Hashnote, a regulated entity by the CFTC and the Cayman Islands Financial Authority (CIMA), has joined forces with Lido to introduce an institutional-grade entry to decentralized liquid staking by means of the Hashnote Institutional stETH Fund.
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The Hashnote Institutional stETH Fund is designed to cater to institutional buyers globally, offering a regulated and compliant framework for publicity to Lido Staked Ethereum (stETH). This collaboration goals to seamlessly combine full on-chain transparency with a safe and compliant atmosphere.
Liquid Staking Revolution
On the coronary heart of this collaboration is the idea of liquid staking, pioneered by Lido. Liquid staking permits instant liquidity on staked ETH, enabling buyers to take pleasure in the advantages of staking Ethereum whereas sustaining the liquidity of a immediately tradable asset.
This modern strategy has led market makers to cite $stETH immediately in opposition to fiat and stablecoins, making the liquidity similar to that of Ethereum itself.
The surge in demand for liquid staking is clear, with Dune board reporting that 78.1% of all distributed ETH is staked by way of liquid tokens. Nevertheless, integrating a brand new digital asset class right into a regulated fund construction poses vital challenges, together with safety, infrastructure, and adherence to regulatory frameworks reminiscent of KYC, AML, audit, and reporting.
Hashnote-Lido Collaboration: Breaking Down Boundaries
Hashnote and Lido’s collaboration goals to beat these challenges, providing regulated establishments a totally compliant, safe, and clear pathway into the realm of liquid staking. The partnership permits:
Institutional-Grade Reliability: Hashnote & Lido vault is meticulously designed to satisfy the very best requirements of institutional buyers.
Regulatory Compliance: Hashnote’s regulatory approvals from CFTC and CIMA, coupled with the manager staff’s intensive expertise, guarantee compliance with world monetary markets and structured earnings merchandise.
KYC/AML Compliance: Working as a “walled backyard,” Hashnote mandates KYC/AML compliance for each participant, fostering a safe atmosphere.
Safety: Hashnote vaults make use of multi-party computation (MPC) wallets and consensus amongst signers for asset actions, guaranteeing a safe atmosphere. Good contract code undergoes third-party audits.
Problem-Free Administration: The user-friendly interface simplifies staking, permitting customers to observe rewards, monitor efficiency, and handle belongings effortlessly.
Enhanced Yield: Establishments leveraging Hashnote & Lido institutional staking can maximize yield potential by accessing staking on the Lido community.
Danger Administration on the Core
Hashnote prioritizes danger administration throughout six main classes, together with market danger, liquidity danger, operational danger, regulatory danger, sensible contract danger, and counterparty danger. As essentially the most trusted institutional on-chain asset supervisor, Hashnote goals to supply a safe and user-friendly expertise for ETH staking publicity.
Hashnote serves as an modern gateway for institutional buyers to entry the blockchain ecosystem. Constructed with the help of DRW Holdings and Cumberland, Hashnote’s staff brings over 50 years of mixed expertise in conventional finance, choices buying and selling, software program engineering, and blockchain expertise.
The Hashnote ecosystem presents customizable buying and selling methods, transparency, effectivity, and essential regulatory compliance, offering establishments with a direct and safe entry into blockchain with out publicity to pointless complexities and protocol dangers.
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About Hashnote
Hashnote is a monetary expertise agency centered on making the blockchain clear, safe, and accessible to establishments. Backed by DRW Holdings and Cumberland, Hashnote’s staff pioneers institutional digital asset markets, envisioning the way forward for finance.
Working inside a “walled backyard,” Hashnote ensures KYC/AML compliance for each participant, reinforcing its dedication to a safe and controlled atmosphere.
How It Works
Buyers can wire USD or ship cryptocurrency into the absolutely regulated, KYC/AML compliant Hashnote Liquid Staking fund. With a minimal funding of US$100,000 or cryptocurrency equal, Hashnote stakes ETH by means of the Lido middleware. Buyers have the pliability to handle their staking technique, offering choices for reward accumulation, reallocation, or redemption.
