The Layer 2 network Mantle has staked 40,000 ether (ETH) on the staking protocol Lido as part of its new treasury management strategy. The staked ether (stETH) is worth around $66 million and will generate a yield of 4.1% APR at current rates.
On-chain data from Etherscan shows 40k ETHs were staked in two different transactions that can be verified using these links: transaction 1, and Transaction 2.
The move comes after Mantle introduced a new governing body for Treasury management earlier this month. The community-led body will now have the right to decide strategies relating to Mantle’s treasury, which stands at over $3.2 billion.
As of now, 40k ETH has been used to create rewards bearing wstETH, which are currently held in Mantle Treasury, awaiting the next steps by the community.
Mantle hopes to continue working with Lido Finance to bring wstETH and other ETH-staking applications to the Mantle Ecosystem in the near future.
The decision to stake Mantle’s ETH is a vote of confidence in the long-term prospects of the Ethereum network. Staking helps secure the network and earn rewards for participants.
It is also a sign that Mantle is committed to providing its community with a sustainable source of income. The yield generated from staking will be used to fund development, growth, and rewards for community members.
A maximum of 200,000 ETH has been approved for staking, with 20% allocated to Lido. The remaining 80% will be staked on other protocols, including Rocket Pool and StakeWise
The move by Mantle is a positive development for the Ethereum ecosystem. It shows that there is growing interest in staking ETH, and that layer 2 networks are playing an increasingly important role in the DeFi space.
