How Much Ethereum 2.0 First Stakers Will Earn?
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Ethereum 2.0 first stakers will make huge profits
Six days after the launch of the official depository contract, just over 50,000 ETH were staked. The overclocking was limited to loyal Ethereum fans, including Vitalik Buterin himself, who allocated 3200 ETH, and several crypto whales.
The amount currently staked is 9.6% of the total. The project has a long way to go to reach 524,288 thresholds. Most importantly, this massive amount of ETH needs to be deposited a week before the Beacon Chain genesis block appears.
50,332 ETH has been staked in the Eth2 deposit contract.
473,956 more ETH is needed to launch Eth2.
— Eth 2.0 Deposit Contract – Progress Meter Bot (@DepositEth) November 10, 2020
It is now believed that the launch date for ETH 2.0 on December 1 is overly optimistic. Because that won’t happen until 16,384 validators appear.
At the moment, about 10% of the required ETH has been contributed, so it may seem that the ETH 2 Beacon Chain (stage 0) will not launch on December 1, but such an opportunity still exists, – wrote Omar Bham, a well-known in the crypto space.
Only about 10% of the required ETH has been deposited so far, so while it may seem that the ETH 2 Beacon Chain (Phase 0) may not launch on December 1st, there's still this possibility: pic.twitter.com/fmLRE715EG
— Omar Bham (Crypt0) (@crypt0snews) November 9, 2020
Those who stake first will receive the most rewards, as the reward will decrease as the amount of staking increases.
Rewards for Ethereum 2.0 First Stakers
Cinneamhain Ventures partner Adam Cochran says people don’t fully understand the benefits of staking:
With the minimum ETH staking, you get approximately 36% ~ APY. At 1M ETH 18% ~ APY. With 2.5 million – 10.2% per annum.
I don't think people fully comprehend the upside of ETH2.0 staking
At the min ETH staked, you get roughly 36%~ APY.
At 1M ETH 18%~ APY.
At 2.5M 10.2% APY.
Given slow uptake, early birds are going to make massive profit pic.twitter.com/zXWA5QzZ6q
— Adam Cochran (@AdamScochran) November 9, 2020
He estimates that as soon as the new blockchain is launched with a minimum amount of 524 thousand ETH, the profit could be 36% per year. Although the ETH 2.0 team is reporting a return of 21.6%, this is still much higher than any DeFi protocol currently in force.
When staking a million ETH, the yield drops to about 16%, after 10 million ETH – to 4.9%. These returns are still much higher than some of the DeFi offerings, including YETH from Yearn Finance, which offers 1.3% with a 0.3% withdrawal fee.
Most people crave passive income, so staking is a good choice for those Ethereum holders who want to use their tokens to their advantage. This is likely to have a positive impact on prices, so expect great success from Ethereum next year.
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