Market Maker B2C2 Teams With Blockdaemon, Stakewise to Provide Ethereum Staking Liquidity

B2C2 says it will be the sole over-the-counter spot liquidity provider for the staked ether token sETH-h built on liquid staking platform Portara.

AccessTimeIconFeb 1, 2023 at 9:00 a.m. UTC
Updated May 9, 2023 at 4:07 a.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

Crypto market maker B2C2 has teamed up with blockchain infrastructure firm Blockdaemon and staking protocol Stakewise to provide liquidity for staked ether (sETH), according to an emailed announcement shared with CoinDesk.

B2C2 says it will be the sole over-the-counter (OTC) spot liquidity provider for the digital receipt token sETH-h, built on liquid staking platform Portara. Users that have staked ether on the Ethereum blockchain will be able to use sETH-h tokens to exit their positions or earn rewards elsewhere in the crypto ecosystem.

Liquid staking is the process whereby users are given derivative tokens in exchange for their staked digital assets, in this case ether (ETH). The derivative tokens can then be used for other purposes, while the ETH remains locked in the proof-of-stake system. Ahead of Ethereum's Shanghai upgrade, which is set to take place in March and will allow ETH stakers to withdraw their tokens, interest in liquid staking has been growing as users have sought ways of exploiting the ETH currently locked on the network.

The liquid staking market is dominated by decentralized finance (DeFi) app Lido, in which users had locked $7.8 billion as of the middle of last month. Its native token, LDO, more than doubled in value in January to $2.08.

B2C2 says the key innovation offered by Portara is that of integrating know-your-customer (KYC) and anti-money laundering (AML) compliance into the process. The sETH-h tokens users receive in exchange for their staked ether are only transferrable on-chain between addresses that have been subject to KYC checks.


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is an award-winning media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. In November 2023, CoinDesk was acquired by Bullish group, owner of Bullish, a regulated, institutional digital assets exchange. Bullish group is majority owned by; both groups have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary, and an editorial committee, chaired by a former editor-in-chief of The Wall Street Journal, is being formed to support journalistic integrity.

Jamie Crawley

Jamie Crawley is a CoinDesk news reporter based in London.

Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to to register and buy your pass now.

Read more about