Binance has announced that it will be rebranding its ETH 2.0 staking service to simply ETH staking, effective from 2023-04-27 08:00 (UTC). In addition, the company will be introducing a new liquid staking token called Wrapped Beacon ETH (WBETH). According to the announcement, 1 WBETH will represent 1 BETH and the total staking rewards accrued by the BETH token on ETH staking after 2023-04-27 08:00 (UTC).
WBETH is designed to allow users to participate in DeFi projects outside Binance while maintaining their eligibility to receive corresponding ETH staking rewards accrued. Starting from 2023-04-27 08:00 (UTC), users will be able to wrap their BETH tokens to WBETH and unwrap their WBETH to BETH tokens on the ETH staking page at zero fees. It is important to note that while the initial conversion rate between BETH and WBETH is 1:1 at 2023-04-27 08:00 (UTC), this is subject to change, as the value of WBETH will increase with time in accordance with the daily APR on ETH staking.
The key difference between BETH and WBETH is that BETH represents 1 staked ETH, while WBETH represents 1 BETH plus the staking rewards accrued by the BETH token on ETH staking after 2023-04-27 08:00 (UTC). Users will receive ETH staking rewards from the Ethereum network in the form of BETH, based on the BETH holdings in their spot wallets. On the other hand, each WBETH token will accrue ETH staking rewards from the Ethereum network daily, in accordance with the daily APR on the ETH staking service. Users can unwrap their WBETH tokens to redeem the corresponding ETH staking rewards in the form of BETH, based on the daily BETH/WBETH conversion rate.
Binance users can obtain BETH or WBETH by staking ETH on the Binance ETH staking page, purchasing BETH from the ETH/BETH or BETH/USDT liquidity pool on Binance Swap Farming, purchasing BETH by completing trades on the BETH/BUSD, BETH/ETH, or BETH/USDT trading pairs on Binance Spot, wrapping BETH to WBETH on Binance at zero fees, or minting WBETH directly using ETH on BNB Smart Chain and the Ethereum network.
WBETH will be available on Binance for deposits and withdrawals from 2023-04-27 at 08:00 (UTC). However, withdrawals for BETH will be ceased from 2023-04-26 08:00 (UTC), while deposits for BETH will remain open. It is important to note that ETH staking participants will be able to redeem ETH with their BETH tokens until further notice.
Read more:
- Binance Allows ETH 2.0 Staking Participants To Redeem BETH For ETH At A 1:1 Ratio From 2023-04-19
- Validators Withdraw Over 21k ETH Just 2 Hours After Ethereum’s Shanghai Upgrade