Why Coinbase Introduced the cbETH Token?

Coinbase has announced plans to enable the Ethereum network to support Coinbase Wrapped Staked ETH (cbETH). So, users who stake ETH on Coinbase can receive cbETH, a liquid representation of their staked ETH in a wrapped version.

Timeline of Coinbase-wrapped-staked-eth

Coinbase launches cbETH wrapped ETH staking token ahead of the Merge that is expected to happen next month. Customers who stake ETH on the cryptocurrency exchange can obtain a liquid representation of their staked-ETH in the form of Coinbase Wrapped Staked ETH.

Popular crypto-exchange Coinbase announced on Wednesday the release of cbETH, its new wrapped and staked Ethereum ERC-20 token. The timing of this announcement is interesting, especially with the Ethereum Merge now on the horizon.

Crypto exchange Coinbase launched a new wrapped and staked Ethereum ERC-20 token, cbETH, on Wednesday. Wrapped tokens are digital assets that facilitate the transfer of value from one blockchain to another.