About 120,000 Ethereum Wallets Hold Minimum Tokens For ETH 2.0 Staking

News / 09.06.2020

ETH 2.0 staking node requires Ethereum wallets to have a minimum of 32 ETH and according to data provided by Arcane Research and Nansen AI, the number of Ethereum wallets with the minimum number of tokens have increased by 13 percent in 2020.

The cryptocurrency space is awaiting the TBD launch of Ethereum 2.0, while ETH buyers are accumulating tokens in anticipation of the update apparently in an attempt to claim the supposed staking nodes that will be important to ETH’s upgrade.

The analytics company, known as Arcane Research, said the number of Ethereum network balances, including or exceeding 32 ETH, is close to 120,000. ETH 2.0 staking node is the validating nodes that will come to replace the miners in validating transactions and maintaining the Ethereum blockchain.

Similarly, data provided by Ethereum blockchain analytics firm Nansen AI noted that the number of wallets with a minimum of 32 ETH has increased roughly 13 percent over the past year. These holders are waiting for the ETH 2.0 update, despite the delays in the proposed switch to proof of stake.

In the words of Nansen co-founder and data scientist Alex Svanevik while speaking to Decrypt, many of these new addresses (less than 1000) that have 32 ETH or more do not belong to exchanges. Nonetheless, he said exchange wallets hold a large proportion of the aggregated ETH.

Like every staking blockchain, cryptocurrency exchanges are expected to provide staking services for their users. That is, there is likelihood of Ethereum holders being able to deposit ETH with an exchange to stake the tokens for them.

However, some are worried about this possibility regarding ETH 2.0 bringing about centralization of Ethereum staking on exchanges. Supporters believe the issue of centralization is florid and poses a situation which is no more centralized than Bitcoin mining.

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Born in Bucharest, Marius is the founder of Crypto Adventure. Since his first contact with Bitcoin and cryptocurrencies, he never stopped believing that they are one of the most important innovations of our time, which will forever change the way business is done.