Binance.US, the U.S.-based subsidiary of the world’s largest cryptocurrency exchange, has launched a high-yield staking service for Ethereum (ETH) just days before the long-awaited merge.
Binance US Launches ETH Staking
In a blog post on September 7, Binance.US announced the launch of its Ethereum (ETH) staking service, which offers its users an initial annual percentage yield (APY) of 6%.
The 6% APY offered by Binance is almost twice what other exchanges offer. For example, Coinbase (NASDAQ:COIN) offers ETH staking with an APY of 3.28%, while Lido Finance offers an APY of 3.5%.
In addition, while direct staking on the Ethereum network requires a minimum of 32 ETH to be locked, Binance.US announced that as low as 0.001 ETH ($1.51) can be staked on its platform.
Binance Supports the Merge
The timing of the support for ETH staking by Binance.US comes just days before Proof-of-Stake goes live on Ethereum’s mainnet.
Speaking about the support, Binance US CEO Brian Shroder said “ETH plays a critical role in the broader Web3 ecosystem, and as the Ethereum network continues to transition towards The Merge, we are thrilled to now offer ETH staking.”
On the Flipside
- Despite supporting ETH staking, Binance has announced that it will not support any forked tokens from the merge, and users will not be able to withdraw these tokens if they are created.
Why You Should Care
The low barrier and high APY offered by Binance.US on its ETH staking service will encourage investors to stake their ETH even as the merge approaches.
Get the latest update on the merge in:
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Binance is expelling stablecoins. Find out more below:
Binance To Delist USD Coin (USDC), And Convert USDP, TUSD Into Binance USD (BUSD)