Saturday, July 13, 2024

Anchorage Digital launches Ethereum staking service.

Anchorage Digital, a cryptocurrency storage firm, has introduced an Ethereum staking service for institutions. The San Francisco-based digital platform launched this service in light of the Ethereum network’s much-anticipated shift from proof-of-work (PoW) to the proof-of-stake (PoS) protocol.

Anchorage Digital’s latest service is a practice of earning rewards for serving as a transaction validator in the Ethereum blockchain. Diogo Monica, the co-founder and president of Anchorage Digital, described the platform’s latest product as a win-win for institutional investors and the ecosystem. Anchorage Digital is providing heightened legitimacy to market-tested assets. And in the process, it is eliminating ant hot wallet risks for institutions looking to generate new earnings from crypto.

Through its latest offering, Anchorage Digital will keep funds safe for institutions, including banks, venture capital firms, and even governments. The firm will hold the customers’ crypto in cold storage (offline). Moreover, it emphasizes Anchorage’s high expectations from the upcoming upgrade of the Ethereum network that will connect its mainnet with the PoS system – coordinated by the Beacon Chain. Investors can collect rewards on their ETH in custody just by staking with an Anchorage validator. Validators would earn block rewards as well as the transaction priority fees after the merge.

Anchorage formed an exchange custody network last month with five digital asset trading platforms, with the likes of Blockchain.com; Binance.US; Strix Leviathan; CoinList; and Wintermute. It will segregate institutional client funds from exchanges into regulated asset vaults. In 2021, Anchorage obtained a federal bank charter.

Cryptured Team
Cryptured Team
The writers team at Cryptured.com is composed of passionate and experienced journalists who cover the latest developments in the crypto and blockchain space. They aim to provide accurate, unbiased and easy-to-understand news and information for their readers, as well as insights and analysis from industry experts. The writers team is always on the lookout for new and exciting stories that can help the general public learn more about the potential and challenges of these technologies.
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