The successful launch of phase 0 of Ethereum 2.0 marks the first step towards a more scalable, efficient… and profitable network.
The move from Proof of Work to Proof of Stake marks the end of Ethereum mining as we know it. Now, whoever wants to earn money by participating in the network will have to put more skin in the game, locking their funds for about two years on a smart contract that will reward them with tokens as time goes by.
However, the network requires a deposit of at least 32 ETH to start rewarding a specific wallet. From then on, the more ETHs deposited, the greater the return.
But not everyone has $19150 free to risk. What if we wanted to invest a fraction of that? For that purpose, some crypto exchanges offered a solution, creating a staking pool, where retail investors deposit their money, the exchange gathers it, places it in the smart contract, and then distributes the profit among all users proportionally.
Are you interested in the idea? Here are some of the best exchanges that will support staking for Ethereum 2.0:
Binance is the largest crypto exchange in terms of trading volume, so, naturally, it is one of the first options to be considered by investors.
On December 3rd, 2020, the exchange announced that it would support staking of Ethereum 2.0 tokens, allowing its users to deposit any amount from 0.0001 ETH, promising a return of between 5% to 20% per year.
Likewise, they launched a promotion in which users will obtain double the profits for a limited time.
Huobi Global will also support ETH 2.0 staking.
China’s top cryptocurrency exchange announced a feature that will allow users to easily stake ETH 2.0, converting their standard Ethereum tokens (ETH) into BETH (Beacon Ethereum tokens) at a ratio of 1:1.
“With this function, you can pledge ETH as BETH with one click and participate in ETH 2.0 proof-of-stake mining. Huobi Global will open BETH’s transaction at any opportunity according to the network status.”
The minimum stake is 0.1 ETH, but the promise of return is slightly higher than Binance’s, starting at 6% per year up to 20%.
According to Kraken, users who leave their ETH2 tokens staked at the exchange will be able to obtain a return of between 5 and 17% per year, in addition to other advantages such as the possibility of staking less than 32 ETH.
The exchange didn’t say what will be the minimum amount for staking. Rewards are distributed weekly.
Kraken also promised future support for trading between ETH and ETH2 tokens, contributing to network interoperability and facilitating the transition from one blockchain to another.
Although the exchange is registered as MSB in the US and Canada, ETH2 staking is not available in those countries.
As CryptoPotato reported previously, the leading US exchange announced its compatibility with ETH 2.0 staking without giving further details. The exchange promised its customers that it would make more announcements in the future.
One of the features they will enable will be the exchange of ETH and ETH2 tokens, as well as these with other cryptocurrencies.
On December 1, the Ethereum Beacon Chain will launch, beginning a multi-year upgrade to Ethereum 2.0 (ETH2). Coinbase intends to fully support ETH2 through staking and trading.