KEY TAKEAWAYS
- BitGo integrates native Ethereum staking support via the Lido protocol, enabling institutional clients to stake ETH and mint stETH.
- This marks the first U.S.-based custodian offering institutional access to Ethereum staking rewards through stETH in Europe and Asia.
- Institutional interest in stETH is rising due to its capital efficiency and liquidity management benefits, with over $25 billion in ETH staked via Lido.
- BitGo’s regulated custody solution enhances institutional Ethereum adoption by providing a streamlined, regulated approach to liquid staking.
BitGo, a leading qualified custodian, has announced the integration of native Ethereum (ETH) staking support through the Lido protocol. This development allows BitGo’s institutional clients to stake ETH directly within its custody platform and mint stETH, Ethereum’s largest liquid staking token.
This integration marks the first time a U.S.-based qualified custodian has enabled institutional clients across Europe and Asia to access Ethereum staking rewards through stETH. Clients benefit from the market-leading liquidity and decentralized infrastructure provided by the Lido protocol.
Institutional Interest in stETH Grows
Institutional interest in stETH is increasing due to its ability to enhance capital efficiency and liquidity management without the lock-up periods associated with traditional staking. Currently, over $25 billion in ETH is staked via the Lido protocol, representing more than 25% of all staked ETH.
stETH’s extensive integration across decentralized finance (DeFi) and centralized platforms, including lending markets, liquidity pools, OTC desks, and regulated custody platforms, makes it an important asset for institutional treasuries and portfolio managers.
BitGo’s Regulated Custody Solution
BitGo’s regulated custody solution for stETH leverages its institutional-grade custody platform, which safeguards over $100 billion in digital assets under custody and $48 billion in assets staked globally. By enabling native staking capabilities through Lido, BitGo addresses custody and operational challenges faced by institutional clients, offering a streamlined, regulated solution for accessing liquid staking.
This integration is a significant step forward for institutional Ethereum adoption, providing a simpler way to participate in liquid staking while enhancing capital efficiency and liquidity. More details about this development can be found here.
Why This Matters: Impact, Industry Trends & Expert Insights
BitGo’s integration of native Ethereum staking via the Lido protocol represents a significant development in the institutional adoption of Ethereum staking. By enabling institutional clients to stake ETH directly, BitGo enhances the accessibility and appeal of Ethereum staking for large-scale investors.
A recent Cointelegraph report highlights the surge in institutional adoption of stETH, driven by the ability to gain exposure to staking rewards without capital lock-up. This aligns with BitGo’s move to facilitate institutional access to Ethereum staking rewards, potentially increasing the amount of ETH staked and reducing circulating supply.
As per insights from Ethereum Foundation ecosystem experts, recent protocol upgrades have made ETH staking more attractive to institutions. This supports BitGo’s initiative as it simplifies institutional participation in staking, reinforcing Ethereum’s role as a strategic asset for corporate treasuries.
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