Ethereum Staking: Latest Insights into Withdrawals and Deposits

The Third Round of Ethereum Withdrawals

Ethereum staking withdrawals have officially kicked off their third round as of April 24, resembling that awkward moment when you realize you’ve eaten the last slice of pizza—unexpected, yet strangely familiar. According to the data sourced from Nansen, the analytics platform keeping a keen eye on the blockchain, withdrawals suddenly surged again around these dates. A notable contributor to this trend? The crypto exchange Kraken, which has become the heavyweight champion in the world of ETH withdrawals.

Understanding What a “Round” Means

If you’re left scratching your head wondering what exactly constitutes a “round,” let me clarify. In staking, a “round” refers to the time period it takes to process those withdrawals and rewards—think of it as waiting for a pizza delivery. Currently, it takes just under four and a half days for a round of transactions to be processed.

Withdrawals vs. Deposits: A Competitive Showdown

On April 24, the last notable wave saw a whopping 61,608 ETH withdrawn, amidst a backdrop of 63,009 ETH deposits. This result turned a noble effort at increasing staked balances into a tight race with zero net change in the staked ETH over a 24-hour period. Quite the seesaw event, isn’t it?

The Kraken Connection

Ah, Kraken—your friendly neighborhood crypto exchange turned ETH marathon runner. After an unfortunate run-in with the U.S. Securities and Exchange Commission (SEC) earlier this year, which resulted in the stringent halting of its Ethereum staking services, Kraken now finds itself in a multifaceted game of catch-up. As they gradually return assets to stakers following this ramp-up in withdrawals, 2.3% of the overall withdrawable ETH remains stuck in their wallets.

The Stakes Are High

Currently, Nansen reports a jaw-dropping 632,651 ETH is languishing in the pending withdrawal queue, translating to roughly $1.16 billion. And you thought your couch change was impressive! In spite of what seemed like a mass exodus of staked Ethereum after the Shapella upgrade, things aren’t as dire as they seemed. The reports indicate an enticing 1.07 million ETH has been deposited post-April 12, illustrating that the appetite for staking remains vibrant offsetting the 1.66 million ETH that has been pulled from the book.