Ethereum, with 450 billion yen worth of staking awaiting release, analyzes the background of the potential increase in sell wall.

## The amount of ETH waiting for staking release has increased.

As of the 14th, the number of ETH held by validators waiting to exit the network on the blockchain of the cryptocurrency (virtual currency) Ethereum (ETH) is on the rise.

Even if you stop staking and exit the network, it does not necessarily mean that the relevant ETH will be immediately sold. It may be restaked or used for operations in DeFi (Decentralized Finance). However, there is a difference in the amount of ETH waiting for staking, which is attracting attention.

On the Ethereum blockchain, validators have certain limits on the amount of processing when participating in staking and when exiting the network. This mechanism aims to maintain the stability of the network.

The image below shows the data for the “Ethereum Validator Queue”. As of the 14th, the quantity waiting to exit the network is 671,093 ETH (equivalent to 450 billion yen). It had been decreasing since July 26, but has turned to an increase again starting from August 7.

Source: Ethereum Validator Queue

On the other hand, the amount of ETH waiting to participate in the network has now turned upward, with a total of 105,618 ETH (equivalent to 70.9 billion yen) as of the 14th.

The price of ETH is on the rise due to increased purchases by companies and regulatory developments such as the enactment of the “Genius Law” in the United States. As of the time of writing this article, it has risen more than 18% compared to the previous week and more than 47% compared to the previous month.

What is the Genius Law?

A framework to regulate stablecoins for payments in the United States. It has already been signed by President Trump, and the legalization has been decided.

Background of the increase in exit wait

The reason for the increasing trend of the amount of ETH waiting to exit is not clear, but various analyses are being conducted on social media and other platforms.

First, there is a possibility of selling to secure profits as the ETH price approaches its all-time high in dollar terms. However, limiting the processing volume of validator exits can ultimately lead to a suppression of selling pressure. According to data from the Ethereum Validator Queue, the waiting time for network exits is approximately 12 days at the time of writing this article.

Additionally, it has been pointed out that with the prediction of the approval of a physical ETH staking ETF in the U.S., validators may be attempting to exit at this opportunity.

It has also been pointed out that a leverage strategy of staking ETH to receive liquid staking tokens (LST) and repeatedly borrowing ETH using those LST as collateral may be reversing due to increased costs.