The latest June 2025 report from OnStaking reveals that Ethereum (ETH) staking has surpassed $50 billion in total value locked (TVL), maintaining a stable annual percentage yield (APY) of 5.2%. This milestone underscores Ethereum’s dominance in the proof-of-stake (PoS) staking market, driven by growing institutional participation and the continued expansion of liquid staking solutions.

As the Ethereum 2.0 network matures, staking has become a cornerstone of decentralized finance (DeFi), offering investors a reliable passive income stream. OnStaking’s data highlights key trends shaping the staking landscape, including rising validator participation, improved yield stability, and increasing adoption of staking derivatives.

Key Findings from OnStaking’s June 2025 Report

1. $50 Billion in ETH Staking Signals Strong Market Confidence

   • Ethereum remains the most staked cryptocurrency, accounting for over 35% of the total PoS market.

   • The $50 billion milestone reflects increased trust in Ethereum’s long-term security and scalability.

   • Institutional investors now contribute nearly 40% of staked ETH, up from 25% in early 2024.

2. Stable 5.2% APY Attracts Long-Term Holders

   • Despite market fluctuations, ETH staking yields have remained steady at around 5.2%, making it a safer alternative to volatile DeFi farming.

   • Compared to traditional savings accounts and bonds, ETH staking offers significantly higher returns with manageable risk.

   • Liquid staking protocols like Lido and Rocket Pool now represent over 45% of all staked ETH, enhancing liquidity for participants.

3. Validator Growth and Decentralization Progress

   • The number of active Ethereum validators has exceeded 1 million, improving network security.

   • Decentralization efforts have reduced the dominance of major staking pools, with no single entity controlling more than 15% of validators.

Why Ethereum Staking Continues to Grow

Several factors contribute to Ethereum’s staking dominance:

• Institutional Adoption: Hedge funds, crypto ETFs, and corporate treasuries are increasingly allocating funds to ETH staking for yield generation.

• Liquid Staking Solutions: Platforms like Lido and Frax Finance allow users to stake ETH while maintaining liquidity via staked derivatives (e.g., stETH).

• Regulatory Clarity: Clearer global staking regulations have reduced uncertainty, encouraging more participation.

Future Outlook for ETH Staking

OnStaking analysts predict:

• ETH staking could reach $80 billion by end of 2025 if current growth rates continue.

• Yield optimization tools will become more sophisticated, helping stakers maximize returns.

• Cross-chain staking integrations may emerge, allowing ETH stakers to earn additional rewards on other PoS networks.

Conclusion

Ethereum staking’s $50 billion milestone and stable 5.2% yield highlight its growing role in the global crypto economy. With rising institutional interest and improved staking infrastructure, ETH remains the top choice for passive income in blockchain.