Got 4 ETH? You can stake your ether with Stader
ETHx/ETH pools will be available on Curve, Uniswap and Balancer at launch
3d_illustrator/Shutterstock modified by Blockworks
Stader Labs, a Panama based multi-chain liquid staking protocol, is set to launch its liquid staking services on Ethereum.
Users will now be able to mint ETHx, Stader’s liquid staking token, and use it to participate in Ethereum’s DeFi ecosystem.
At launch, ETHx/ETH pools will be available on Curve, Uniswap and Balancer, with more functionality to arrive in the following months, the company noted in a press release reviewed by Blockworks.
With the exception of Rocketpool’s 8 ETH bonded mini pools, which enable users to operate a node with just 8 ETH, most native Ethereum staking protocols require users to lock up at least 32 ETH to run a node and participate in network security.
Stader has lowered this amount even more, allowing industry participants to contribute to securing the Ethereum network with just 4 ETH.
To ensure that new node operations can easily be onboarded, the protocol has also partnered with hosting platform Allnodes and hardware provider Avado. This collaboration aims to minimize the costs associated with operating a node.
The company will also be setting a limit of 22% share on all staked ETH. This decision is made to prevent centralization of staking, Amitej Gajjala, the CEO and cofounder of Stader Labs explained. Noting that Lido, the most predominant liquid staking protocol, holds over 90% of the entire market share.
“To help alleviate these challenges and maintain our pledge to keep Ethereum decentralized, Stader has imposed a self-limit of 22% share of all staked ETH to mitigate centralization and promote a fair and balanced distribution of power among Ethereum staking solutions,” Gajjala said in a statement.
Following the Shapella upgrade which enabled withdrawals on Ethereum, staking ETH has risen in popularity. Recently, the network reached a new milestone, where over 23.5 million ETH has been deposited for staking.
Get the news in your inbox. Explore Blockworks newsletters:
- Blockworks Daily: Unpacking crypto and the markets.
- Empire: Crypto news and analysis to start your day.
- Forward Guidance: The intersection of crypto, macro and policy.
- 0xResearch: Alpha directly in your inbox.
- Lightspeed: All things Solana.
- The Drop: Apps, games, memes and more.
- Supply Shock: Bitcoin, bitcoin, bitcoin.
