ETH 2.0: Sygnum to become first bank to offer staking

Leading crypto custodian extends staking service to Ethereum 2.0 in a move that will improve energy efficiency and speed up transactions

Switzerland-based Sygnum has announced it is to become the first bank in the world to offer its clients a staking service using Ethereum 2.0.

Building on a reputation as a leading bank offering custodial services for digital assets, Sygnum has decided to extend its yield-generating products through the Ethereum 2.0 offering.

The process will utilise staking integrated with the bank’s institutional-grade platform to facilitate increased asset security and an enticing annual return of up to seven per cent.

Ethereum staking products are aimed primarily at long-term investors, which the bank suggested are drawn to Ethereum as a fast-growing network with attractive profit opportunities.

This represents the first move by a major regulated bank to offer PoS custodian services for Ethereum 2.0, and Sygnum no doubt hope to get the jump on competitors by appealing to investors as a regulated alternative to exchanges.

ETH 2.0 is an upgrade to the second-largest protocol, aimed at replacing the Proof-of-Work (PoW) blockchain mechanism with a new Proof-of-Stake (PoS) algorithm.

It is expected this will increase the energy efficiency of the network and process transactions quicker by utilising a network of validator nodes staking ETH.

Staking activity is increasing rapidly, with more than 6,000,000 ETH staked (worth in excess of $14B) across more than 185,000 validator nodes.

More crypto news and information

If you want to find out more information about Ethereum or other cryptocurrencies in general, then use the search box at the top of this page. Here’s an article to get you started.

As with any investment, it pays to do some homework before you part with your money. The prices of cryptocurrencies are volatile and go up and down quickly. This page is not recommending a particular currency or whether you should invest or not.

Disclaimer: The views and opinions expressed by the author should not be considered as financial advice.

Disclaimer: The views and opinions expressed by the author should not be considered as financial advice. We do not give advice on financial products.

telegram

Previous Article

The Pavilions Hotels and Resorts to accept crypto payments from today

Next Article

OMG/USD price analysis: Heading towards $4 again

Read More Related articles

Latest Guides

Find in-depth articles, guides and videos designed to give you a better understanding of Bitcoin, DeFi, trading, security and much more.

Get started