JPMorgan, the world’s biggest investment bank, is now changing its tone on crypto. The bank that had been skeptical of cryptos is now embracing them. The bank has issued a statement in favour of staking crypto, specifically the upcoming ETH 2.0.
Ther US based bank says that crypto staking makes cryptocurrency an attractive asset class. The bank thinks staking can bring major returns to institutional and retail investors. The report is titled A Primer on Staking -The Fast Growing Opportunity for Cryptocurrency Intermediaries and Their Clients.”
Proof of Stake the de Facto Leader?
The bank has been singing praises for Proof of Stake in the report. Owing to its energy efficiency as well as the returns it generates. The ETH 2.0 launch is expected to speed up PoS’s acceptance and grow its $40 billion market cap by 2025.
The report says:
“We estimate that staking is currently a $9 billion business for the crypto economy, will grow to $20 billion following the Ethereum merge, and could get to $40 billion by 2025 should proof of stake grow to the dominant protocol,”
The report also talked about staking’s eventual effect on exchanges. The report suggested that the crypto exchanges will earn a lot from staking. Giving the example of Coinbase the report suggested the revenue may climb $500 million for Coinbase by 2025.
The report also predicted a rise in other PoS crypto values. Like Cardano and Polkadot amongst others.
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