Harbor offers Institutional Liquid Staking for Ethereum

Harbor Now Live on Mainnet

Blockdaemon and StakeWise launched Harbor’s mainnet version this week on Jun. 6 Following an earlier March testnet phase.

Harbor provides a staking service that is targeted at tech companies and financial institutions. Unlike other cryptocurrency staking methods, Harbor’s approach gives clients the ability to earn staking rewards without losing access to their funds during a lockup period.

Harbor will first work with Ethereum and accept deposits of its native cryptocurrency token, ETH.

Participants who stake ETH get the derivative Harbor token. They can use the tokens to access permissioned DeFi platforms that allow lending, borrowing, options-writing, and interest-rate swaps.

Harbor also seeks to comply with regulations and be fully secure. Its userbase will include KYC-approved participants. Funds will remain secure through the reduction of insurance, multiple code audits, fully secured smart contract keys, and other security measures.

Blockdaemon founder and CEO Konstantin Richter emphasized Harbor’s unique approach, calling it “the first ETH institutional-grade liquid staking solution available in the market today.”

StakeWise co-founder Kirill Kutakov likewise said that the Harbor’s launch marks the “first time traditional institutions can participate in staking and DeFi on the terms they are accustomed to.”

Liquid stakes are on the rise

Harbor is the only service offering liquid staking. There are many other staking platforms that offer this feature, but there are others. Coinbase Cloud and Figment have backed a liquid staking platform called Alluvial. It was still under development at the time of this writing.

These services offer non-institutional liquid staking. Lido is a DeFi platform that accounts for a significant amount of liquid staking Ethereum. Rocket Pool is also highly-respected.

Harbor is still likely to be a valuable asset due to the amount of money it has received from its operators.

StakeWise claims that it has 50,000 Ethereum ($93 million) in delegated funds. Blockdaemon on the other hand claims to have $11 Billion delegated to its validators.

Get latest news from African Startup ecosystem

Latest stories

You might also like...