India-based cryptocurrency exchange CoinDCX has announced the launch of its new Liqueth (LQTH) token, which will enable users to stake Ether — the native cryptocurrency of the Ethereum blockchain.
- Users will be able to stake ETH on Ethereum 2.0 from a minimum 0.1 ETH. LQTH, an ERC-20 token, will be generated and transferred to stakers at a 1:1 ratio for every ETH staked through CoinDCX, according to a statement shared with Forkast.News.
- One hundred percent of on-chain staking rewards will be distributed to users in Ether, and CoinDCX plans to enable trading in LQTH tokens so that stakers can liquidate their holdings at any time.
- Neeraj Khandelwal, co-founder of CoinDCX said in the statement: “The current deposit contract for ETH 2.0 works only one way — users can only deposit ETH but will not be able to withdraw it until ETH 2.0 is completely launched, which might take a few years. At CoinDCX, we aim to lower the barriers to staking by providing a highly liquid, smart-contract-driven solution. Since the announcement of ETH 2.0, while many aspire to participate in staking, only few hold the minimum required 32 ETH or possess adequate knowledge for setting up the system. Liqueth is designed to propel CoinDCX’s community’s contributions towards the ETH 2.0 upgrade in return for the myriad of benefits that holders and users of LQTH will receive in the future.”
- Eth2 is the much-anticipated upgrade to the Ethereum blockchain that is intended the improve the blockchain’s scalability, security and sustainability as it shifts from a proof-of-work to proof-of-stake consensus mechanism. Eth2 upgrades are taking place progressively. The Beacon Chain upgrade, implemented in December, marked the first of the Eth2 upgrades and brought staking to the Ethereum ecosystem. Ethereum mainnet’s merge with the Beacon Chain’s proof-of-stake system, which will mark the end of proof-of-work Ethereum, is due to take place later this year or in 2022.
- Ethereum’s upcoming London upgrade is expected to take place on Aug. 4 at block 12,965,000.