This divergence highlights a deeper shift in user behavior, market dynamics, and how value is being captured in the Ethereum ecosystem.

Staking Surge: Confidence or Complacency?

Ethereum’s transition to proof-of-stake (PoS) marked a major milestone. As of mid-2025, over 31 million ETH is staked—nearly 26% of the total supply. This sharp rise reflects increasing confidence in Ethereum’s security and longevity. Staking provides yield with relatively low risk, especially when compared to the often volatile and exploit-prone world of DeFi.

Institutional investors and retail users alike are drawn to the predictable returns from staking. With liquid staking platforms like Lido, Rocket Pool, and EigenLayer offering flexibility, users no longer face the lockup dilemma. They can earn staking rewards and still participate in DeFi—at least in theory.

TVL Plateau: Are DeFi Users Moving On?

In contrast, Ethereum’s DeFi TVL has remained relatively flat, hovering around $60–70 billion despite bullish market sentiment and ETH price increases. This stagnation raises questions:

• Are users pulling liquidity out of DeFi protocols due to risk concerns?
• Has the excitement around yield farming, liquidity mining, and leverage cooled off?
• Are newer chains like Solana, Base, and Layer 2s draining activity from the Ethereum mainnet?

Several factors contribute to this plateau:

1. Security Fatigue: High-profile hacks and exploits continue to haunt DeFi, discouraging new entrants and causing long-term users to consolidate into safer, less interactive positions like staking.
2. Risk-Adjusted Yield: DeFi protocols often offer higher returns than staking, but they come with significantly more risk. In a maturing market, capital tends to flow toward safer yields.
3. Scaling Migration: A growing share of DeFi activity has moved to Layer 2 solutions (e.g., Arbitrum, Optimism, Base), where gas fees are lower and user experience is better. However, TVL metrics are often siloed by chain and don’t reflect the full activity across Ethereum’s broader ecosystem.
4. Changing Use Cases: Some of Ethereum’s native value is being redirected into restaking (EigenLayer), DePIN infrastructure, AI agents, RWAs (Real World Assets), and even off-chain integrations. These applications may not be accurately captured by traditional TVL metrics.

A Shift in Value Capture

The key takeaway from this puzzle isn’t that DeFi is dying—it’s that Ethereum is changing.

• The growth in staking suggests Ethereum is maturing into a financial backbone—secure, reliable, and yield-bearing.
• The TVL plateau reflects a cooling speculative phase and the emergence of more utilitarian, real-world-focused use cases.
• Many “users” are no longer humans, but agents, DAOs, and bots—shifting the definition of network activity.

Conclusion: Beyond the Numbers

Ethereum’s TVL may have plateaued, but its importance as a settlement layer has never been greater. The surge in staking points to a growing trust in Ethereum’s future, even as DeFi faces a reckoning of its own.

This isn’t a contradiction. It’s a realignment. As Ethereum grows into a multipolar ecosystem of L2s, restaking, real-world integrations, and modular components, old metrics like TVL tell only part of the story.

The Great Ethereum Puzzle isn’t a problem—it’s a preview of the chain’s next phase.

REQUEST AN ARTICLE

The post The Great Ethereum Puzzle: Staking Climbs, TVL Plateaus appeared first on Smart Liquidity Research.

Crypto staking is an excellent way to earn passive income, but choosing the right staking platform is crucial for maximizing rewards while ensuring security. With numerous options available, investors must compare centralized vs. decentralized staking platforms, security measures, fees, and annual percentage yield (APY) differences. This guide will help you navigate these factors to choose the best crypto staking platform for your needs.

Understanding Crypto Staking

Staking involves locking up cryptocurrency to support network operations, such as transaction validation and security, in exchange for rewards. Different platforms offer staking services, each with unique benefits and risks.

Types of Staking Platforms:

1. Centralized Staking Platforms – Provided by exchanges and custodial services.
2. Decentralized Staking Platforms – Direct staking through blockchain protocols or DeFi platforms.

Centralized vs. Decentralized Staking Platforms

When selecting a staking platform, it’s essential to understand the differences between centralized and decentralized options.

Centralized Staking Platforms

These platforms, typically offered by major crypto exchanges, provide user-friendly staking with minimal technical requirements.

Pros:

• Easy to use, even for beginners
• No need to manage private keys or run a validator node
• Often offer insurance and customer support

Cons:

• Users must trust a third party with their assets
• Potential risk of hacking or platform insolvency
• May charge higher fees

Decentralized Staking Platforms

Decentralized staking platforms allow users to stake directly on the blockchain without intermediaries.

Pros:

• Greater control over assets (self-custody)
• Often higher staking rewards due to lower fees
• Supports network decentralization and security

Cons:

• More technical knowledge required
• Users are responsible for managing private keys and validator nodes
• Some networks have high staking minimums

Key Factors to Consider When Choosing a Staking Platform

1. Security and Trustworthiness

Security should be the top priority. Look for platforms with strong security features, such as:

• Multi-layer encryption and cold storage for funds
• Two-factor authentication (2FA)
• Audited smart contracts (for DeFi staking)
• Reputation and track record of the platform

2. Staking Fees

Fees can significantly impact your staking rewards. Platforms typically charge fees for:

• Staking services (validator commission)
• Withdrawal or unstaking penalties
• Transaction fees on blockchain networks

Compare fee structures to maximize earnings.

3. APY (Annual Percentage Yield)

APY varies across different staking platforms and cryptocurrencies. Factors affecting APY include:

• Network demand and inflation rates
• Lock-up periods (longer lock-ups often yield higher rewards)
• Validator commission fees

Always compare APYs across platforms before staking.

4. Supported Cryptocurrencies

Not all platforms support every cryptocurrency for staking. Ensure your chosen platform offers staking for the crypto assets you hold or plan to invest in.

5. Lock-Up Periods and Withdrawal Conditions

Some staking platforms require fixed lock-up periods, while others offer flexible staking options. Consider:

• Minimum staking duration
• Penalties for early withdrawal
• Liquidity options (e.g., liquid staking alternatives)

6. User Experience and Accessibility

For beginners, a simple and user-friendly interface is essential. Features to look for:

• Easy account setup and staking process
• Mobile and desktop accessibility
• Reliable customer support

Top Crypto Staking Platforms in 2024

To help you get started, here are some leading staking platforms:

Centralized Staking Platforms:

• Binance Staking – High APY, multiple staking options, strong security
• Coinbase Staking – Beginner-friendly, insured funds, but lower rewards
• Kraken Staking – Low fees, flexible staking options, great reputation

Decentralized Staking Platforms:

• Lido Finance – Liquid staking for Ethereum and other PoS assets
• Rocket Pool – Decentralized ETH staking with lower entry requirements
• Ankr Staking – Multi-chain staking with liquid staking solutions

Conclusion

Choosing the best crypto staking platform requires careful evaluation of security, fees, APY, and supported cryptocurrencies. While centralized platforms offer convenience, decentralized staking provides more control and potentially higher rewards. By considering these factors, you can make an informed decision and maximize your staking earnings in 2024.

REQUEST AN ARTICLE

DISCLAIMER:

“The information provided on this platform is for general informational purposes only. All information on the platform is provided in good faith; however, we make no representation or warranty of any kind, express or implied, regarding the accuracy, adequacy, validity, reliability, availability, or completeness of any information on the platform.”

The post How to Choose the Best Crypto Staking Platform: A Comprehensive Guide appeared first on Smart Liquidity Research.

The evolution of staking has reshaped the blockchain landscape, making it more efficient, secure, and accessible. Staking began with Proof-of-Stake (PoS), offering an energy-efficient alternative to traditional mining. Over time, new innovations like liquid staking and restaking have emerged, enhancing user participation, liquidity, and security. This article explores the progression of staking, highlighting how these advancements contribute to blockchain decentralization.

The Rise of Proof-of-Stake (PoS)

Proof-of-Stake (PoS) emerged as a sustainable alternative to Proof-of-Work (PoW), addressing issues like high energy consumption and centralization risks. Instead of solving complex computational puzzles, PoS allows users to validate transactions and secure the network by locking up their cryptocurrency holdings. Ethereum’s transition from PoW to PoS with Ethereum 2.0 exemplifies the industry’s shift towards staking-based security.

Benefits of PoS:

• Energy Efficiency: Uses significantly less power than PoW.
• Security: The risk of attacks is lower due to economic disincentives.
• Decentralization: Encourages broader participation from token holders.

The Advent of Liquid Staking

While traditional staking offers benefits, it comes with limitations—most notably, the illiquidity of staked assets. Liquid staking was introduced to solve this problem, enabling users to stake their assets while maintaining liquidity.

How Liquid Staking Works

Liquid staking allows users to stake their tokens while receiving a representative token (like stETH for Ethereum staking). These liquid staking tokens (LSTs) can be used for trading, lending, or other DeFi activities, maximizing capital efficiency.

Advantages of Liquid Staking:

• Liquidity: Users can access their funds without waiting for an unbonding period.
• DeFi Integration: Enables participation in lending, yield farming, and trading.
• Accessibility: Lowers the barrier to entry for staking by allowing flexible participation.

The Emergence of Restaking

Restaking is the next evolution in staking, providing an additional layer of utility for staked assets. It allows users to reallocate their already staked tokens to secure other protocols, thereby compounding security benefits across multiple layers of the blockchain ecosystem.

Key Features of Restaking:

• Enhanced Security: Extends the security model of PoS to multiple protocols.
• Increased Rewards: Users can earn additional yields by securing additional networks.
• Optimized Capital Efficiency: Maximizes the usage of staked assets without compromising security.

The Future of Staking

The evolution from PoS to liquid staking and restaking demonstrates the continuous innovation within blockchain ecosystems. As staking mechanisms become more efficient and accessible, they will play a crucial role in the adoption and scalability of decentralized networks.

Trends to Watch:

• Cross-chain Staking: Enabling staking across multiple blockchains.
• AI-powered Staking Strategies: Using machine learning to optimize staking rewards.
• Regulatory Developments: Governments may introduce new staking regulations, shaping the industry’s future.

Conclusion

Staking has transformed from a simple PoS mechanism to an advanced system that includes liquid staking and restaking. These innovations enhance accessibility, liquidity, and security, making staking a cornerstone of blockchain technology. As the industry evolves, staying informed about staking trends will help investors and developers maximize their participation in decentralized finance (DeFi) and blockchain ecosystems.

REQUEST AN ARTICLE

DISCLAIMER:

“The information provided on this platform is for general informational purposes only. All information on the platform is provided in good faith; however, we make no representation or warranty of any kind, express or implied, regarding the accuracy, adequacy, validity, reliability, availability, or completeness of any information on the platform.”

The post The Evolution of Staking: From Proof-of-Stake (PoS) to Liquid Staking appeared first on Smart Liquidity Research.

At Algem, they are proud to be part of the Astar Network ecosystem and are fully dedicated to supporting and growing it. They believe in the immense potential of decentralized technology, and they  know that the key to unlocking that potential is through the creation and execution of expertly crafted dApps.

That’s why they are focused on incentivizing developers to build quality dapps. But they understand that for developers to be motivated, they need to see the rewards and benefits of their hard work…

Introducing Liquid dApp Staking and Multipool Staking!

How Liquid Dapp Staking Works…

By staking their ASTR, not only do token holders get to enjoy rewards and nASTR, but their staked ASTR also goes towards the Astar Build2Earn Program, providing a source of income for dApp creators.

Put simply, we’re creating a win-win-win for everyone (ASTR holders, Algem Team, and dApp developers)

How Multipool Staking Works…

Additionally, they’ve developed Multipool Staking, allowing the community to support their preferred dApps and creators. Currently, the list includes four dApps, namely Algem, Astar Degens, Astar Network, and Arthswap.

By utilizing Multipool Staking, you can endorse your preferred projects on Astar Network. This enables you to participate in the growth of these projects while earning rewards on your staked ASTR tokens.

And The Best Part?

They’ll be adding new dApps to the list every week until all projects on Astar Network are supported.

Their focus is to ensure that you have access to a variety of options to stake your ASTR tokens and earn rewards accordingly…

By adding new dApps regularly, we can cater to a wider user base and enable you to stake your ASTR tokens seamlessly.

Liquid Dapp Stake Without Ever Leaving Algem Platform

For an even smoother staking experience, we’ve created an EVM dApp Staking environment that replicates the appearance and sensation of your favorite dApps.

By doing so, you’ll be able to stake within Algem’s interface, without having to leave your familiar environment. As always, they’re dedicated to establishing a flourishing decentralized ecosystem, and they’re excited to witness Astar Network’s full potential.

Want to try our Liquid Staking Multipools on Astar Network?

If you want to support a specific dApp in liquid staking, follow our guide:

• Go to algem.io and launch the dApp by connecting your EVM wallet (i.e Metamask);
• Ensure enough ASTR tokens in your wallet;

How To Stake: 

• Enter the amount of ASTR tokens you want to deposit, (minimum of 100 ASTR)
• Then select the dApp;
• Confirm your action by clicking on the stake button.

• Receive an equal amount of nASTR tokens and begin earning staking rewards.
• Use nASTR tokens to farm on our partners Defi dApps in our nASTR Liquidity Hub;

You can add the nASTR token to Metamask by adding the following token address or using the dedicated feature in Algem dApp.

nASTR: 0xE511ED88575C57767BAfb72BfD10775413E3F2b0

How To Claim:

• To claim your rewards, you must first wait at least 1 era (~24h on Astar network);
• Then press the “claim” button and confirm the transaction;
• Your rewards will be distributed directly to your wallet.

 

How To Unstake:

• To unstake your nASTR tokens and redeem ASTR tokens, you must first switch to “unstake” mode;
• Enter the nASTR amount you wish to unstake from the selected dApp;
• You can unstake from one, several or all dApps at the same time.

• Select the unstaking parameters (regular or immediate) and accept the conditions;
• Confirm your action by clicking the “unstake” button.

You will receive your ASTR tokens directly into your wallet after fulfilling the unstaking conditions (e.g. unbonding period).

Transferring NASTR Tokens With Algem

When staking ASTR tokens in any dApp of Liquid Staking Multipools, you’ll earn nASTR tokens, each with its own unique utilities. For instance, Astar Degens or Algem dApp will label nASTR tokens as nASTR-AstarDegens or nASTR-Algem for Algem’s smart-contracts.

However, to use or trade them on other Astar protocols, they’re considered classic nASTR tokens.

When transferring nASTR tokens from a specific dApp, utilize Algem’s transfer feature to choose from which dApp among those staked you’d like to transfer nASTR. Otherwise, the tokens will be randomly selected from those in your wallet.

To Transfer NASTR Tokens Using Algem, Follow These Steps:

• Go to the Liquid Staking Dashboard and click on “Send nASTR” button next to your detailed stake;
• From one of the available dApps, enter the amount of nASTR tokens you want to transfer;
• Note that you can choose different dApps at the same time with different nASTR amounts;
• Enter the destination EVM address;
• Confirm your action by clicking on the send button.

 

Algem dApp Updates:

With the liquid staking multipools update, they’ve made a few other improvements to the dApp, including the addition of day and night mode, and the option to claim farming rewards directly from the liquid staking page.

How To Switch From Day To Night Mode:

Clicking the switch button located in the upper left corner lets you change from day mode to night mode and vice versa.

How To Claim NASTR Farming Rewards:

At the liquid staking page’s bottom, you choose where to farm with nASTR tokens in Astar’s Defi dApps. Also, rewards are visible and claimable via a simple button click.

 Important For NASTR Liquidity Hub Users

For users using the nASTR Liquidity Hub, you must update your token balance on the dashboard to make them visible. This is a one-time procedure.

• Open the Dashboard panel by clicking on the “More” button;
• Click on “Update balance” under nASTR in partner dApps ;
• Sign the transaction in your wallet.

About Algem

Algem a dApp built on Astar Network and offers two main features: liquid staking and liquid lending. As the name implies, these two solutions enable ASTR holders to remain liquid with their assets while putting them to work.

The liquid staking and lending solutions allow users to accumulate staking rewards and increase their earnings using Algem’s liquid nASTR tokens across Astar’s DeFi ecosystem. In doing so, Algem supports other DeFi protocols by providing liquidity, creating a sustainable and cooperative ecosystem on Astar Network and Polkadot.

Website | Twitter |

Source

REQUEST AN ARTICLE

The post Algem’s Liquid Staking Update appeared first on Smart Liquidity Research.

In partnership with Yield Yak and Geode Finance, Stakeholders of AVAX tokens get yyAVAX, a yield-bearing derivative that aligns incentives between blockchain systems and users. Eden Liquid Staking Live on Avalanche

Proof-of-Stake (PoS) blockchains require users to stake native tokens, in this case, AVAX, to strengthen network security. The more AVAX staked, the more secure the network.

Aligned Incentives

Liquid staking overcomes this incentive mismatch by giving stakers access to a DeFi-usable derivative token (yyAVAX). This enables users to play a crucial part in network security without giving up their chance to earn from DeFi.

Liquid staking overcomes this incentive mismatch by giving stakers access to a DeFi-usable derivative token (yyAVAX).

Eden Network’s Role

The landmark partnership between Eden Network, Yield Yak and Geode Finance is the first of its kind on Avalanche, and each party plays an integral role in the liquid staking product.

Eden Network is responsible for amplifying yield; providing users higher returns above the standard platform staking rewards. This is achieved through Eden’s bespoke yield generation engine, which uses various strategies and products to accumulate value from blockchain ecosystems

Yield Yak, the premier auto-compounder and one of the most trusted brands on Avalanche, provides the liquid staking user interface, and Geode, a next generation multi-chain liquid staking protocol, provides the smart contracts and much of the back-end infrastructure to power yyAVAX. Geode also recently announced their seed investment, led by Multicoin Capital.

yyAVAX is Eden Network’s first new product to launch as part of their multi-chain strategy. They have also partnered with Castle Crush to provide key validation services on their upcoming Avalanche subnet, and will launch more products and services on multiple blockchains — including Ethereum 2.0 — in the near future.

About Eden Network

Eden Network is a multi-chain infrastructure provider. They supply back-end validation framework for the upcoming Castle Crush subnet on Avalanche, as well as Yield Yak’s liquid staking product, yyAVAX. Through their expertise in generating value on-chain, Eden Network utilizes multiple strategies to provide stakers with meaningful yield, and partners with increased revenue.

Web | Twitter

About Yield Yak

Yield Yak makes numbers go up. Ape into new autocompounder farms with quick releases and high yields. Swap on Yak for the best prices on trades with zero aggregator fees. Sit back and just earn, including big APYs on stablecoin farms.

Web | Twitter

About Geode Finance

Geode Finance provides DAOs like Yield Yak with the ability to provide a liquid staking solution to their users. By providing DAOs with the infrastructure, their own staking token derivative and exit liquidity, Geode are able to open up the opportunity for vastly improved yields and capital efficiency for users across the whole of DeFi.

Web | Twitter 

SOURCE:

https://medium.com/edennetwork/eden-network-launches-new-liquid-staking-product-on-avalanche-3f354bc054b

REQUEST AN ARTICLE

The post Eden Liquid Staking Live on Avalanche appeared first on Smart Liquidity Research.