Institutional participation in proof-of-stake networks grew 22% in the second quarter. The influx follows updated supervisory guidance clarifying custody requirements for protocol rewards.
Custody Realignment
Tier-one custodians are deploying isolated staking infrastructure, allowing fund managers to earn native yields without transferring underlying collateral outside qualified vaults.
Yield Compression
As institutional capital fills network validator sets, baseline staking yields across major assets decreased by an average of 45 basis points, accelerating consolidation among validator service providers.