Finoa partners with Stakewise and invests in liquid staking infrastructure
We are excited to announce that we have partnered with Stakewise to become an operator of their Ethereum liquid staking platform. Through this partnership, Finoa will run validator nodes on the Ethereum mainnet and the Gnosis Chain, demonstrating our support for the Ethereum network and the broader crypto ecosystem.
As part of these developments, we have also established a separate entity, Finoa Consensus Services GmbH, to support the new infrastructure. Led by Dr. Andreas Dittrich, the new subsidiary aims to make it simple for institutional investors to improve their capital efficiency and increase the yield on their investments through staking on the Stakewise platform.
The news comes soon after a Finoa study showed that $13.1bn AuM in ETH single-asset ETPs is sitting dormant, earning no yield. This represents a big opportunity for investors who want to put measures in place to counter natural inflation on PoS networks, as well as annual fees paid to providers.
Commenting on the partnership, Co-Founder & Co-CEO Christopher May said:
"Our partnership with Stakewise represents our commitment to fully support institutional liquid staking as a custodian, and we are pleased to be able to offer staking in the largest industry in the world. Liquid staking is becoming ever more important, and our investment in the Ethereum ecosystem and infrastructure demonstrates our ability to keep offering the most capital-efficient products to our institutional clients."
Investors in crypto assets who have until now relied on price appreciation alone are able to participate in liquid staking on Stakewise using the Ethereum validators nodes provided by Finoa Consensus Services. Through liquid staking, holders can transfer and use their staked assets, increasing the capital efficiency of assets under management.
"We strive to make crypto assets as productive as possible. This is why we are providing the infrastructure for institutions to get a yield from the ecosystem they have already committed to long-term", added Dr. Andreas Dittrich, Managing Director, Finoa Consensus Services.
"For investors like family offices, venture capital funds, crypto hedge funds, or corporates and high-net-worth-individuals that we see holding assets longer-term, it’s imperative that there continues to be a clear business case for investing. Staking rewards provide these investors with significant benefits that make investments work harder for them. At the same time, Stakewise keeps their assets liquid", he continued.