Recent weeks have seen a slight decrease in Ethereum staking deposits due to increasing regulatory pressure and the upcoming Shapella upgrade. On-chain analytics provider Glassnode, revealed that deposit activities have been affected by the said two factors, namely the US Securities and Exchange Commission’s classification of Ether (ETH) as security and the upcoming Ethereum network upgrade.

Deposits across the Beacon Chain were largely dominated by major centralized exchanges such as Coinbase, Binance, and Kraken. However, after the settlement among the three giants, liquid staking platform Lido emerged as the prime winner, capturing almost a third of the total amount staked which amounts to around $11 billion from the 5.9 million ETH on the platform. Lido having 10% commission and an additional yield on staked tokens through DeFi platforms attracted stakers to shift to the more profitable platform.

As per the Ethereum metrics tracking platform Ultrasound.Money, the total staked ETH currently accounts for 18.1 million ETH valued at $33.7 billion which is 15% of the entire supply. After completion of Shapella upgrade, the total staked ETH will slowly start to be released from the Beacon Chain for withdrawal. The exact effect on the ETH price will only be known in the coming weeks and months.



Other News from Today