Ethereum validators earn a record $46M as staking rewards rate surges

Validators earned a total income of $46 million in the first week of May as a result of the increase in the staking rewards rate, which is a metric for the annualized yield of validators. According to data, validators earned 24,997 Ether
ETH

tickers down
$1,847

in the week, representing a 40% increase over the previous week’s income of $33 million, when 18,339 ETH were distributed as rewards.

The recent trend of a new memecoin called Pepe trading is the reason behind the gratitude of validators. In the past week, the average fees on the Ethereum network have exceeded 100 gwei, marking the highest level since May 2022. As gas fees increase, end users are paying over $30 per swap. The surge in gas fees has resulted in higher fee income for validators from processing transactions, in addition to their regular validator rewards.

ETH staking rewards reference rate. Source: Beaconcha.in
Advertisement
Stay safe in Web3. Learn more about Web3 Antivirus →
Beaconcha.in states that the present staking rate signifies the anticipated annualized return for validators. In order to engage in the network’s consensus procedure, validators on Ethereum are mandated to stake a minimum of 32 ETH, valued at roughly $58,000.

There are two types of rewards identified by ETH Store, a company that measures reward rates: consensus rewards for proposing and attesting blocks and transaction fees for processing transactions on the Ethereum network.

News Source