stETH – Trademark Dispute and Resolution

Yesterday it came to our attention that Lido (@LidoFinance) released a public statement, promoted via Twitter, regarding the use of the “stETH” symbol. We were surprised to see this private matter brought to a public forum rather than to discuss this via existing direct channels. 

To be clear, we do not think Twitter or any public domain is the appropriate medium for this discussion. Unfortunately, we now feel we have to correct some facts that we believe have been misrepresented and taken out of context on Twitter

Facts

For those of you who aren’t aware, StakeHound is a liquid staking platform which launched its first stakedToken stFIRO on the 29th of October and the second stXEM on the 7th of December. With many more stTokens are coming in the near future.. 

When Stakehound issues a new stToken, there is a substantial amount of work and coordination involved to make sure that our backend and our custody, staking and compliance partners work well together. With the anticipated launch of Ethereum staking, we began working on providing stETH to our customers as soon as it was announced on the 4th of November.

Registering a trademark is a normal business process and aims at protecting customers from mixing up different companies’ products that have the same name. This process exists precisely to prevent the need for confrontations and while we live and breathe the crypto philosophy and worked through countless nights to bring a quality liquid staking platform to the community, there is a real world that needs to be respected at times, and this is one of those times.

stETH & Lido

In December, our CEO, Albert, became aware that Lido was using these trademarks and sent a friendly email to the Lido team on December 19th 2020 to inform that StakeHound had a number of trademark rights and applications in relation to stETH and stakedETH in multiple places. He requested that in view of our trademark, Lido to stop using the “stETH” symbol to avoid confusion between StakeHound and Lido products.

The response was a letter from Defi LTD’s (Lido) legal counsel on December 31st, 2020. We were given two days to reply. Due to the nature of this response, we were forced to involve our own legal counsel who replied on Jan 5th asking for further clarifications on certain claims made. To date, we have not had a response other than the Twitter thread which has now followed.

Next Steps

We don’t feel social media is the best place for this discussion. We would like to extend an invitation to the great Lido team for a call/informal meeting to clear the air and hopefully move forward in a constructive direction for all parties involved.

How to Profit from ETH 2.0 Staking Rewards?

The launch of Ethereum 2.0 has created a new hype around staking in the Blockchain ecosystem. Users were invited to become validators and were offered the opportunity to lock-in their ETH in return for passive staking rewards from 4.9% up to 21.6%. However, not all users can stake on the ETH 2.0 launchpad as it requires a minimum threshold amount of 32 ETH (currently valued over US $19,500+). Not only that, but the launchpad will also lock users’ ETH for a minimum of 18 months, rendering their ETH liquid for other opportunities such as DeFi or yield farming. 

Suppose a user does not meet the minimum requirements of staking with the ETH 2.0 launchpad but still wishes to participate in staking to earn passive rewards. In that case, they can consider staking with alternative platforms such as StakeHound. StakeHound offers all ETH holders the opportunity to earn passive staking rewards by removing the ETH 2.0 launchpad’s entry barriers, such as the minimum 32 ETH threshold or the 18-month lock-up duration. Eliminating such barriers may lead to a mass-adoption of staking.

ETH Moving to Proof-of-Stake

The launch of ETH 2.0 marks the beginning of the new Ethereum network that utilizes the Proof-of-Stake (PoS) consensus mechanism, shifting away from the existing Proof-of-Work (PoW). 

The use of this new consensus algorithm is touted to be several times more efficient, scalable, and secure than the current Ethereum infrastructure. Not only that, but PoS promises stake rewards to users who will stake with ETH 2.0. So what staking rewards will users receive if they stake with ETH 2.0?

ETH 2.0 Rewards

When users choose to stake with ETH 2.0, they can earn rewards up to 22.5% APY on their ETH. This is a high annual rate, especially for a passive staking income. But as more users stake with ETH 2.0, the lower the estimated annual percentage return (APY) becomes. To enjoy these staking rewards, users are required to lock-in a minimum amount of 32 ETH for what is expected to be 18-24 months, thus making users’ ETH illiquid and participation in other opportunities, such as DeFi or yield farming impossible. 

Users are also expected to run a validator node when they stake with ETH 2.0. If users are unable to perform their duties as a validator, they are faced with the prospect of their rewards being slashed. Fortunately, there’s an alternative solution for stakers to reap still the staking rewards while having liquidity for their assets. 

StakeHound Rewards

StakeHound is an alternative staking platform that allows users to stake with ETH 2.0 and, at the same time, maintain access to liquidity. StakeHound issues users wrapped token or stETH upon ETH deposit backed 1:1 with the underlying staking ETH. With liquid staking, users can stake their ETH and receive stETH in return. As users have full control over their stETH, users don’t have to worry about lock-ups. 

The staking rewards received will be distributed directly into users’ accounts. stETH complies with the universal ERC-20 standard, allowing for easy integration into DeFi protocols, wallets, and exchanges. 

Apart from stETH, Stakehound also issues the HOUND token, the platform’s governance token, and the fuel that ignites the liquid staking ecosystem. HOUND is set to go live in Q1 2021. The platform also incentivizes everyone to become a liquidity provider by creating a sustainable, community-driven ecosystem.

StakeHound Bonus Program

Early adopters and liquidity providers will get HOUND tokens from various yield farming and early adopter programs. We call it the hunt. This program allows early adopters to participate in StakeHound’s staking program and enables users to maximize their rewards. Every time StakeHound is launching a new coin, users can participate in a new hunt and multiply their HOUND rewards up to a 1.7 multiplier.

  1. Hound Fan (1 x Bonus): Users will need to acquire stETH before Q1 of 2021 directly on StakeHound to become a Hound fan. The rewards will be proportional to the percentage of their total stETh purchase. More details about this will be available soon. 
  2. Hound Master (+0.2 Bonus per Hunt): Users can purchase as many stETH as users want during the Hunt to increase their HOUND token multiplier by 0.2. Users are also allowed to participate in multiple Hunts to increase their multiplier.
  3. Hound Hero (+0.5 Bonus): If a user wants to increase their multiplier by an extra 0.5x, participate in every StakeHound Hunt available before the launch of the HOUND token. 

Conclusion

The Ethereum network offers many passive income opportunities to its users, including yield farming and staking. Unfortunately, most users are left to choose between the two options due to the lock-in period with staking. Fortunately, alternative platforms such as Stakehound offer an innovative way to reap staking rewards while participating in the DeFi ecosystem. 

 

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What is stETH?

Due to the introduction of Ethereum 2.0, the concept of proof-of-stake (PoS) is taking the world by storm. While this concept promises many benefits, it also comes with some drawbacks. 

Fortunately, alternative platforms offer liquid stakings, such as StakeHound, that allow you to stake and wrap your tokens into stETH without a minimum required amount and lock-up period.

But what exactly is stETH, and how can you benefit from it? Essentially, stETH is a wrapped token offered by StakeHound that allows users to wrap their assets as a 1:1 peg with the underlying asset. This permits users to participate in DeFi while still receiving staking rewards.  

What is stETH?

The launch of ETH 2.0 allows users to stake their tokens and receive passive income, which is attractive for those who have at least 32 ETH lying around and don’t mind sacrificing the liquidity of their assets for two years due to a lock-up. However, most everyday users want full control over their assets and prefer to stay as liquid as possible. This is where StakeHound comes in. To enjoy liquid staking, users can wrap their ETH into stETH with StakeHound. 

stETH is a wrapped token with a 1:1 representation of the user’s underlying ETH. After a user onboards their ETH, StakeHound stakes those ETH for the users and redistributes the rewards to stETH. That way, the stETH allows you to receive ETH 2.0 staking rewards without the minimum staking requirement and no lock-up period as stETH can be sold at any time, for example, on Uniswap. 

As an additional incentive, users will also receive our governance token HOUND as a bonus. 

StakeHound and Wrapping 

Decentralized finance (DeFi) provides financial services and products by utilizing smart contracts on the blockchain without relying on any central entity. Until now, DeFi applications are mostly built on the Ethereum network. To participate in this network, users must own ERC-20 tokens. If you don’t own them, wrapping non-ERC-20 tokens can help you create a compatible token specific to comply with the network’s architecture. StakeHound can help you with this. 

StakeHounds’s goal is to bridge the worlds of staking and DeFi together. To achieve this goal, Stakehound wraps users’ non-ERC-20 tokens, storing them with our custody partners Copper.io and Fireblocks and then issuing stETH back to the users. 

Staking rewards earned are distributed to users’ accounts, allowing them to earn passive income still and increase their balance. Issued stETH follows the ERC20 standard, which means that users can freely transfer, trade, and use them in DeFi platforms, unlocking liquidity previously locked up in staking. 

Through stETH, users can now have the freedom to use their staked tokens, participate in DeFi, collateralize their assets, or exchange it with other tokens. All of those advantages allow users to earn staking rewards without experiencing the lock-up period. Users can now withdraw their staked tokens whenever they want. 

Conclusion

The launching of ETH 2.0 and its switch from proof-of-work (PoW) to PoS opens up many opportunities to participants. Using StakeHound, users do not require a minimum stake of 32 ETH that will be locked up for two years and the setup and maintenance of validator nodes. Instead, StakeHound allows users to get the same rewards while promoting liquidity. The platform also allows users to participate in DeFi by issuing stETH; a token backed 1:1 by ETH. 

 

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Participate on liquid staking and join the stETH Hunt with StakeHound

Kickstarting the brand new liquid staking on StakeHound, we invite you to join The Hunt for extra rewards on the upcoming ETH 2.0 launch. To participate, you simply need to wrap your ETH to stETH. Gain instant liquidity, full-speed access to staking rewards, and bonus HOUND tokens all in one shot! 

As you may know, StakeHound has found a way for everyone to eat their cake and have it too. If you don’t know yet how you can catch up here.

We have managed to get you staking rewards and keep your liquidity intact, so you can participate in those juicy DeFi services that are growing at lightning speed.

Welcome to the world of liquid staking by StakeHound.

But we have more for you!

HOUND Token

This exciting journey couldn’t be possible without the full support of our community. That is why we are creating HOUND, a token for staked Tokens to reward our liquidity providers.

The Hunt is a way of giving back to those who support us via a yield farming program that distributes HOUND tokens to early participants and liquidity providers. More farm yields will happen in the future, and we will keep you up to date with that.

Meanwhile, expect more news as we get closer to HOUND going live in Q1 2021!

The Hunt

The Hunt is a short window of time when you can acquire stETH before they are released to get a higher HOUND token allocation. This is the way StakeHound rewards your commitment.

This is how you can maximize your HOUND rewards:

1. Hound Fan (1 x Bonus)

To become a Hound Fan, you can acquire any stakedToken incl stETH beforeQ1 2021, directly on StakeHound. The rewards will be proportional to the percentage of total stakedTokens purchased. More details of these allocations will be released soon.

2. Hound Master (+0.2 Bonus per Hunt)

Purchase as many stakedTokens as you want during The Hunt to increase your HOUND Token multiplier by 0.2. You can participate in multiple Hunts to increase the multiplier.

3. Hound Hero (+0.5 Bonus)

To increase your multiplier by an extra 0.5x participate in every StakeHound Hunt before the launch of the HOUND token.

Remember, the earlier you join, the more rewards you get.

How to participate?

To start the process, you just have to fill this form, and we will email you the onboarding process. 

To participate, you have to purchase stakedETH on the StakeHound platform. You will receive your stakedETH right after launch. (if you already filled the form once, you don’t need to do it again).

You get qualified Hound from the StakeHound Hunt the moment your onboarding process is complete, and you have sent the funds. 

To be eligible for these rewards, you must not trade back your stakedETH for ETH on the platform before distribution of HOUND.

Conclusion

The launch of  ETH 2.0 in the coming days, ETH switches from PoW to PoS opens the opportunity to get Staking rewards, but it requires locking up your tokens for 2 years, a minimum stake of 32 ETH, and the setup and maintenance of Nodes.

Stakehound’s answer to all downsides is liquid staking. This new concept allows you to get your staking rewards without locking up your liquidity. You can then participate in the exciting DeFi services; you send us your ETH and receive stETH in return on a 1:1 ratio. 

Launching stakedETH will be a huge milestone in our journey. We are super excited to give you access to the DeFi superpowers of the ETH community.

Our goal is to give and share our journey to the HOUND token launch and incentivize you to join the StakeHound Hunt.

 

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Ethereum 2.0 Staking Guide

Ethereum 2.0 (ETH 2.0) is one of the largest networks in the blockchain industry, aiming to provide a truly decentralized, permissionless platform for programmable money through the implementation of smart contracts. Now, the network is moving to Proof-of-Stake, promising attractive returns for all participants and also setting a starting point for a massive blockchain scaling solution. 

Anyone can participate in staking on the Ethereum 2.0 network. Stakeholders are assigned a crucial role in providing security to the network. Apart from being active stakeholders, users will also be given rewards for acting as validators. However, the biggest risk for stakers is the indefinite lock-up period and illiquidity of their ETH, which can be addressed by staking provider platforms such as StakeHound. 

ETH to ETH 2.0

The Ethereum core development team is currently launching a significant upgrade on the network, dubbed Ethereum 2.0. This upgrade involves the re-engineering of the entire Ethereum platform, introducing a new and more scalable version. From the current Proof-of-Work (PoW) consensus algorithm, the network is moving to the Proof-of-Stake (PoS) concept. 

It is common knowledge for experts that PoS is superior in almost all aspects to PoW, bringing benefits such as faster transaction speeds, greater performance, absolute finality, environmental sustainability, larger design space for economic incentives, and lower cost of security. The transition to PoS has always been the Ethereum roadmap since the very beginning, and its creator, Vitalik Buterin has published various research papers (1, 2, 3, 4, 5) regarding the proof-of-stake consensus algorithm. 

It has been a long road for this network to transition from its original proof-of-work mechanism. Still, the combination of increasing mainstream adoption and Ethereum’s scalability limitations helped accelerate this update and finally pushed it to start. Ethereum 2.0 is rolling out in three phases, starting from phase 0. All ETH staked during the initial Phase 0 is locked until the eth1 chain is folded into shard on eth2. Here’s a break down of the different phases: 

Phase 0 – Beacon Chain:

  • Introducing the ETH 2 Proof of Stake consensus layer 
  • Tracks ETH 2 validators and balances
  • One-way ETH deposit to stake on the Beacon Chain
  • No state management (transactions, smart contracts)

Phase 1 – Shard Chains:

  • Trial run for the ETH 2 sharding infrastructure (adding, storing, retrieving shard data)
  • Validators are now validating randomly selected shards (not the full chain anymore)
  • No state management (transactions, smart contracts)

Phase 1.5 – Migration of ETH 1 to ETH 2: 

  • Migration from ETH 1 to a shard on ETH 2
  • No full sharded execution 

Phase 2 – State Execution:

  • Adds execution to the remaining ETH 2 shards 
  • Fully operational sharded ETH 2 chain (incl. accounts, contracts, state across all shards.)

How to Stake with ETH 2.0

If you’ve decided to stake with Ethereum 2.0, there are specific requirements that you must meet to run a validator node. By doing so, you will be exposed to certain risks but will be rewarded for it. Here’s what’s in it for you if you choose to stake with ETH 2.0:

  • To run a validator node on the beacon chain, you must stake a minimum of 32 ETH. This means that ETH can only be staked in multiples of 32 per validator instance that is set up.
  • Once your ETH is staked, it will become locked up until phase 1.5. The launch of ETH 2.0 phase 1.5 is still uncertain, and this could take anywhere from 12-24 months or longer. 
  • Since users will be running a validator node, they are expected to have the right infrastructure to maintain it and validate Ethereum transactions. 
  • Users who choose to stake with ETH 2.0 will be receiving staking incentives with a minimum of 4.9% APY up to a maximum of 22.95% APY, depending on the number of validators and the amount of ETH has been staked. 

While it seems like staking with ETH 2.0 can be rewarding, especially with the incentives provided to stakers, there are some pitfalls. For example, funds will be locked up for a certain amount of time, making them illiquid and restricting you from using them for other things such as investing and trading. Stakers also face the prospect of being slashed if they cannot do their duty as a validator. 

Staking and running a validator node requires so much more than staking ETH. You also need both infrastructure and expertise. Users are faced with the critical decision to decide whether to stake with ETH 2.0 or alternative staking providers that eliminate the pitfalls and provide additional benefits. 

Staking ETH with StakeHound

StakeHound is a liquid staking provider that allows users to stake on ETH 2.0 without restrictions and limitations. When you stake with ETH 2.0, you are required to stake a minimum of 32 ETH. When you stake with StakeHound, there is no minimum deposit – lowering the barrier of entry for users who do not possess 32 ETH (US $18,000+). You don’t need to spend a significant amount of money to earn and enjoy passive income from the Ethereum network.

 

StakeHound vs. ETH2.0 – Comparison

Criteria

StakeHound

Ethereum 2.0

No lock-up period

18 months

No minimum deposit

32ETH (US $18,000+)

No reward slashing

X

No nodes & infrastructure

X

 

StakeHound also enables users to stake without any locked-in period. This means that your asset will stay liquid when you choose to stake with StakeHound platform. You also don’t need any infrastructure because you won’t be maintaining your own validator node. Users will also enjoy compounding interest on top of these benefits, making staking an easier option to earn passive income. Lastly, users will receive stETH upon staking with StakeHound. stETH is essentially a 1:1 representation of a staked ETH, which can then be used to participate in DeFi activities, such as providing liquidity, borrowing, or lending.

Staking with StakeHound lowers the entry threshold for investors and keeps your assets liquid. Find more info on our website and try it out now.

 

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Your Guide to Liquid Staking

As the launch of Ethereum 2.0 approaches, most users are faced with a serious question: should I stake or not? While staking has its advantages, including gaining continuous yields, users must be aware of all the risks associated with staking. One major drawback you should be mindful of is the lock-up period of 18 months, which renders your ETH essentially illiquid. This means you won’t be able to use the staked funds for other investments or participate in decentralized finance (DeFi) applications. 

But don’t fret. While it seems like staking has more cons than pros, there is another way for users to participate in Ethereum 2.0 without losing liquidity: Liquid staking. This way allows you to keep full control of your funds. Simply put, liquid staking is a new method where users can stake their tokens, earn passive income while staying liquid. This article will explore everything about this new method and how it can benefit you in Ethereum 2.0 staking. 

The Origin of Mining (Proof-of-Work)

When Bitcoin was first created, Satoshi Nakamoto had to find a way for transactions to be verified without using a third party or intermediary. He achieved this by developing the Proof-of-Work (PoW) system, the original consensus algorithm on the blockchain network. This mechanism is used to confirm transactions and produce new blocks to the chain. 

However, confirming transactions and arranging blocks should be done with care. This responsibility bears on particular nodes called miners, using a process called mining. While PoW is a widely popular concept used by many blockchains, it requires significant amounts of electricity. Only a limited number of transactions can be processed at the same time. This is why a new consensus algorithm was developed.

The Rise of Staking (Proof-of-Stake)

Proof-of-Stake (PoS) was first introduced in 2012 intended to solve Bitcoin’s mining high-energy consumption problem. Its concept states that anyone can mine or validate block transactions depending on how many coins they hold. It also rewards users for collateralizing or pooling native cryptocurrency and locking it to form a weighted consensus on a blockchain. Compared to PoW algorithms, PoS is energy-saving and more rewarding to long term holders. 

PoS also offers a governance structure for users who stake on the network. Token holders can vote in decisions such as network upgrades, emissions adjustments, and other changes that were once restricted only to the closed development team. But users participating in PoS are locked into contracts for a predetermined amount of time. In many schemes, users who withdraw their funds early will receive a penalty, along with a waiting period before assets arrive in their wallets. 

Thankfully, there’s an alternative way for users to participate in PoS algorithms without all the downside that comes with it. 

The Age of Liquid Staking and DeFi (Decentralized Finance)

Staking is a popular option for blockchain users to earn passive income. But this comes with many restrictions, such as having funds locked up for a certain amount of time. This can create opportunity loss as these funds cannot be used for other purposes such as trading or investing in DeFi products and services. This is the same issue users face now when participating in the long-anticipated switch of Ethereum 2.0 from PoW to PoS. 

Here is where Liquid Staking by StakeHound, comes into the picture as an innovative way to participate in the PoS algorithm. So how does liquid staking work, and what are the benefits of liquid staking for the user? 

Instead of locking up your funds to ETH 2.0, you send these tokens to StakeHound. Once StakeHound receives your asset, they create a copy, called stETH, which is simply a wrapped asset representing the original. It has the same underlying value. While StakeHound stakes the original asset via a custody partner in the original Ethereum 2.0 contract, users are freely operating with its wrapped version. Once you receive the wrapped or stETH, you can freely do whatever you want with it while getting the rewards without any lock-up. 

Participate in DeFi, collateralize your asset, or even trade it against other tokens on different exchanges such as Uniswap. And the best of all, earn staking rewards while freely using your token elsewhere. Get the most out of liquid staking, an innovative solution to the current challenges PoS is facing. 

Conclusion

Participation in the PoS algorithm has its advantages, but the downsides such as illiquidity of assets can scare away potential investors. Rising in popularity, liquid staking allows users to get all the staking benefits without any of its restrictions. Through tokenized stake, users can now freely access DeFi and manage their positions in a more flexible and non-custodial manner earning from both staking and DeFi. This opens up opportunities for investments and gives you back the control over your fund as they always remain liquid.

 

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Liquid staking for ETH 2.0 without lockups or rewards slashing

The long-awaited Ethereum 2.0 upgrade is set to launch on December 1st, marking a major step for the Ethereum blockchain, shifting the consensus mechanism from Proof-of-Work (PoW) to Proof-of-Stake (PoS). 

Ethereum 2.0’s beacon chain genesis is set to launch at the earliest possible launch date of December 1st. Everyone can still participate in this “historic moment” in blockchain. It is not too late to stake your ETH, but you have to choose between different options. While staking on Ethereum will lock up your ETH, you can easily stake on StakeHound, not giving up the control over your funds.

Staking with Ethereum 2.0

The Ethereum network is the blockchain’s biggest network to transition to Proof-of-Stake (PoS) from Proof-of-Work (PoW). This was confirmed following the transfer of 524,288 Ether (ETH) from 16,384 validators into the Eth 2.0 deposit contract, which went live on November 4. Transfers to the deposit contract increased rapidly from 23rd to 24th November 2020, with over 200,000 ETH sent in just 24 hours. This long-awaited transition to ETH 2.0 promises upgrades that will improve the security, scalability, and sustainability of the Ethereum blockchain. While its improvements are promising, most users are left to face a pivotal decision of whether they should stake with ETH 2.0 or not. 

ETH staking requirement and reward slashing

Staking with ETH 2.0 promises users steady staking rewards, including high yield savings. But while the staking returns seem generous, the staking requirements might be too high and restricting for many users. To stake with ETH 2.0, users are required to stake a minimum of 32 ETH, which is currently worth about US $16,000+. Apart from the high entry point, users are expected to lock-up their stake for a minimum of 18 months.

Not only are these staked ETH rendered illiquid, but also users must host their own nodes and infrastructure acting as validators, with a risk of reward slashing. Slashing means that a significant part of the validator’s stake can be removed: up to the entire stake of 32 ETH in the worst-case scenario. Slashing can happen if users are unable to perform their duties as validators properly. On top of all of this, users will not receive any compound interest on their staked returns. 

With all of these limitations, potential stakers on ETH 2.0 are faced with serious questions: would it be best to run your own node and complete all the complicated and tedious tasks of a validator, or should you stake your ETH with a third party staking provider platform that can provide you with more freedom with your stake?

Staking with StakeHound

For users interested in staking with ETH 2.0 but are skeptical about its restrictive nature, staking with an alternative staking platform is the best option. StakeHound is a liquid staking platform that allows users to enjoy all the benefits of staking while removing the restrictions that come with it. 

When staking on ETH 2.0, users must maintain a node, bear an 18-month lock-up period, and provide a minimum of 32 ETH. StakeHound removes these limitations by enabling users to stake without lock-ups and a minimum entry staking requirement. This means that anyone can stake their ETH without needing significant capital. Best of all, users are not required to run their own nodes. 

Apart from these benefits, users who stake on StakeHound will receive stETH, which is a 1:1 wrapped version of the staked ETH, allowing them to freely participate in decentralized finance (DeFi) products and services as lending, borrowing, or yield farming. With this solution, users can now enjoy the high yields of staking, as well as many benefits DeFi has to offer. Overall, StakeHound provides freedom from all the restrictions users are faced when staking with ETH 2.0 while providing additional benefits such as immediate liquidity.

 

Criteria

StakeHound

Ethereum 2.0

No Lock-up period

18 months

No Minimum deposit

32 ETH (US $16,000)

No Reward Slashing

X

No nodes & infrastructure

X

 

Conclusion

Staking with ETH 2.0 has many benefits and promises to provide high yields for users who will participate. However, users have shown skepticism about staking on the ETH2.0 platform because of its restrictive nature and limitations. Alternative liquid staking platforms such as StakeHound allow users to experience all the staking benefits without drawbacks. 

 

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Meet stakedFIRO (stFIRO)

Following official rebranding which former Zcoin (XZC) currently Firo has undertaken StakeHound is updating the logo and ticker for stakedXZC.

Recently Zcoin (XZC) has initiated it’s rebranding with the new name of the coin FIRO. The change has already appeared on the website of the protocol as well as in some of the listing platforms and exchanges. And in its turn StakeHound has made corresponding changes to the stakedXZC token name and logo.

What has changed?

As the changes made by the Zcoin are a pure rebranding involving only the name and the visual appearance of the brand now to be known as FIRO there were no technical upgrades to the smart contract itself. Thus StakeHound applied following changes to the stakedXZC:

  1. Instead of StakedXZC the new name of the token is now stakedFIRO
  2. The shorter abbreviation or ticker of the new token is stFIRO
  3. The new logo of the stakedFIRO (stFIRO) 

You will be able to notice the changes both in our platform and in the coin listing platforms such as CoinMarketCap or Coingecko in the nearest future.

Action from the user required:

There are no mandatory actions required from the user side! However if you wish to see an updated name of the token in your metamask wallet you just take these 2 simple steps:

And you are all set! Happy Trading!

How to maximize your passive income with liquid staking

For those seeking passive income, the yields provided by a traditional bank do not deliver much in the way of returns. This is why an increasing number of users has been shifting to alternatives in the crypto space that allow passive income. Liquid staking is one of these new options that provide yields for users while not locking up their assets. As things are moving fast in the crypto space, it is hard for users to keep up with new products or platforms. This article will help learn about different options that allow earning passive income and guide users on comparing various services.

The emergence of digital assets

When Bitcoin was first introduced, it popularized the concept of being in control of your funds. Bitcoin paved the way for digital assets to be recognized, which allowed newer protocols to spring. These protocols diversified crypto use cases and created new ecosystems, such as the decentralized finance (DeFi) space, built on top of the Ethereum (ETH) network. 

Decentralized Finance (DeFi)

Decentralized finance is the fastest-growing sector in the blockchain space, consisting of various financial products and services built on the blockchain. DeFi uses a combination of tokens, protocols, and smart contracts to provide access to these financial services without the need for a centralized authority. 

DeFi offers a decentralized counterpart to traditional financial services and new ones, including custodial services, collateralized loans, and lending or borrowing. The decentralized nature of these services allows them to be transparent and censorship-resistant. Because it is built on the blockchain, the counterparty risks are significantly reduced. 

Yield farming and passive income in the crypto ecosystem

Users can profit from these new DeFi services as it enables them to participate in yield farming or earn passive income in the crypto ecosystem, such as lending crypto assets. Another method used in the blockchain space to leverage on coins and earn passive income is staking. Staking is one way to gain popularity, especially for users looking to maintain the blockchain networks they use. It is the process of actively participating in transaction validation on a Proof-of-Stake (PoS) blockchain.

DeFi and staking are two of the most exponentially growing verticals within the crypto industry. Both allow users to gain passive rewards on crypto holdings. Can these two mutually exclusive verticals be bridged together?

Different liquid staking platforms

Several staking platforms allow users to enjoy the benefits of staking while also exploring the DeFi vertical. Platforms such as Rocket Pool, StaFi, and Stake DAO provide users with StakedTokens, allowing them to participate in the DeFi sector freely. Providing StakedTokens is a common denominator for all of these platforms, but what other services do they offer? 

Apart from allowing users to stake their non ERC-20 tokens and receive StakedTokens, Rocket Pool and StaFi offer no minimum amounts for staking. This provides opportunities for users to enjoy staking even if they only have small amounts of coins. These two platforms do not require any user-run nodes. Rocket Pool took it up a notch and offered its users no minimum lock-up period for staking. Stake DAO doesn’t provide these services, but it allows users to earn compounding staking interest, and StaFi insures all of its tokens. 

But what if you can enjoy all of these services in just one staking platform? 

StakeHound unlimited staking platform

Other platforms offer limited services when it comes to staking; StakeHound offers a lot more. Like others, this staking platform also provides StakedTokens that allow users to earn staking rewards while participating in the DeFi sector. Anyone can stake with StakeHound because there is no minimum entry and no lock-up period for staking. There is no need for user-run nodes, and most of all, users can earn compounding staking interest while their tokens are insured. 

Stay tuned for further info on ETH staking on StakeHound in the next few days. Users will be able to purchase stETH with their ETH. This stETH can then be used to participate in DeFi activities. This indeed raises the bar for staking platforms. More coins will also follow soon after.

 

Here’s a table comparing StakeHound vs. other offerings:

 

Criteria

StakeHound

Rocket Pool

StaFi

Stake DAO

Staked Tokens provided upon Staking

No Minimum amounts for staking

n/a

No user-run nodes

n/a

No Minimum lock-up period for staking

X

Compounding Staking interest

X n/a

Insured tokens

no n/a

Conclusion

Without platforms like StakeHound, users who want to participate in both staking and DeFi verticals would need a substantial amount of coins. Thankfully, staking platforms allow users to experience both sectors without needing a huge capital investment. But not all platforms offer the same services. With StakeHound, users can now take advantage of the best of both worlds while enjoying its variety of offerings. 

 

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Image credit: Pixabay

 

Wrap, earn & stay safe – let your assets securely work for you

Wrapped assets are becoming increasingly popular in the Blockchain ecosystem because they are able to generate many new yield opportunities and use cases for crypto holders. But there are different ways of wrapping assets, some of them assuring more legal and technical security than others. StakeHound is a new service that provides users the best of both worlds: a secure way of wrapping and liquid staking on coins such as Ethereum.

Wrapping is a new original

Simply put, a wrapped token is an asset usually hosted on another Blockchain with a value identical to its underlying asset. Most commonly, these assets can be found on the Ethereum blockchain as an ERC-20 token.

As users are shifting away from centralized exchanges (CEX) to decentralized exchanges (DEX) built on Ethereum, ERC-20 tokens are key to enable listings and trading on a DEX. The way to bridge the gap for non-ERC-20 tokens is through wrapped tokens. 

From a user perspective, this opens not only the door to decentralized exchanges such as Uniswap but also enables many use cases around decentralized finance (DeFi) such as lending, borrowing, or providing liquidity for all kinds of trading pairs. By wrapping their tokens, users can now gain exposure to various services available on the Ethereum blockchain. 

Centralized vs. Decentralized wrapping

An important question to ask here is whether these wrapped tokens are safe. But what are actually the options here? 

There are two main ways of wrapping tokens: wrapping through a centralized institution or through a decentralized method. WBTC or Wrapped Bitcoin is an example of a centralized approach. By wrapping the original Bitcoin through a centralized institution such as Bitgo, users put their tokens with a licensed custodian.

On the other hand, a decentralized method uses smart contracts to verify that the original assets of their wrapped versions exist. Ren Protocol is an example of that. The critical difference between the two is that having a centralized institution as a custodian provides more security and legal protection to users.

Safety First

As we see more and more institutional and retail money flowing into DeFi and specifically into these wrapped assets, we at StakeHound believe that user protection and legal compliance on a global scale is key to building the next generation of financial products.

With StakeHound, users can create wrapped assets that are instantly transferable and can be immediately used in DeFi products and services. Users can soon purchase wrapped assets with their favorite tokens such as ETH, Dash, XZC (Firo), RADIX, or XEM and XYM. The user assets are then put into custody by our institutional-grade custodian partner. StakeHound itself is a Swiss-registered company. 

Wrap and earn yields on your original assets

Once the tokens have been received, StakeHound instantly generates and sends the user a one-to-one ERC-20 representation of their original tokens. The amazing thing for users is the yield options that this allows. 

How is this possible? As StakeHound focuses on wrapping crypto assets with staking options, we can generate yield on the original assets. So, StakeHound stakes the tokens it receives, stakes, and distributes the staking rewards directly to users. This way, the user does not have to do anything. Once every day, the user will simply see an increased token balance in their wallet. 

For the user, this enables a whole new way of earning staking rewards, most notably, because they earn those rewards without locking up their tokens. The staked version generates passive income and can be used at any time, either to trade or to participate in all popular DeFi applications.

For users who are worried about not participating in decentralized finance because of not owning ERC-20 tokens, this innovative technology of wrapping tokens is the answer. With StakeHound, users can now enjoy the benefits of staking without the need to experience the limitations that come with it. But that’s not all. And on top of that, users will also receive HOUND, our native governance token.

Ethereum 2.0 – the perfect use case

With the launch of Ethereum 2.0 in the near future, many users are facing exactly the problem we just described: They can potentially earn yield by staking their ETH, but they have to accept a long lockup period. As their ETH is locked up, it is essentially an illiquid asset in their portfolio. So, for the user, it comes down to choose between yields or liquidity. 

Stakehound solves that problem by giving the user the wrapped version of Ethereum named stETH. This way, the user is receiving a wrapped version of ETH – stETH that is not only liquid; but also secure as it is held by a trustable and regulated custody provider.

 

Follow StakeHound on social media to get updated on the ecosystem development;

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Image credit: Pixabay