. Policies can change.

‍

‍Follow the money

‍

In the third quarter of 2026, Meta earned $63 billion from advertising. That's nearly 98 cents of every dollar it brought in, and an average of $17.72 per person in just three months.

‍

What did those people get in return? Free access. You supply the raw material, and Meta sells it to advertisers. That's data exploitation: the value is created by you and captured by someone else.

‍

It's also why Meta put 39 percent of its October ad spending into promoting Muse, according to Sensor Tower. An agent inside your inbox, calendar, and bank account is the richest data source Meta has ever built. And even Muse's "forget" command, TIME found, doesn't necessarily erase the message that contained the secret.

‍

What families are up against

‍

Muse is adults-only, but the people in a user's life get a page, too, kids included. The nonprofit Fairplay says Muse's cuddly mascot, Jolly, is built to appeal to young children. Its striking resemblance to Disney Pixar's Baymax is deceptive. And in December, Meta plans to ship Muse Charm, a Tamagotchi-style gadget with a camera and microphones.

‍

According to Pew Research Center, 64 percent of U.S. teens use AI chatbots, but only about half of parents say their own teen does. When a kid confides in a chatbot, that conversation may become data. Our kids are growing up generating value they'll never see, for companies they never chose.

‍

Own Your Data®

‍

Giving up on AI isn't the answer. The problem isn't that an assistant knows you. It's who owns that knowledge, and who profits from it.

‍

With data ownership, an AI assistant can still remember your plumber, plan your week, and help with your budget, without a company keeping a copy of your life to sell. You decide what gets shared, with whom, and for how long. And when your data creates value, you share in it.

‍

That matters more as the Agentic Web arrives, where AI agents will shop, book, compare, and negotiate on our behalf. Whoever owns that data will own the value it creates. If that's Meta, the Agentic Web becomes the most complete surveillance system ever built. If it's you, you get the full benefit of AI and keep control of the information that makes it work.

‍

The question isn't whether to use AI. 

It's whether your AI works for you or for an advertiser.

Your data has value. It should be yours.

The Algorithm Is Working

Oct 19th, 2026
|
{time} read time

At six years old, she started watching YouTube and graduated to Instagram at nine. She spent more than 16 hours on Instagram in a single day.
‍

‍When Instagram chief Adam Mosseri was asked about this usage on the witness stand, he called it "problematic use."
‍

A jury in Los Angeles decided differently. In March, Meta and YouTube were found negligent, and the girl, a 20-year-old woman at the time of settlement, was awarded $6 million in damages. TikTok and Snap settled before the trial began. Meta and Google representatives disagree with the verdict.
‍

‍Look at what was on trial. Not a video. Not a post. Not a bad actor. It was target-designed algorithms. That's the argument here. Your child isn't failing a willpower test. They're up against one of the most sophisticated persuasion machines ever built, and it is working exactly as intended.

How the hook works

‍What will keep this person here? This is the directive every recommendation algorithm runs on. It learns from every pause, replay, and skip. It never gets tired, and it never cares about your kid’s bedtime.
‍

At YouTube, that machine drives more than 70 percent of everything people watch, according to Neal Mohan, the company’s product chief in 2018. Mohan said YouTube’s algorithm for mobile sessions hooked people in for an hour on average. A YouTube memo shown at the trial stated that to win teens, you bring them in as tweens.

In the same trial, state attorneys pointed out that TikTok internal research found that a user forms a habit after watching 260 videos. With clips as short as eight seconds playing automatically, that's roughly 35 minutes. The same findings say TikTok's researchers tied compulsive use to anxiety and weaker memory and analytical skills.
‍

‍At Instagram, a 2019 study found teens felt "hooked despite how it makes them feel." One employee wrote that people were binging so hard they could no longer feel the reward. Others, in messages revealed in court, called themselves "basically pushers." And a 2017 executive email said Mark Zuckerberg had made teens the company's top priority.
‍

In gaming, Roblox averaged 132 million daily players in early 2026. Among those, about three in four are under 18. The company reports hours engaged to investors every quarter, right next to its user counts.
‍

And, in 2025, a Pew Research Center study found that “roughly one in five U.S. teens say they're on TikTok and YouTube almost constantly.” 

Follow the incentive

‍Why build it this way? Because these apps are free, so kids aren't the customer. Their attention is. More screen time means more ads, more captured data, and more reasons for kids to open the app tomorrow. A product that makes a kid feel good and then logs off is a product that loses. And here’s what happens when safety collides with that math.
‍

“Roblox left the front door unlocked, and discord handed predators a private room,” said Arkansas Attorney General Tim Griffin when he filed suit against the gaming company alleging that Roblox rejected employee proposals to warn kids and parents about grooming. “Children paid the price. That stops now.”
‍

Tools meant to curb use can’t be taken seriously, either. This summer, a federal judge in Kentucky wrote that Meta’s own documentation said that its own time-limiting tools were a “public relations stunt.” They knew that more time on social media was linked to worse outcomes for teens.
‍

Internal TikTok documents, per the Kentucky complaint, show the company cared more about how its time-management tools looked than whether they worked.
‍

‍Then came August. Meta agreed to pay about $17 billion to settle claims brought by 51 attorneys general who accused the company of designing Instagram to hook kids. They pointed to infinite scroll, algorithmic recommendations, and constant notifications. The attorneys called it the largest state settlement with a single defendant in history. Meta said they’d done nothing wrong, arguing teen mental health is too complex to pin on one app.
‍

Again, the goal, or incentive, is for Roblox, TikTok, and Instagram to continue to evolve algorithms to “hook” kids and then deny their own documentation. 

What parents are really up against

‍For parents, it’s a stopwatch tool vs. a data war. A screen-time total tells you how long. It doesn't tell you what the algorithm fed your kid, which loops they're stuck in, or what's pulling at them at 1 a.m. According to the Pew Research Center, about four in ten parents say they could be doing better at managing screen time.
‍

Parents themselves can’t out-engineer the algorithm. They need to see it: what their kids are watching, playing, and asking AI. They also need better ways to steer than a flat "no." That’s where Permission, Family Friendly AI™ comes in.

Permission gives parents AI-powered insight into how their kids use AI and the internet, then helps guide healthier habits and reward positive ones.

These companies had years to build the brakes. Parents shouldn't have to wait for the next verdict to help protect their kids.

The Impact of Growing Up Online

Oct 6th, 2026
|
{time} read time

As a parent, it’s painful to imagine your child struggling with something you can’t see. And yet, this may be happening more than you realize. 

A 2025 study involving 4,285 young people brings that concern into focus. Those who developed increasingly addictive patterns of social media use had more than twice the risk of suicidal behaviors compared with those whose use was lower.

For your family, that means something far more frightening than another argument about putting the phone away. It means the possibility that the child you love could be hurting enough to put their own life in danger, while you’re planning dinner, reminding them about homework, and assuming they’re having an ordinary day.

You want your child to have a bright future full of friendships, discoveries, and possibilities. Protecting that future starts with understanding what they’re experiencing now, including what makes their online world so difficult to step away from.

You might notice they’ve stopped joining family activities or seem distressed when they can’t check their phone. You might ask questions only to hear “I’m fine” and wonder whether to keep asking. None of these moments alone tells you what is happening, but they can certainly leave you feeling helpless.

Your child may need more than a reminder to log off. They may need help naming what feels overwhelming, stepping away from an unhealthy pattern, or finding support they aren’t sure how to ask for.

A phone can be put in a drawer. Whatever your child is carrying emotionally may still be there. Making room for that conversation means giving them somewhere to bring the difficult parts of their digital life.

How does technology affect kids' development?

Technology is a double-edged sword for children’s development. While it can support learning, research links heavy screen use to difficulties with skills children rely on every day. These include paying attention, managing frustration, and communicating with others.

A 2025 study found that Canadian preschoolers aged 3.5-5.5 who averaged 3-6 hours of daily screen use scored significantly lower on inhibitory control and effortful control at age 5.5 than children in the group averaging less than an hour.

Inhibitory and effortful control help children:

  • Resist impulses
  • Direct their attention
  • Regulate their behavior

These skills are essential when a child needs to wait their turn, listen to instructions, or keep working at a task after something goes wrong. If a child carries these struggles into adulthood, it may be much harder to meet deadlines, manage responsibilities, and navigate disagreements at work or in relationships.

A 2024 study of 220 Australian families also linked more screen time to fewer adult words, child vocalizations, and back-and-forth conversations. That leaves fewer opportunities for children to practice asking questions, explaining how they feel, and telling you what they need. 

As a result, children may be missing out on valuable practice in making themselves understood, which can linger into adulthood. 

Technology, attention, and independent thinking

A 2023 study tracking the smartphones of 203 U.S. children ages 11-17 found that participants got 237 notifications a day on average, and nearly 25% of those arrived during school hours. 

While kids didn’t see or answer every notification immediately, this gives you an idea of how many reasons children have to look up from studying or engaging in their lives on a daily basis.

This and the prevalence of short-form, fast-paced content like TikTok and Instagram Reels may be two reasons attention spans appear to be getting shorter. In fact, according to researcher and author of Attention Span: A Groundbreaking Way to Restore Balance, Happiness and Productivity, Gloria Mark, overall attention spans have decreased from 2.5 minutes to 47 seconds over the past couple of decades.

This doesn’t mean children’s brains have lost the ability to focus for longer periods. However, growing up with fast-moving technology conditions them to read hastily and “skim” text as opposed to reading and comprehending it thoroughly. And it means their brains need to work that much harder to maintain focus. 

So it makes sense that, according to the 2023 National Assessment of Educational Progress (NAEP), just 14% of 13-year-olds read for fun almost every day. That number dropped from 27% in 2012. NAEP Long-Term Trend Assessment Results: Reading and Mathematics

Alarmingly, the NAEP’s 2024 report also found that 33% of U.S. eighth graders scored below the Basic reading level–the largest share on record. 

Research has linked reading for pleasure in early life with better attention, memory, academic achievement, and fewer mental health problems in adolescence. If children can’t or won’t read, they miss out on these benefits.

Technology, social media, and children’s mental health

Your child’s emotional health may also be at stake. Numerous studies have linked social media use to higher levels of depression and poor self-perception–especially in early adolescence, when a child’s sense of self is still taking shape.

Problematic social media use can also cut into sleep time. Over time, this can make it significantly harder for a child to regulate their emotions, and may even double their risk of depression. 

What’s more, in another WHO report involving Europe, central Asia, and Canada, 15% of adolescents said they had experienced cyberbullying. This may lead to higher levels of anxiety, and potentially even self-harm and suicidal thoughts or behaviors. 

Of course, this doesn’t guarantee that your child will develop depression or low-self-esteem by using technology. But it does give parents a reason to look beyond time spent online and to understand how digital experiences leave their child feeling.

Stay connected to your child’s online life

You don’t need to know every platform or read every private message to protect your child. Understanding their online habits can help you recognize when they need help and start meaningful conversations.

Permission is a Family Friendly AI app that gives parents insights into their children’s use of AI and the internet, helping families guide healthier behavior and encourage positive habits through parent-controlled rewards.

Children deserve room to explore, and someone to turn to when online life feels difficult. With a clearer picture of their digital world, you can help make sure they have both.

Your ASK Wallet, Now Powered by Coinbase

Sep 22nd, 2026
|
{time} read time

We've partnered with Coinbase to bring best-in-class wallet technology to our community.

Today we're updating the technology that powers your ASK wallet. Here's what's changing, what it means for you, and what stays exactly the same.

What's changing

We've moved your Permission wallet to Coinbase's platform. What that means in plain language is this: starting today, you are in full control of your ASK. When you click to send, redeem, or manage your balance, the transaction happens from your account, signed by your login. We no longer hold your wallet keys. Coinbase does, on your behalf, under your authority.

We chose Coinbase's embedded wallet specifically because it brings institutional-grade security to our users without requiring you to manage anything yourself. The infrastructure is Coinbase's. The wallet is yours.

Beyond the custody change, our users now have a wallet that can go wherever they go: exportable, cross-chain ready, and backed by a platform that serves millions of people around the world. We're proud to bring that to our community.

What it means to control your own keys

As Permission has grown, we felt strongly that your funds should be held by a platform built specifically for that purpose, with the security standards and regulatory rigor that come with it. Moving to Coinbase's embedded wallet reflects that commitment.

With today's change, Coinbase secures your private key inside their systems, and only your Permission login can authorize transactions. When you click to send or redeem ASK, the transaction is authorized by you, through your login. We are no longer part of that process.

What this means practically: your wallet operates on its own, independent of Permission. Treat your Permission login like you would a bank password. It is now the key to your wallet. If you ever want to take your wallet entirely outside of Permission, Coinbase supports key export and that option is yours.

What Coinbase sees

Because Coinbase is now part of the infrastructure, your email address, account identifier, and wallet information are shared with them for the purpose of operating the wallet. For details on how Coinbase handles this data, you can review their embedded wallet documentation and their privacy information.

For how Permission handles your data, our Terms of Use and our Privacy Policy govern that relationship, as they always have.

What stays the same

Everything you experience in the app. Earning ASK, redeeming it, transferring it, viewing your balance, managing your family. None of that changes.

And, what does change, we're excited about: key export, cross-chain support, and institutional-grade security. These are capabilities that would have taken years to build in-house and that Coinbase has spent that time perfecting. We chose to partner with the best-in-class, and our product and users will be better for it.

If you have questions, support is always here.

The Permission Team 🤝