Ethereum News

Staking tech firm Kiln closes $17.8 million, eyes future ETH staking demand

Staking tech firm Kiln closes $17.8 million, eyes future ETH staking demand


Staking technology provider Kiln has closed out a $17.8 million fundraising round featuring the likes of Consensys and Kraken Ventures. The company is eyeing ‘exponential’ growth in demand for ETH staking services from institutional clients in the future.

Kiln is a software-as-a-service provider focused on enterprise-grade staking solutions across 16 different proof-of-stake blockchain protocols. Its infrastructure enables users to stake on-chain while maintaining asset custody on separate solutions as well as cloud platforms and validator clients.

An announcement shared with Cointelegraph outlined growing institutionalization of cryptocurrency staking as a trend in the market. According to Kiln, this is driving the need for ‘validator-agnostic APIs and services’ to allow for multi-provider staking.

Cointelegraph spoke to Kiln co-founder and CEO Laszlo Szabo to unpack the need for multi-faceted staking services. Major exchanges and service providers like Coinbase, Ledger and Binance are serving an increasingly institutionalized staking market according to Szabo and need to interact with multiple staking providers to spread operational risk:

“The legacy solution is to manage relationships with staking providers independently, leaving the product and engineering teams of the leading companies with the task of integrating different staking providers into their workflows.”

Integrating new protocols for staking now requires custom staking and unstaking transactions for each individual protocol format, as well as running data rewards collection infrastructure and integrating custom custodian APIs.

This is a primary reason for Kiln creating a suite of products enabling wallets, custodians, and exchanges to handle multi-provider staking.

Ethereum’s recent transition to proof-of-stake (PoS) consensus also leads Sazbo to believe that demand for ETH staking will ‘grow exponentially’. His firm cited data from other PoS protocols which see between 50-80 percent…

Click Here to Read the Full Original Article at Cointelegraph.com News…