Home CryptocurrencyAltcoin Ethereum Users Can Now Stake a Full Validator Directly from MetaMask

Ethereum Users Can Now Stake a Full Validator Directly from MetaMask

by SuperiorInvest

Crypto wallet provider MetaMask has launched a new staking service that allows Ethereum users to run their own validator node… for a price.

On January 18, crypto wallet provider inserted validator participation through MetaMask Portfolio.

MetaMask will run the validator node on behalf of participants who deposit 32 Ether (ETH). At current Ethereum prices, this equates to approximately $78,752, no small sum.

No clustering or hardware is required, he noted, stating: “We manage your node securely, optimizing your staking rewards and reducing outage and downtime risks.”

The new service could be tempting for beginners and/or decentralists, as betting through MetaMask could solve the centralization problems of large liquid betting providers like Lido.

It also eliminates the need to purchase hardware to run a personal Ethereum node and eliminates the possibility of experiencing outages due to internet outages.

Consensys, which runs the service, “has never received any penalties in more than two years of operation, despite managing more than $2 billion in ETH across more than 33,000 validators,” he said.

Betting through MetaMask currently yields 3.8% annually; However, the platform also charges a commission of 10% of the validator’s rewards.

Crypto Wallet Tracker Rotkiapp Founder Lefteris Karapetsas saying The new service is an “interesting idea, but a 10% fee makes it a completely unattractive option for any user who bothers to compare with the other options available.”

Related: MetaMask launches feature to sell ETH for fiat money

The returns from betting with MetaMask minus their fees are similar to those offered by Lido at 3.4%.

Lido is the industry’s dominant liquid staking platform, with 9.3 million ETH worth $22.9 billion currently up for grabs. This equates to around 40% of the total 28.8 million ETH staked, according to Ultrasound.Money. About a quarter of Ethereum’s total circulating supply is locked in staking.

In addition to decentralized staking providers, Ethereum holders can also use centralized exchanges like Coinbase, which takes a whopping 25% of staking rewards.

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