Ethereum staking has achieved a historic milestone with over 35 million ETH tokens now locked in staking contracts, representing 28.3% of the cryptocurrency’s total supply. This record participation signals strong long-term confidence from investors and reinforces network security.
The surge follows regulatory clarity from the U.S. Securities and Exchange Commission, which recently confirmed that certain staking activities do not constitute securities offerings. This reduced uncertainty has accelerated adoption among both retail and institutional participants.
Lido dominates the liquid staking sector with a 25% market share of staked ETH, while major exchanges including Binance and Coinbase hold substantial stakes. Growing institutional involvement through liquid staking protocols is enhancing network security but simultaneously raising concerns about potential centralization risks.
The increased staking activity reduces Ethereum’s liquid supply, strengthening its proof-of-stake consensus mechanism. This development supports the network’s ongoing transition while providing greater economic security against potential attacks.