Cake Defi, a Singapore based DeFI giant, now allows you to stake Ethereum and earn 5% APY via Singapore based nodes in a move towards further decentralisation. Cake Defi has over a million active users and boasts over $1 billion managed in customer assets.
Some of the key features of Cake DeFi
- Cake DeFi will offer 5% staking yield on Ethereum via nodes based in Singapore, enhancing network decentralization.
- Unstaking prior to the Shanghai upgrade will be possible via a token tradable on the open market
- Providing confidence to developers and investors in the region, Cake DeFi’s Ethereum nodes will support the spirit of decentralization and help reduce the concentration of nodes in North America and Europe
Users of Cake DeFi‘s ETH Staking will be able to earn returns of about 5% every year. Cake DeFi‘s ETH staking profits will also be automatically compounded every 12 hours to produce noticeably higher returns than non-compounding ETH staking.A coin that can be traded on the open market will soon allow Cake DeFi users to unstake their ETH holdings without having to wait for the Shanghai upgrade.
Ethereum switched from a proof-of-work to a proof-of-stake system with the most recent Ethereum Merge on September 15th. The “Beacon Chain” was consequently incorporated into the Ethereum main chain and now calls for nodes, or validators, to stake their cryptocurrency into a long-term deposit contract.
Please welcome the latest addition to our product line: #Ethereum Staking
It lets you earn rewards from your ETH holdings with industry-leading returns of approximately 5% through Singapore-based nodes. https://t.co/1NCEJihWmQ pic.twitter.com/UbFIbv9C6y
— Cake DeFi (@cakedefi) October 6, 2022
More than 50% of the stake on Ethereum’s proof of stake network is controlled by a small number of staking service providers, namely Lido, Coinbase, Kraken and Binance. Most of these nodes are concentrated in Europe and the US, making the Ethereum network highly centralized.
With this new launch, Cake DeFi made a move towards further decentralisation. Not only it offers 5% staking annual yield, but also hosts its nodes in Singapore rather than in the US.
By doing so, Cake DeFi is encouraging the spirit of decentralization and helps to reduce the concentration of these nodes in the US and Europe. In addition to decentralization, it also enables confidence in developers and investors.
Dr. Julian Hosp, Co-Founder and CEO of Cake DeFi, also said:
ETH Staking is the latest addition to our popular Staking service. We made a deliberate decision to host our own nodes in Singapore. At the moment, Ethereum nodes are mostly concentrated in North America and Europe. Hosting our own Singapore-based nodes will boost the confidence of investors and developers in the region and support the spirit of decentralization. Many exchanges and platforms are not offering ETH unstaking until the Shanghai upgrade but it was important for us to provide liquidity to our ETH stakers which will be achieved via an open market.
Post the announcement, Cake Defi website is seeing a surge in traffic, Julian Hosp said in his latest twitter post.
Our @cakedefi website is seeing massive traffic with the #Ethereum Staking launch. If you are having issues with logging in or staking ETH on the webapp, use the mobile app in the meantime!! Team is on it full on!!
— Dr. Julian Hosp (@julianhosp) October 6, 2022
Cake DeFi is a highly creative, totally transparent finance platform that aims to give consumers access to DeFi (decentralized financial services) and apps by letting them profit from their digital and crypto assets. It is governed by Singaporean laws and regulations because it is registered and operated in Singapore.
Cake DeFi strives to provide simple, hassle-free education about crypto and DeFi to individuals all over the world by educating and allowing its customers to fully utilize the potential of DeFi.
According to its most recent Q2 2022 Transparency Report, Cake DeFi has seen incredible growth and had its best quarter ever in terms of client growth, funded accounts, and payouts. Despite the bleak market forecast, it just reached the one million client mark and paid out a total of US$375 million in customer awards as of the end of Q2 2022.
By developing a safe and secure one-stop platform that allows customers to quickly access DeFi services including staking, lending, borrowing, and liquidity mining, Cake DeFi was able to reach these milestones.