Ethereum: Is ETH staking driving the next bull run?

Staking, submerged part of the iceberg? – Before the dramatic FTX affairthe event seen as a cataclysm of its kind, it was above all the transition to Proof of Stake (PoS) of Ethereum. Since The Merge last September, the Ethereum blockchain has undergone a drastic change in its tokenomics and seems to have reinforced a trend already initiated elsewhere. Crypto staking. Let’s dive into the details.

Staking of ETH, crystallization of trust in the network

Staking, a trend for the next few years? Remember the launch of the beacon chain in December 2020. In a fog of uncertainty, ETH holders gathered their courage and timidly decided to stake their precious ETH. Not knowing when they would see them again, simply carried by their convictions in a network full of promises, Ethereum.

However, as technology advances, and especially since the success of The Merge, things have changed drastically. User confidence has steadily increased over time. A true mirror of this trust, the number of ETH staked in the protocol has continued to grow. An increase that should strengthen as we get closer to the Hard Fork Shanghai. As a reminder, this update will finally give validators the possibility to withdraw their ETH from the Beacon Chain, after more than two years of waiting.

“Ethereum staking will turn into a rocket ship as we get closer to the release date of staked ETH […] A phenomenal amount of ETH is likely to be staked in the next 6-9 months.”

Tim Ogilvie, CEO of Staked, Kraken exchange staking service

Indeed, as the fateful date draws closer, user confidence in the network is likely to intensify. And the correlation, as we have seen, is great between trust and ETH staking on the Beacon Chain.

ETH staking (in green) continues to grow over time – Source:

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Staking, a trend for the next few years?

Tim Ogilvie remembers, when setting up the Staked serve of kraken 5 years ago, that many unknowns still resided in the mechanisms of staking, on its feasibility. Today, the platform manages $63 billion in capital staked for 5 billion in interest generated each year. Without a doubt, we can say that the ecosystem has developed drastically.

Kraken and its Staked service have numerous exchanges with clients, both individuals and institutions. And from all sides, the excitement is felt, according to him.

“Everyone is very excited about ETH”

Furthermore, according to Tim Ogilvie, with the recent events that have turned the crypto world upside down, staking could even become even more attractive. Indeed, the lost trust in centralized exchanges could well be the breeding ground for the adoption of decentralized solutions.

Staking solutions and DeFi in general are full of promise. The removal of trusted intermediaries may well be one of tomorrow’s biggest challenges for the crypto ecosystem. Only way to restore faith to investors showered by the recent FTX cataclysm. As applications become simple and accessible, there is no doubt that they will be sources of fierce user adoption in quest for financial freedom.

For you, blockchain technology and cryptocurrencies will soon be at the heart of the daily life of each of us. You can expose yourself to Bitcoin, Ethereum and other tokens on the rising exchange. Sign up now on Bitget and start getting acquainted with this exciting world (sponsored link).

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