From 24/7 Wall St. · Sam Daodu · · 1m 30s
Ethereum Staking Yield Drops to 2.6%
Ethereum's staking yield fell to 2.6%, is it still worth staking ETH?
In brief
Ethereum's staking yield fell to 2.6%, is it still worth staking ETH? Ethereum's staking yield dropped to 2.6%, but record staking numbers and corporate participation suggest it remains viable for long-term holders. Originally reported by 24/7 Wall St..
Quick answers
- Is Staking Still Worth It?
- Staking ETH may be viable for long-term holders but offers less return than Treasury bills without price risk.
- What is the key takeaway from Ethereum Staking Yield Drops to 2.6%?
- Ethereum's staking yield dropped to 2.6%, but record staking numbers and corporate participation suggest it remains viable for long-term holders.
Ethereum Staking Yield Drops
Ethereum's staking yield has dropped to 2.6% according to Bitwise data.
Record Staking Numbers
Bitwise reports 43.8 million ETH staked, accounting for 36% of total supply.
Bitmine Locks Up $391 Million
Bitmine staked 159,728 ETH valued at $391 million, bringing its total staked ETH to 5.23 million.
Staking Yield Comparison
Staking $10,000 earns about $260 annually before fees, versus 4.2% for 13-week Treasury bills.
Price Volatility Risk
ETH price dropped 37% over the past year, costing about $3,670 on a $10,000 investment.
Bitmine's Stock Decline
Bitmine's stock fell nearly 57% over the past year despite accumulating ETH.
Tax Implications
Staking rewards are taxed as ordinary income, while T-bill interest is exempt from state income tax.
Staking Methods
Solo staking requires running a validator with 32 ETH, liquid staking uses tokens, exchange staking charges fees, and staking ETFs deduct fees.
Withdrawal Queues
1.16 million ETH is queued for staking, causing delays in rewards for new stakers.
Is Staking Still Worth It?
Staking ETH may be viable for long-term holders but offers less return than Treasury bills without price risk.
What it means
Ethereum's staking yield dropped to 2.6%, but record staking numbers and corporate participation suggest it remains viable for long-term holders.
