Ethereum's validator exit queue has finally cleared after a four-month bottleneck caused by Kiln's withdrawal of its validator fleet following a security breach. This backlog had delayed staking withdrawals, impacting Ethereum staking protocols and causing liquid staking tokens to trade at a discount. With the queue now cleared, these tokens are less likely to be discounted, and the DeFi ecosystem benefits from more efficient trading.
The exit queue, a security feature limiting Ether withdrawal speed, is crucial for maintaining network stability. It prevents rapid validator changes, which could expose the network to attacks. The cleared queue is timely for Rocket Pool, which is preparing for its Saturn upgrade. Meanwhile, staking inflows have surged, with new validators facing a 30-day wait to join the network. BitMine has significantly contributed to this increase, staking 936,512 Ether since December 26, as part of its goal to stake 5% of the total Ether supply.
Ethereum Validator Exit Queue Clears After Four-Month Delay
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