It's easy to see why PoS blockchains are popular: The ability to put tokens to work - verifying transactions and earning a reward in the process - allows investors to earn a passive return while improving the security of the blockchain network in the one they had invested.
As blockchains progress in an incredible way, financial products and services available to institutional investors struggle to keep up. Of the 70 publicly traded cryptocurrency products (ETPs) on the market, for example, 24 represent ownership of staking tokens, but only three get a return from it. ETP holders not only miss out on staking performance, they pay, on average, between 1.8% and 2.3% in management fees.
However, this lack of participation in ETPs is understandable, as the participation mechanism requires tokens to be locked for periods that can range from days to weeks, adding complexity to a product intended to be easily tradable on exchanges. .
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