Highlights
This blog is about the ETH Staking update on Binance web version. The updated version of the app is scheduled to launch in the first quarter of 2024.
Enjoy the ease of Binance's enhanced ETH staking, including direct WBETH allocation and streamlined one-step staking and redemption features.
Easily explore your rewards with Binance's innovative automated WBETH reward history, which revolutionizes the way you track and observe staking returns.
Adopt the updated Binance ETH Staking and access formidable security, transparent trading, and versatile WBETH applications for an unmatched staking experience.
Unlock the full potential of Ethereum staking with Binance's latest revamp – simpler, more transparent, and feature-rich for crypto enthusiasts of all levels.
In a major development for Ethereum enthusiasts, we are pleased to announce our latest evolution in cryptocurrency staking: the renewal of Binance ETH Staking. This improvement responds to the needs of our community and combines ease of use, transparency and a wide variety of utilities and opportunities. While we implement these changes, the goal of this blog is to address any questions you may have and make your ETH staking experience as easy as possible.
Introduction to Binance ETH Staking
Welcome to the world of ether staking on Binance! Whether you are new to the world of cryptocurrencies or an experienced investor, understanding ETH staking in detail is crucial in the ever-evolving cryptocurrency landscape. Read on for this guide to Binance ETH Staking, detailing what it is, how you can participate, and what rewards you can expect in return.
What is Binance ETH Staking?
ETH Staking on Binance is a service that allows users to stake their ether (ETH) tokens to support the operations of the Ethereum network. By staking ETH, users contribute to the security and efficiency of the network, thus playing a fundamental role in its Proof of Stake (PoS) consensus mechanism. Unlike the Proof of Work (PoW) mechanism, where miners solve complex mathematical problems, PoS relies on users staking their ETH to validate transactions and create new blocks. In exchange for their contribution, stakers receive rewards in the form of additional ETH.
How to Participate in Binance ETH Staking: A Step-by-Step Guide
Participating in ETH Staking on Binance is simple and accessible, even for those who are new to staking.
1. Sign in to your Binance account: Start by signing in to your account. If you don't have one, you'll need to create one first.
2. Go to ETH Staking: Go to the “Earn” section and look for the ETH Staking option.
3. Stake ETH: Choose the amount of ETH you want to stake. Binance offers a low barrier to entry by allowing you to stake as little as 0.0001 ETH.
4. Receive WBETH: Once you have staked your ETH, you will receive Wrapped Beacon ETH (WBETH) as a tokenized representation of your staked ETH, and accumulated rewards.
What you get in return: Earn staking rewards
The Binance platform is designed with user experience in mind, ensuring a smooth and hassle-free staking process. Staking ETH on Binance is not only about supporting the Ethereum network, but also about the rewards. By staking your ETH, you earn rewards over time. These rewards are reflected in the value of WBETH, which appreciates as the rewards accumulate. Holding WBETH means you earn staking rewards consistently.
The value of WBETH increases relative to ETH, as it represents your staked ETH plus accumulated rewards. Other advantages include the fact that Binance ETH Staking offers flexibility in repaying your staked ETH. You can convert your WBETH back to ETH at any time. Furthermore, WBETH opens the doors to various DeFi applications and therefore improves your experience beyond staking.
WHAT vs. WHAT: la evolution del Staking de ETH de Binance
As part of the evolution of our ETH Staking product, you may have noticed that users who stake ETH will now directly receive WBETH (Wrapped Beacon ETH) instead of BETH (Beacon ETH). This represents a fundamental change in the way staking rewards and token utility are approached on the platform. Let's discuss what BETH and WBETH are, and the implications of this update.
What is BETH?
BETH, or Beacon ETH, is essentially a tokenized form of ether staked on the Beacon Chain, Ethereum's Proof of Stake (PoS) blockchain. When users staked ETH on Binance in the past, they received BETH as representation of their staked assets. BETH allowed users to indirectly participate in Ethereum's PoS mechanism. The characteristics of BETH are as follows:
Direct representation: 1 BETH is equivalent to 1 ETH staked on the Beacon Chain.
Reward Distribution: Staking rewards are paid in BETH, directly to the user's Spot wallet.
Limited utility: Used mostly within the Binance ecosystem.
What is WBETH?
With this renewal, Binance has moved on to offering WBETH as the main staking token. WBETH stands for Wrapped Beacon ETH and represents a more flexible and liquid form of staked ETH along with its accumulated rewards. The characteristics of WBETH are as follows:
Improved Liquidity: WBETH is more liquid and more suitable for trading compared to BETH.
Value Accumulation: 1 WBETH represents 1 ETH staked plus staking rewards accumulated as of 2023/04/27 08:00 (UTC), the date WBETH was introduced into Binance ETH Staking. This means that its value grows over time.
More varied uses – It can be used in various DeFi applications and on different networks, improving its usefulness outside of Binance.
The transition from BETH to WBETH as the main token received when staking ETH on Binance marks a significant development. The change reflects the focus on providing users with greater liquidity and flexibility in their staking activities. In the following sections, we'll explore how the broader renovation we've done affects you and the exciting opportunities ahead.
ETH Staking Optimization: Stake and Refund in One Step
Previously, the process to obtain and redeem WBETH included several steps and could be confusing, especially for new users. Staking ETH to receive WBETH involved converting ETH to BETH and then wrapping BETH to WBETH. The refund process was similarly divided into stages, as it required unwrapping WBETH to BETH and then refunding BETH in exchange for ETH. This often confused users as they mistakenly expected to receive WBETH after staking their ETH.
In response to this, we implemented a significant improvement – a 1-step staking and refund process for ETH and WBETH when using Binance ETH Staking. Users can now stake ETH to directly receive WBETH, and vice versa, without the additional step of handling BETH. This simplified process reduces complexity, making it easier and more efficient for users.
Simplifying the process greatly improves the overall user experience and makes ETH staking more accessible, especially for beginners. Eliminating the need to create BETH streamlines operations and reduces the chance of user error. Those who hold BETH will still be able to wrap their holdings into WBETH and ensure they are not negatively affected.
We revolutionized rewards tracking
Prior to Binance's ETH Staking renewal, users had to manually calculate their staking rewards, a process prone to errors and inconveniences. The formula required users to be meticulous in tracking conversion rates and their holdings over time. Manual calculations often led to errors, affecting financial planning and record-keeping, and were particularly cumbersome for institutional clients requiring accurate records of daily earnings.
To address this, we implemented the WBETH Rewards History feature, which transforms the way users track the rewards they earned. This automated reward tracking feature gives users a daily breakdown of their ETH staking compound rewards. Users can now easily view their rewards history, eliminating the need for manual calculations and record keeping. Automated calculations minimize the risk of errors and provide you with reliable and accurate reward data.
We improve transparency and security
Previously, some users raised concerns regarding transparency and security related to the ETH staking process. These concerns ranged from the need to access greater visibility into staking operations, including more information on total staked value and historical APR data, to requests for smart contract audit reports.
We have responded to these concerns with a series of improvements that strengthen transparency and security in our ETH Staking service. Binance now offers detailed information on the total amount of ETH staked using its validator nodes, along with a history of the Annual Percentage Rate (APR). This gives users a clear view of the staking landscape.
WBETH smart contract addresses are also now more accessible to the public, as are comprehensive audit reports. These improvements in transparency and security help generate and reinforce trust among users, particularly among those who care about the security of their assets.
We explore the versatile utilities of WBETH
One of the key aspects of Binance's ETH Staking revamp is the emphasis on educating users about the different utilities of WBETH. Recognizing that a lack of information can hinder adoption, we have provided clear and concise information on WBETH use cases to address this issue.
Previously, users expressed the need to learn more about what WBETH can be used for. Without complete information, users were not fully aware of the possible uses and benefits of the token. This lack of understanding led to WBETH not being fully leveraged, especially in regards to its applications in DeFi and other cryptocurrency-related activities.
We have responded to this need by creating a consolidated section on the ETH Staking homepage, detailing the various use cases for WBETH. This information now available tells you everything you need to know about WBETH, from its basic functionalities to its advanced applications, thus allowing users to quickly discover the benefits of WBETH and take advantage of them.
Diversos casos de uso de WBETH
WBETH has several uses. These are a few examples, and there is potential for more of them in the future!
Integration into DeFi: WBETH can be used in various decentralized finance (DeFi) protocols, allowing users to participate in liquidity farming, make loans, apply for loans, and much more.
Trading and Investments: Users can trade WBETH on the Binance Spot market and use it as collateral in Margin and Futures trading.
Lending and capital efficiency: WBETH serves as effective collateral for Binance Loans and VIP Loans. This aspect significantly increases users' capital efficiency by allowing them to earn ETH staking rewards while also borrowing funds for other strategies.
Greater liquidity and flexibility: WBETH's liquidity makes it an attractive option for a variety of financial strategies and offers users more flexibility compared to other staking methods.
These examples highlight just some of WBETH's capabilities. We look forward to seeing even more innovative use cases that continue to integrate WBETH into the dynamic world of digital finance.
Conclusions
Binance's ETH Staking renewal is more than just a platform update; It is a step forward in making cryptocurrency staking accessible, profitable and secure for everyone. From the convenience of one-step staking to enhanced rewards visibility and formidable security measures, we are committed to offering you an outstanding staking experience. Every aspect of this revamp, from the seamless process of staking ETH to the visible appreciation of WBETH, has been designed with your experience in mind.
Our goal is to ensure that both new and experienced stakers find value and ease in navigating the cryptocurrency staking landscape. If you are new to cryptocurrency staking or have ever hesitated to participate in the past, now is the perfect time to get started. Join us in the evolving Ethereum ecosystem and explore the endless opportunities offered by WBETH. Start earning daily returns with ease, confidence and the assurance that you are part of a safe, profitable and simple staking service. Because staking is better with Binance.
Frequent questions
I have some BETH. Where can I wrap BETH to WBETH?
Every time BETH holders access the ETH Staking page, they will be greeted with a pop-up window. If they click on the box inside the pop-up window, this will guide them to the wrapping portal:
BETH holders can also access the portal by clicking on the Wrapping WBETH banner:
Please note that the wrapping function only applies to BETH holders. Users who stake ETH from now on will receive WBETH directly into their Spot wallet.
I have some BETH. Where can I refund them?
Users can go to the ETH Staking page, click on the [Refund] button and submit the request through the portal. BETH holders will be able to see this option only after logging in.
Where can I unwrap WBETH?
It is no longer necessary to unwrap WBETH. Instead, users can redeem their WBETH for ETH in 1 step:
You might also be interested…
Binance ETH Staking – FAQ
What is WBETH?
Casos de uso de WHAT
Disclaimer: Digital asset prices can be volatile. The value of your investment could increase or decrease, and you may not get back the amount invested. Only you are responsible for your investment decisions. Binance is not responsible for any losses you may incur. The APR is an estimate of the rewards you will earn in cryptocurrency during the selected period. It does not show actual or projected returns or yields in any fiat currency. The APR is adjusted daily and estimated rewards may be different from actual rewards generated. This is not financial advice. For more information, please see our Terms of Use and Risk Warning.
