Seed round for Staking Rewards

Staking is not yet on everyone's lips, but that usually doesn't take long for trends relating to cryptocurrencies: the start-up Staking Rewards offers users everything to do with staking. The Berlin-based company has now completed a successful seed financing round.

The financial portal Staking Rewards has successfully completed its seed financing round. The round was led by Swiss venture capitalist Swiss Founders Fund and also included A&T Capital and Fenbushi Capital as well as angel investors. The money will be used to develop new features and scale the platform. The start-up is already launching a directory for service providers and marketplaces for cryptocurrencies to provide users with a simple overview.

"Staking Rewards acts as a trust pilot for crypto. With the right incentives for crypto investors, we are establishing a community that helps each other navigate through the numerous staking and DeFi yield options," said CEO Mirko Schmiedl. According to its own information, the 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 sources have opened up. There is a huge need for transparency and education in this area. That's where Staking Rewards comes in," says Christian Mischler of Swiss Founders Fund about his involvement in the funding rationale.

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