Ethereum 2.0

Ethereum 2.0 Staking – Earn a yield on your ETH holdings

Insights Crypto Sygnum

What is Ethereum 2.0 staking?

Staking is essentially assigning tokens to validate transactions on a proof-of-stake network in exchange for a reward. This means for Ethereum 2.0 that you stake a minimum of 32 ETH and will receive rewards in the form of newly created ETH. Sygnum offers ETH 2.0 Staking-as-a-Service that is conveniently integrated into our e-banking portal.

Ethereum is currently undergoing a major upgrade to Ethereum 2.0. The upgrade will make the network more scalable, secure and sustainable. One key change includes the shift from a proof-of-work consensus mechanism towards proof-of-stake. This enables ETH investors to stake their funds and automatically validate transactions on the network in exchange for a financial reward. The upgrade to Ethereum 2.0 is shipped in separate phases, with the current phase 0 only enabling staking, but not yet transfers or smart contract interactions.

To run a validator on Ethereum 2.0 investors need to deposit a minimum of 32 ETH or multiple thereof, while receiving around five percent per annum in newly created ETH as staking reward in return.

Funds staked in Ethereum 2.0 are currently not transferable and cannot be withdrawn or traded. They are locked up until the Ethereum 2.0 transition phase has reached a level, where funds can be used on Ethereum 2.0.

Background on Ethereum 2.0

Why stake with Sygnum?

Sygnum sets up and maintains an institutional grade staking offering by providing the infrastructure and running the validator to create a convenient offering to investors.

Sygnum holds a Swiss banking license and is an established and trusted counterparty for institutional and professional clients. We are partnering with leading infrastructure providers and use cutting-edge technology to provide a staking offering with the highest levels of security.

Key information

  • Asset class: Staking
  • Launch: 1 December 2020
  • Blockchain protocol: Ethereum 2.0
  • Base currency: ETH
  • Type of return: Variable
  • Distribution: Constant
  • Minimum investment amount: ETH 32
  • Investment time: Undefined

How does it work?

Sygnum’s staking offering is fully integrated into our e-banking platform as a self-servicing product. You can access the offering as follows:

  1. Fund your Sygnum account with at least 32 ETH
  2. Initiate the staking process through our e-banking portal
  3. Start earning

To become a client please click here or please contact us for more information.

Read next article

Are you in Switzerland?

It looks like you are using a computer with an IP address located outside of Switzerland. If you are located in Switzerland, please click “Continue” to access the Sygnum Bank AG (“Sygnum Bank”) website. If you are not located in Switzerland, please read below.

Local restrictions – Provision of cross-border services

Sygnum is a regulated bank supervised by the Swiss Financial Market Supervisory Authority (FINMA, Laupenstrasse 27, CH-3003 Bern). The products and services on this website are authorised for sale in Switzerland. Sygnum cannot promote its products and services in other countries where it is not authorised by the supervisory authority of that country to do so. Without prejudice to provision of services on the basis of reverse solicitation, Sygnum provides investment services in accordance with EU third-country regimes (where applicable). Sygnum is allowed to provide services only to per se professional clients and eligible  counterparties as defined under MiFID II.

If you are located outside Switzerland and click on “Continue” to visit this website, you confirm that you have read and understood the above and you are visiting this website on your own initiative without any active promotion or solicitation from Sygnum.

CONTINUE

Investor qualification

The following content is available to professional and private qualified Swiss investors. Please confirm your details below to visit this page, or please see our other digital asset updates here.

Qualified investor - I am a natural person who has the knowledge required to comprehend the risks of the investments based on my individual education and professional experience or based on comparable experience in the financial sector and hold liquid assets of at least CHF 500’000 (excl. real estate and pension funds).

A US Person is defined as (a) an individual who is a citizen or resident of the United States for federal income tax purposes; (b) a corporation, partnership or other entity created or organised under the laws of or existing in the United States; (c) an estate or trust the income of which is subject to United States federal income taxes regardless of whether such income is effectively connected with a United States trade or business.

Disclaimer: This content is purely for educational purposes and has been issued by Sygnum Group. It is not intended for distribution, publication, or use in any jurisdiction where such distribution, publication, or use would be unlawful, nor is it aimed at any person or entity to whom it would be unlawful to address such a marketing communication. It does not constitute an offer or a recommendation to subscribe, purchase, sell or hold any security or financial instrument. It contains the opinions of Sygnum Group, as at the date of issue. These opinions and the information contained herein do not take into account an individual‘s specific circumstances, objectives, or needs. No representation is made that any investment or strategy is suitable or appropriate to individual circumstances or that any investment or strategy constitutes personalized investment advice to any investor. Therefore, you must verify the above and all other information provided in the document or otherwise review it with your external advisors. Some investment products and services, including custody, may be subject to legal restrictions or may not be available worldwide on an unrestricted basis. The information and analysis contained herein are based on sources considered as reliable. Sygnum Group uses its best efforts to ensure the timeliness, accuracy, and comprehensiveness of the information contained in this document. Nevertheless, all information indicated herein may change without notice.

Mandatory fields

Security alert

Stay alert to fraudulent communications. Sygnum will never post messages on social media or private messaging applications regarding e-banking access or logins. If you have concerns, contact us.

Close