Binance Announces Support for XLM Staking To Distribute 9.5 Million Stellar Lumens Earned
One of the largest crypto exchanges in the world, Binance Exchange, has announced that it has unintentionally earned reward from staking the stellar tokens and now the company has discovered the amount accumulating 9,500,000 XLM being credited to Binance.com.
According to the official blog by the company indicates that it has earned XLM worth about USD 775000 at press time.
Following an advice by the Stellar team back in August 2018, on how to earn staking rewards via changing different parameters on the exchange’s hot (online) crypto wallets and cold storage (offline) wallets.
The Binance team followed the advice from Stellar team and managed to earn $775,000 worth of XLM tokens (at current market prices). The blog said:
“Back in August 2018, the Binance team heeded the Stellar team’s recommendations to change some parameters on both cold and hot wallets. This change has allowed us to unknowingly earn staking rewards starting August 31, 2018. Fast forward to this week, when we looked into the staking of Stellar for Binance.com, we discovered that we had already earned 9,500,000 XLM ($775,000 USD) worth of extra XLM tokens.”
Following the discovery, the Binance team is now planning to add staking support for XLM on its platform, and the leading exchange will also share the 9.5 million XLM it earned through staking.
Currently, Binance’s platform distributes NeoGas for NEO stakeholders, Ontology Gas tokens for Ontology investors, BitTorrent tokens for TRON investors, and VTHO (“VeThor”) tokens for VeChain holders. Binance stated:
“When we discovered this, we made two decisions: to immediately add staking support for XLM and to share the XLM rewards we gained to the entire community, the blog reads”
The program will come into effect on July 20, when Binance will start recording daily snapshots of users’ XLM balances. The minimum holding requirement to be eligible is 10 XLM, which is less than $1 at current prices. The staking rewards will be distributed to users on a monthly basis.
This might be one of the biggest deals for all XLM holders and for XLM token itself, this is because XLM coin at press time began surging its trading volume. At the time of writing, the value of XLM had shot up by about 14 percent over the past 24 hours.
Nevertheless, the token is currently trading at $0.088 against US Dollar and market cap at $1,732,801,168 by standing on the 10th largest spot on the Coinmarketcap.
With Binance jumping on board, it's likely that its competitors will also soon allow XLM holders to benefit from the inflation rewards.
What do you think of Binance’s support of Stellar? Let us know your opinion about the developments in the comments section.