The recent switch to a Proof-of-Stake mechanism means Ethereum is stakeable and holders can now stake their tokens to earn passive income.
The first phase of Ethereum 2 started on December 1, 2020, while its full release rolled out in September 2022.
Ethereum 2 is an upgrade to the Ethereum blockchain that aims to refine and improve the blockchain’s scalability and security. The upgrade comes with a shift in ETH’s mining pool (Proof-of-Stake) from (Proof-of-Work).
How to stake Ethereum?
To stake Ethereum, you will need to hold your tokens in a digital wallet. You can purchase Ethereum from popular centralized exchanges like Binance and Coinbase.
In addition, you must also live in a jurisdiction that’s eligible for Ethereum staking, and complete document and identity verification.
It’s also important to read and understand the terms and conditions associated with Ethereum staking. For example, if you intend to use an exchange like Coinbase, keep in mind that only individual accounts are eligible to stake Ethereum, and not business accounts.