Decentralized and noncustodial wallet services provider Metamask has emerged as one of the dominant supporters of the Ethereum proof-of-stake (PoS) protocol. According to an insight shared by Lookonchain, addresses connected to the wallet have staked a total of 62,240 ETH tokens worth approximately $114 million at the time of writing.
The staked figure places Metamask among the top Ethereum stakers post-Shapella upgrade, at a time when many are unstaking their locked tokens. Staking is a network activity that enables anyone to lock their tokens in a bid to empower validators operating on the network. For their roles, stakers are rewarded with ETH tokens.
That Metamask is backing Ethereum does not come as a surprise considering its parent company, ConsenSys, has a very strong tie to the blockchain protocol. ConsenSys founder Joseph Lubin is one of the founders of the Ethereum protocol, thus making the staking endeavor a more natural move for the wallet app.
The Shapella upgrade ushered in a new era where stakers can easily unstake and withdraw their Ethereum tokens. The service offers an allowance that makes it relatively easy to participate for both crypto-native start-ups and even entities in the broader financial ecosystem.
Ethereum price outlook
The reported staking activity has not stirred a bullish move in the price of Ethereum, which is changing hands at $1,824.81, down by 1.45% over the past 24 hours and by more than 13.69% in the trailing seven-day period.
While the Metamask staking move may not cause a shift in the price of the asset, it can help drive confidence among prospective stakers to do the same.
Should the staked ETH volume grow, the circulating supply of the digital currency will plummet, and should demand remain elevated, we may see the price of the asset grow to a new high in the near term.