One thing that is very sure across the financial ecosystem is that the surge in digital assets’ adoption is very evident. From small scale retail traders to institutional high scale investors, various parties have been moving into the digital asset sector. This can be buttressed by several on-chain analysis which has shown that the specific price of digital assets has been influenced by the vast number of people entering their network.
While retail investors are still the major constituents of the crypto sector, institutional investors are just making their foray into the industry, contributing their quota to the number of assets bought. To further increase institutional interest in the crypto sector, Fireblocks has announced that it would allow them to stake their assets.
The new feature was birthed due to growing institutional demand
According to the company, this new development is coming off the back of various announcements by institutional investors, and they are trying to give them something that will benefit them. It also noted that it has been working on making institutional participation successful across all digital asset networks over the years since it was established. With the company already recording remarkable success in the decentralized finance sector, it has shifted its focus to the profit promising staking.
In its statement, Fireblocks says its new staking services would only be open to institutional investors as they would have the opportunity to stake using Ethereum 2.0, Polkadot, and Tezos. However, experts have noted that Fireblocks could be on the way for another successful venture because it boasts many popular institutional investors.
With Revolut and Celsius already two of the crop of institutional investors that the firm possesses, it would be hoping to woo other investors to experience the new staking feature. To make this achievable, Fireblocks also mentioned that seasoned staking companies, Staked and Blockdaemon, would be assisting in its bid to provide staking services to a broader institutional reach.
Investors open to earn 5% to 15% annually
Giving his review of the new feature, the CEO of the digital asset security platform, Michael Shaulov, has mentioned that they are trying to use the feature to accommodate the growing demand for crypto by institutional entities. He also said that many of their customers currently have Bitcoin in their holdings while a small part holds other digital assets.
Even though the small population that holds other assets is not too much, Michael mentioned that they have digital assets worth $1 billion, including Ethereum, Polkadot, and Tezos. Giving institutional investors more reasons to invest in their new program, the CEO also mentioned that they would be adequately rewarded with profit ranging from 5% to 15% if they eventually choose to lock their funds with the platform.
The firm also mentioned that its investors would also be in charge of their funds, holding it in their wallet, MPC. With the usage of the MPC wallets, the investors would monitor their assets in real-time and be in charge of their holdings.