{"id":526265,"date":"2023-04-10T18:00:38","date_gmt":"2023-04-10T18:00:38","guid":{"rendered":"https:\/\/uniquehot.com\/?p=526265"},"modified":"2023-04-10T14:57:03","modified_gmt":"2023-04-10T14:57:03","slug":"ethereum-staking-deposit-plummets-as-shanghai-upgrade-near","status":"publish","type":"post","link":"https:\/\/uniquehot.com\/news\/ethereum\/ethereum-staking-deposit-plummets-as-shanghai-upgrade-near\/","title":{"rendered":"Ethereum Staking Deposit Plummets As Shanghai Upgrade Draws Near, Here\u2019s Why"},"content":{"rendered":"
After recording a spike following the enticing yields of <\/span>Ethereum (ETH)<\/span><\/a> liquid staking platforms such as Lido offers, Ethereum total staking deposit is beginning to see a plummet just a few days before the Shanghai launch which is set to take place on April 12.<\/span><\/p>\n This dip was initially revealed by on-chain analytics provider Glassnode on April 9 in a report disclosing the current state of the Ethereum staking ecosystem. According to the report, the decline in Ethereum staking deposits can be attributed to two main factors.\u00a0<\/span><\/p>\n The on-chain analytics provider revealed ETH staking deposits are currently down due to regulatory pressure and the Shanghai upgrade. Over the past few months, the US regulators especially the Securities and Exchange Commission (SEC) have expressed a keen crackdown move on the crypto industry.<\/span><\/p>\n Related Reading: Ethereum Price Looks Ready For Another Leg Higher Over $1,880<\/a><\/p>\n Recently, the agency deemed Ethereum as security and subsequently went after staking services and platforms supporting the asset. On March 9, New York’s attorney general <\/span>filed a lawsuit against KuCoin<\/span><\/a> for failing to register with the state before letting investors buy and sell cryptocurrencies on its platform<\/span><\/p>\n Furthermore, the most <\/span>anticipated catalyst<\/span><\/a> for Ethereum, the Shanghai upgrade, has been slated to launch within the next two days (April 12), this has caused many investors looking to deposit or stake on the Ethereum mainnet to pause and wait for the aftermath of the upgrade.<\/span><\/p>\n The <\/span>Shanghai upgrade,<\/span><\/a> also known as Shapella, is an update that will enable stakers or validators of the Ethereum mainnet to withdraw their staked ETH from their respective staking platforms. According to Glassnode, both of these two factors can be attributed to the reasons behind the ETH staking deposit\u2019s latest plummet.\u00a0<\/span><\/p>\n Meanwhile, among the wide market of staking providers, <\/span>Lido Finance<\/span><\/a> has emerged as the leader outshining others such as Coinbase, Binance, and Kraken. Glassnode data <\/span>shows<\/span><\/a> the total amount of ETH staked on Lido has reached new highs<\/a> this year.\u00a0<\/span><\/p>\nWhy Is Ethereum Staking Deposit Declining?<\/span><\/h2>\n
Lido Outshines All Other Staking Providers\u00a0<\/span><\/h2>\n