2024-1-19 14:50 |
Crypto wallet provider MetaMask has announced a new staking service that requires no pooling or hardware. The staking service allows Ethereum users to run their own validator nodes at a fee. Through a blog post, MetaMask noted,
You don’t have to maintain the software and hardware nodes required to spin and keep a validator up—that’s done for you through Consensys Staking, which runs 33,000+ validators with zero slashed so far—all you need to do is deposit your ETH and collect rewards.
The announcement indicates that users will have to deposit 32 Ether, or roughly $79,000, to enjoy the service managed through the MetaMask portfolio. From there, MetaMask will run the node operations, provide client updates, and safeguard runtime stability.
Service addresses centralisation and safeguard efficiencyBy offering a convenient and accessible staking solution, MetaMask says it empowers users, addressing centralisation issues experienced on staking ecosystems. MetaMask also solves Ethereum network users’ concerns of slashing and downtime while giving them more efficiency and enhanced security.
Nonetheless, the 10% fee charge has elicited mixed reactions in the crypto community. Lefteris Karapetsas, founder of crypto portfolio tracker Rotkiapp, lauded the new service as an “interesting idea.” However, in an X post, he noted that the 10% fee is unattractive given the fees charged on other alternative options.
Interesting idea but a 10% fee makes it a completely unattractive option for any user who bothers to compare with the other available options out there. https://t.co/vSzBQwPL8f pic.twitter.com/GeuaYUm2RL
— Lefteris Karapetsas | Hiring for @rotkiapp (@LefterisJP) January 18, 2024Consequently, the net staking yields with MetaMask after deducting the platform fees are equivalent to Lido’s 3.4%. The latter is regarded as an industry leader, controlling 9.3 million ETH worth $22.9 billion of amounts staked, compared to a total of 28.8 million ETH staked.
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