Bit.com, the Seychelles-based exchange, has listed Staked Ether (STETH) on its spot and and perpetual futures markets, according to a recent press release.
Bit.com becomes the first cryptocurrency exchange to list STETH, issued by Lido Finance. Lido Finance is a choice crypto staking provider allowing individuals who can’t meet the steep 32 ETH threshold to earn steady yields by staking their coins on Ethereum’s Beacon Chain.
Following this announcement, STETH and STETHUSDTPF are now available for trading on Bit.com’s spot and perpetual futures markets after listing on June 12 and 13, respectively. The move to list STETH is massive for Lido Finance and would significantly boost its liquidity.
STETH permits users to earn yields and unlock their ETH’s liquidity as they earn decent yields from the Ethereum network.
As of June 15, there are 12.87 million ETH locked in the official Ethereum 2.0 deposit contract, estimated to be worth more than $13.1 billion.
STETH represents ETH locked in the Beacon Chain, the proof-of-stake network running parallel to the current layer-1. By design, the STETH tracks the spot price of ETH because it is pegged 1:1 to ETH.
Staked ETH, according to Ethereum, will only be unlocked once the network migrates from a proof-of-work system to a staking arrangement where validators take over from miners to confirm transactions. Nonetheless, the exact time of this transition is tentative, a cause of concern for validators who, while earning staking rewards, are eager to increase their yields by participating in various DeFi protocols.
As of mid-June, there were concerns of a de-pegging that would, analysts say, cause a dent in Ethereum, catalyzing the sell-off and crashing the Lido Finance ecosystem. However, the move to list the token on Bit.com was a shot in the arm for the project. It is also a decision that would go a long way in calming nerves when the broader crypto market is under immense selling pressure.
Bit.com is a full-suite cryptocurrency exchange and one of the most liquid in the world. Since its launch, the platform has continued to evolve, becoming a platform of choice for traders eager to receive irresistible discounts in a high liquidity environment. Bit.com is dynamic and offers a wide range of trading products, from spots, perpetual futures, futures, and other complex derivatives, including Options. The exchange is also powered by Matrixport, one of Asia’s fastest-growing financial platforms focused on cryptocurrencies.