We are expanding our activities in the field of blockchain technology to include the second largest blockchain in the world. In the future, our Blockchain Solutions Center will provide infrastructure in cooperation with the StakeWise DAO on the Ethereum network.
The entry into the Ethereum world was made possible by the recent switch of the consensus algorithm from Proof-of-Work to Proof-of-Stake in the Ethereum network (so called “Merge”). The switch was for technical reasons and at the same time reduces the blockchain's energy requirements by more than 99.9%. The switch to Proof-of-Stake laid the foundation for important future scaling improvements to the Ethereum network. A historic milestone in the evolution of the Ethereum network.
In addition, we cooperate with StakeWise. StakeWise offers liquid staking pools, which allow users to keep their ETH tokens without having to operate validator nodes themselves. As a result, the entry barrier for investments in cryptocurrency is lowered.
T-Systems MMS also participates in the governance of StakeWise and has joined the so-called Decentral Autonomous Organization (DAO). In this way, we contribute to transparency and security in the Ethereum network.
After collaborating with Flow, Celo and Polkadot, we are now taking the next decisive step in the blockchain world and are doing pioneering work here with Ethereum. As a node operator, our entry into liquid staking and the close collaboration with a DAO is a novelty for Deutsche Telekom”, says Tobias Jung, Product Manager for Staking at T-Systems MMS.
With the move to Proof-of-Stake, we expect strong demand and significantly increasing capital flows in the Ethereum network. We are therefore pleased that T-Systems MMS, as an infrastructure provider, is giving our protocol more reliability and making the Ethereum ecosystem safer overall”, explains Kirill Kutakov, co-founder of StakeWise.
In the process of staking, cryptocurrencies are used to maintain the blockchain consensus. In other words, the correctness of the transactions is confirmed. For this participation in the functioning of the blockchain, the owners of the cryptocurrency receive a reward, similar to interest rates.
StakeWise is a decentralised application that simplifies ETH staking for individuals and organizations. As a liquid StakeWise platform, staking and reward ETHs enable users to liquidate their Ether tokens at any time or to use them for additional revenue streams in decentralized finance (DeFi).
StakeWise works with node providers such as Blockdaemon, T-Systems MMS, Finoa Consensus Services and others to deliver decentralized staking to more than 4,000 customers. Since its launch in March 2021, the protocol has attracted more than 75,000 ETHs and more than $50 million in liquidity for invested assets, making it the third largest staking protocol on Ethereum.
Visit StakeWise for more information.