2.15 Million Ethereum Funneled Into Liquid Staking Protocols Within Half A Year

In the last six months, a significant 2.15 million Ethereum has been allocated to liquid staking derivatives protocols. As of January 6, 2024, Lido Finance commands a major share, holding over 75% of the total deposited Ether, marking an impressive addition of 1.7 million Ethereum since July 5, 2023.

Liquid Staking Protocols Experience Surge, Locking Over $27 Billion Worth Of Ethereum

The domain of liquid staking protocols has seen substantial growth in both the volume of Ether deposits and the overall value of ETH over the last six months. Archived data from defillama.com on July 5, 2023, shows that 10.16 million Ether, valued at $19.69 billion, were locked in these protocols. Currently, the combined total has surged to 12.31 million Ether, now valued at $27.49 billion.

Ethereum’s liquid staking protocols offer users the ability to stake their ETH while maintaining liquidity through obtaining a representative token usable across decentralized finance (DeFi) platforms. When users stake their ETH, they receive a liquid derivative like Lido’s STETH or Rocket Pool’s RETH, representing their staked assets alongside any earned rewards.

Six months ago, Lido was the leading liquid staking protocol, safeguarding 7.56 million ETH. Presently, Lido’s holdings have surged to 9.26 million. During the same period, Rocket Pool’s holdings increased from 810,502 ETH on July 5, 2023, to 1.09 million ETH by January 6, 2024. Notably, Binance’s liquid staking protocol experienced substantial growth, rising from 72,077 ETH to the current 779,785 ETH.

In this context, Lido’s Ethereum reserves expanded by 21.16%, while Binance’s liquid staking platform saw a remarkable 981% increase in the Ether held. Stakewise observed a modest rise from 91,910 to 97,199 ETH. Meanwhile, Coinbase’s staking service shifted from the second-largest position to the fifth rank in the past six months.

Mantle and Swell have rapidly climbed the ladder, with Mantle now securing the sixth position, holding 174,532 ether, and Swell at seventh place with 142,725 ether. Both have exceeded Stakewise’s position from earlier in the year. With a collective addition of 2.15 million ether, valued at $4.83 billion, across the top 27 liquid staking protocols in six months, the momentum behind liquid staking remains robust.

* We hope this information will help you in your investment process, but this is not investment advice. Every investment carries risk, especially in this industry, so DYOR before making a decision.