Eth2 becomes the fourth-largest staking network, and it keeps growing

Ethereum 2.0 has already emerged as the fourth-largest proof-of-stake network by total value locked in staking within roughly six weeks of the Eth2 deposit contract going live.

Despite withdrawal functionality not yet enabled and no precise estimation for its full launch date, nearly $1 billion worth of Ether (ETH) has already been designated for staking. According to crypto data aggregator Staking Rewards, more than 1.5 million Ether or 1.35% of Ethereum’s supply has been deposited for staking.

Ether staking rewards are currently estimated at approximately 13.20%, meaning that a single stake of 32 ETH would earn $2,725 over one year at the current price of around $645.

Polkadot, the brain-child of Ethereum co-founder Gavin Wood, is currently the largest staking network by total value locked. Since Polkadot’s mainnet launch in May, the network has seen 67.51% of its supply designated for staking, valued at nearly $3.4 billion. Cardano, a rival network from fellow Ethereum co-founder Charles Hoskinson, ranks as a close second, with 65.53% of its supply locked since July for a staking TVL of $3.37 billion. 

Tezos launched staking in 2018, and has the highest rate of network participation among staking networks ranking among the top 50 crypto assets by capitalization with 79.43%. Tezos has a current staking cap of $1.38 billion. Since its mainnet launch last year, Cosmos has also emerged as a top proof-of-stake network, with 71.77% of its supply locked up for a staking TVL of $915,593,114.

While Ethereum 2.0’s developers are yet to provide a precise date for when users will be able to withdraw their staked Ether, staking service provider Rocket Pool recently estimated the function may go live during the first quarter of 2021.