Binance Terminates Stellar Staking

 

One of the leading cryptocurrency exchanges in the world, Binance terminates Stellar staking due to inflation’s elimination.

After the year of discussion about inflation, Stellar Development Foundation cast aside the coin which lead to a change in the dissemination rewards mechanism, as well as making Binance terminate their staking support in Stellar’s Lumen.

Since October 28, 2019, at with the Stellar Protocol Version 12 released, there isn’t inflation in Stellar network anymore. Ultimately, Co-Founder of Stellar Jed McCaleb stated that the inflation needed to be removed as it failed to serve its genuine purpose. Primarily the XLM generated inflation was supposed to be directly transferred to support projects within Stellar’s ecosystem as well as the Stellar built prospective teams.

However, over a period of time, it turned out that the reason for major part of users to join those kinds of pools is to get the generated inflation & it’s not clear where most of this profit gets directed. For this purpose, lots of accounts are created and, as a result, the inflation could erase a huge issue for the scalability of the project.

As a consequence of the inflation removal, Binance Staking stopped their support for Stellar Lumen staking. This indicates that Binance users won’t be able to stake their XLM through Binance crypto exchange to obtain annual rewards anymore.

 

To find out info about Stellar, check out XLM Price updates and Stellar Lumen (XLM ) Price Predictions.