Announcement Category: Press Release
We’re pleased to announce that Bitfinex will launch an ETH 2.0 staking service, providing an intuitive and user-friendly means of participating for our growing user base.
ETH 2.0 staking, which will be available from 23/12/20, is available to eligible users that hold Ethereum (ETH) on our platform. There will be no minimum requirement on the amount of ETH held in order for a user to participate in staking on Bitfinex. ETH will be staked in batches of 32 ETH on a first come, first served basis.
Users staking ETH 2.0 on Bitfinex will find an easy to use interface simplifying the staking mechanism and removing the technical hurdles associated with setting up and running a validator node. Once ETH tokens are staked, they are locked on the beacon chain however Bitfinex intends to provide users the option of exiting their ETH 2.0 staking position by means of selling the ETH2 and ETH2 Rewards balances in their accounts in Bitfinex’s peer-to-peer trading markets.
To begin the process of staking ETH, visit the exchange wallet page. In the Currency Conversions tool, a user can choose the amount of ETH that he or she wants to convert. A user can then select “ETH” in the “From” dropdown menu and “ETH2 Pending” in the “To” dropdown menu. Once the staking cycle is completed, the ETH2 Pending balance will be converted into an ETH2 balance.
Staking rewards on staked ETH will be reflected as ETH2 Rewards. ETH2 staking rewards are estimated to be up to 10%* per year and only rewarded on successfully staked tokens marked ETH2.
The ETH 2.0 staking service is available to our users, pursuant to our Terms of Service and additional terms that users will be presented at the time they choose to stake. ETH Staking is highly experimental and risky. Please ensure you independently assess, understand and accept the related risks before deciding to stake. For more information on ETH 2.0 staking, please visit: https://ethereum.org/en/eth2/staking
The launch of Ethereum in 2015 has given birth to a flourishing developer community involved in many innovative projects, including those in the nascent space of decentralized finance (DeFi). ETH 2.0 has the mission of solving two major challenges in blockchain development: limited scalability and high gas prices.
Over the next two years, the Ethereum community plans to increase scale and migrate the current Ethereum chain to the ETH2 chain. This will represent a major milestone for ETH2, with a final rollout of ETH2 set to have a major impact on the wider digital token space.
*This is the estimated annual staking reward for staked tokens based on rewards as of December 23, 2020, rewards will vary including based on the Ethereum protocol. Actual annualized staking rewards may differ. Bitfinex makes no guarantees regarding the amount of any staking rewards.
Nothing in this post is financial, investment or other advice. Nothing in this post is a solicitation, recommendation or endorsement of staking ETH or any other course dealing. Any references in this post to returns are only hypothetical and not guaranteed.
ETH staking is not available to any citizen or resident of Canada or any entity organized in Canada or controlled by citizens or residents of Canada. ETH staking is also not available to any Prohibited Person, such as a citizen or resident of the United States of America. Bitfinex makes no guarantee that it will permit trading of ETH2 or ETH2 Rewards or if it does, that it will continue to permit trading of either ETH2 or ETH2 Rewards. Bitfinex may remove the ability to trade ETH2, ETH2 Rewards or both ETH2 and ETH2 Rewards, at any time, on any or no notice and for some or all users.
If you cease to maintain your account with Bitfinex for any reason, including termination by Bitfinex, while you hold a balance of ETH2 or ETH2 Rewards, you will forfeit any rights you may have pursuant to the Terms of Service to the ETH that the ETH2 or ETH2 Rewards represents. Neither ETH2 nor ETH2 Rewards balances can be withdrawn from Bitfinex