Ethereum Users Can Now Stake Their Validators!! MetaMask has launched a new staking service that allows Ethereum users to run their own validator nodes for a fee.
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The crypto wallet provider announced the launch of validator staking through the MetaMask Portfolio on Thursday.
MetaMask will run the validator node on behalf of stakers who deposit 32 Ether. At current Ethereum prices, this is roughly equivalent to $78,752.
MetaMask stated that no pooling or hardware is required, saying: “We securely run your node, minimizing the risk of downtime and slashing while we handle staking rewards for you.”
The new service could be attractive to beginners or those who are decentralized-minded; as staking through MetaMask could address the centralization concerns of large liquid staking providers like Lido.
It also eliminates the need to purchase hardware to run a personal Ethereum node, and the potential for downtime due to internet outages.
Consensys, which manages the service, said it has “received no penalties in over two years, despite managing ETH worth over $2 billion on over 33,000 validators.”
Staking through MetaMask is currently yielding 3.8% per year, but the platform also takes a 10% commission from validator rewards.
Lefteris Karapetsas, founder of crypto portfolio tracker Rotkiapp, said the new service is “an interesting idea, but a 10% fee makes it a completely unattractive option for any user who takes the trouble to compare it to other existing options.”