JPMorgan report: Eth2 could kick-start $40B staking industry by 2025
CEO Jamie Dimon may not support crypto, but two JPMorgan analysts say proof-of-stake coin yields are attractive investments in this zero-rate environment. The launch of the energy efficient Ethereum 2.0 network will popularize the proof-of-stake consensus mechanism and make staking yields a more attractive source of income for both institutional and retail investors according to a new JPMorgan report.The authors estimate that holders of staked coins on PoS blockchains are currently generating some $9 billion in revenue annually from their staked holdings. When Ethereum completes its....
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The market for staking has accelerated rapidly recently, and a shift to PoS will ensure that the blockchain ecosystem is more resilient. In early July, JPMorgan released a report in which two of the bank’s analysts projected that the staking industry would be worth $40 billion in rewards by 2025. The report anticipates that once the Ethereum 2.0 network completes its transition from proof-of-work (PoW) to proof-of-stake (PoS,) payouts will more than double, up to $20 million from the current $9 million. Within the next four years, it will double again.With the rapid rise of staking over....
Ethereum upgrades could jumpstart a $40 billion staking industry, according to a JP Morgan report. JP Morgan estimates that the staking industry is currently worth $9 billion and that this number could balloon to $40 billion by 2025. The report speculates that the launch of ETH 2.0 would lead to more adoption of the coin […]
Eth2 staking has its downsides — people may not have the means to contribute 32 ETH, or the technical knowhow to run a node. Can these issues be solved? How does this ecosystem work?There are three key roles within the Stkr ecosystem.Providers deliver the computing resources that drive the Eth2 nodes — and they pay insurance that acts as a guarantee against poor hardware performance. These funds will be used to compensate stakers if there is an outage, but providers also stand to gain rewards if their infrastructure runs without a hitch. By building a good reputation, they are prioritized....
The crypto staking service platform is now worth over $500 million and could be looking to expand staff strength and business operations. Mike Novogratz’s investment management firm Galaxy Digital has reportedly participated in a $50 million funding round for Figment, a crypto staking startup.According to Bloomberg on Monday, Galaxy Digital joined investors like Anchorage and Bonfire Ventures in a Series B funding round led by Senator Investment Group and Liberty City Ventures.The company is now reportedly worth about $500 million following the fresh injection of investment capital.....
Eth2 already ranks as the fourth-largest staking network by TVL despite launching six weeks ago and with withdrawals still yet to be enabled. Ethereum 2.0 has already emerged as the fourth-largest proof-of-stake network by total value locked in staking within roughly six weeks of the Eth2 deposit contract going live.Despite withdrawal functionality not yet enabled, and no precise estimation for its full launch date, nearly $1 billion worth of Ether has already been designated for staking. According to crypto data aggregator Staking Rewards, more than 1.5 million Ether or 1.35% of....