• The total amount of Ethereum staked by investors surpassed the ETH balance on centralized exchanges like Binance and Coinbase.
• Ethereum held by centralized exchanges has been declining over the past few months due to the SEC crypto crackdown.
• Data from Nansen suggests that there are currently 23.36 million ETH worth nearly $44 billion, representing 19.4% of the current supply, staked as of June 26, 2023.
Staked ETH Surpasses Exchange Balances
The total amount of Ethereum (ETH) staked by investors has surpassed the ETH balance on centralized exchanges including Binance and Coinbase, according to data from Nansen. As of June 26, 2023, 23.36 million ETH worth nearly $44 billion was staked which represents 19.4% of the current supply. Comparatively, Ethereum held by centralized exchanges fell short at 23.35 million ETH yesterday per Nansen data.
Declining Exchange Holdings
Centralized exchange’s holdings of Ethereum have been declining over the past few months due to a crypto crackdown started by the U.S Securities and Exchange Commission (SEC). According to Nansen data this outflow is only accelerating with time as more investors stake their coins for rewards and staking services become more popular in DeFi ecosystems like Terra FTX or Do Kwon’s project where $26M was seized recently in Switzerland for alleged misappropriation and commingling of customer funds since inception by SBF and other execs..
Beacon Chain Data
It is worth noting that Beacon Chain data suggests there are only 20.3 million ETH currently staked which raises questions about the discrepancy between Nansen and Beacon Chain data. Despite this difference both sources agree that investor’s interest in staking is increasing with Crypto ETPs seeing an inflow of $199M last week which is their largest since July 2022 when first leveraged Bitcoin futures ETF opened for trading on CBOE.
Binance Pulls Out Of Austria
Binance also reportedly pulled out of Austria recently after shifting its focus towards MiCA compliance in Europe as it prepares for its IPO later this year . This move comes amidst reports that some cryptocurrencies may soon be classified as financial instruments rather than digital assets in Europe under MiCA regulation which could bring stricter regulatory scrutiny in EU countries including Austria where Binance had previously established a foothold .
In conclusion it appears that investor interest in decentralized finance ecosystems such as Terra FTX or Do Kwon’s project continues to increase with more people opting to stake their coins instead of leaving them on centralized exchanges like Binance or Coinbase . This trend combined with recent developments such as Binance pulling out of Austria due to tougher regulations could signal a shift away from traditional financial markets towards decentralized ones powered by cryptocurrencies such as Ethereum .