Crypto Exchange Binance announced support for staking Stellar Coin (XLM) yesterday. It stated that it would also launch an airdrop of 9.5 million XLM tokens as initial staking reward, which are worth over $775,000. Following the announcement, Binance tweeted today that XLM users can now send their tokens directly to their Binance account from anywhere in the world, without any hassle.
— Binance (@binance) July 19, 2019
In its official announcement, the world’s largest crypto exchange stated that the Stellar rewards would be in addition to the existing rewards Binance supports, like NEO (GAS), Ontology (ONG), and VeChain (VTHO). Binance stated that the Stellar rewards for staking would be in addition to the existing staking rewards it supports, like NEO (GAS), Ontology (ONG), and VeChain (VTHO). The rewards will be calculated by applying the following formula:
XLM generated by each user = Total XLM staking rewards received by Binance * User XLM holdings ratio.
In the announcement, Binance said,
Upon initiating staking of Stellar this week, Binance discovered that we had been staking Stellar Lumens (XLM) from 2018/08/31, following recommendations from the Stellar team on changing some parameters on both cold and hot wallets… As of today, the total amount of XLM credited to Binance from these staking rewards is approximately 9,500,000 XLM (approximately 775,000 USD).
Important things to know about the reward and airdrop:
- Users must have a minimum of 10 Stellar Coins to be eligible for the rewards.
- The XLM staking rewards distribution will commence on 1st September 2019. The airdrop of 9,500,000 XLM will also begin simultaneously.
- Users with over 40 days of staking will be eligible for the reward. Therefore, for being eligible for first reward disbursement, users will require to stake their rewards from July 21.