Allowing withdrawals also reduced the liquidity risk associated with locking up ETH for staking, which has kept some investors at bay before. “We expect this to naturally increase staking rates after the initial drawdown of ETH from long-term validators,” Milanovic said.by Kiln, an institutional-grade staking service provider, 68% of investors said they intend to start staking or increase their staked amount after Shanghai. The survey was conducted in February, before the Shanghai upgrade.
Thomas de Phuoc, Kiln’s co-founder and chief operating officer, said the firm experienced a fresh wave of interest in staking, even from traditional finance firms. “Our sales team noted 60% more deals in the pipeline than at the same time last year, including from traditional institutions,” Phuoc said. “We are discussing at the moment with some brokerage firms, investment banking services holding companies in the U.S. or in Europe.”by crypto venture fund Dragonfly’s analyst.