Seed Round for Staking Rewards

Staking is not yet the talk of the town, but it usually doesn't take long for cryptocurrency trends to catch on: The start-up Staking Rewards offers users everything they need for staking. Now, the Berlin-based company has closed a successful seed funding round.

Financial portal Staking Rewards has successfully closed its seed funding round. The round is led by Swiss venture capitalist Swiss Founders Fund, and also includes A&T Capital and Fenbushi Capital, as well as angel investors. The money will be used to develop new features and scale the platform. Already, the startup is launching a directory for cryptocurrency service providers and marketplaces to provide users with an easy overview.

"Staking Rewards acts as a trustpilot for crypto. With the right incentives for crypto investors, we establish a community that helps each other navigate through the numerous Staking and DeFi return opportunities," said CEO Mirko Schmiedl. By its own account, Staking Rewards' platform has 500,000 monthly users.

So-called staking is becoming increasingly important for the cryptocurrency market: "Over the last 18 months, the opportunities in crypto staking have almost exploded and many attractive new passive income streams have emerged. There is a huge need for transparency and education in this space. That's where Staking Rewards comes in," says Christian Mischler of Swiss Founders Fund about his involvement in the funding reason.

Staking describes the process of adding new blocks to a blockchain, which cryptocurrency owners can do. It requires less energy than crypto mining because coins serve as collateral and not computing power. However, staking can only be done with currencies that have proof-of-stake. Currently, these are Cardano, Polkadot and Ethereum 2.0, but the hurdles are high, so many users are joining forces.