• Ethereum stakers benefited from the Merge in Q4 2020, as their returns improved from 1% to 6%.
• Eigen Layer is a service that allows ETH stakers to secure multiple services with initial capital.
• At press time, 531,653 validators had staked their ETH holdings and the number of non-zero addresses on Ethereum reached an all-time high of 94.83 million.

Ethereum Stakers Benefit From The Merge

The Ethereum [ETH] merge had a positive impact on staking returns. According to Messari, this led to an increase in real staking returns from 1% in Q3 to 6% in Q4 of last year. This was mainly due to a decrease in net inflation from 4% to 0%.

Eigen Layer Allows ETH Stakers To Secure Multiple Services

The Eigen Layer is a restaking primitive that allows ETH stakers to secure additional networks, securing multiple services with the same initial capital. Normally, once ETH is staked it cannot be used for other functions, but this could change with the Eigen Layer.

Staking Rewards Reach All-Time High

At press time there were 531,653 validators that had staked their ETH holdings. The overall revenue generated by these validators reached a value of $2.02 billion at press time according to Staking Rewards – an increase of 34.22% over the last month. Furthermore, the number of non-zero addresses on Ethereum reached an all-time high at 94.83 million addresses according to Glassnode.

MVRV Ratio Suggests Low Selling Pressure

Despite the increase in activity, Ethereum’s overall transaction volume declined significantly – suggesting many new addresses are not selling their ETH holdings yet. According to Santiment’s MVRV ratio which measures short/long term holders‘ profits suggests low selling pressure as most holders wouldn’t make huge profits if they sold their ETH at press time.


The Ethereum [ETH] merge had a positive impact on its stakers who saw improved returns and more reasons for them to stake their ETH tokens through services such as Eigen Layer which allow users to secure multiple networks with one initial capital investment. Despite increased activity and address numbers reaching an all-time high – transaction volumes have decreased showing many new address holders aren’t selling yet and Santiment’s MVRV ratio also indicates low selling pressure amongst current holders meaning good news for Ethereum in the long run