Consider these potential risks when staking your assets.
- Third-party service: Staking services are provided by third parties and are subject to their terms and conditions. Fireblocks will not accept any liability in relation to these services.
- Smart contract risk: When staking more than 32 ETH in a single transaction using the Fireblocks Console or the Fireblocks API, your funds are sent to the ETH deposit contract through a third-party smart contract.
- Slashing: Slashing refers to the sanctioning of funds from a validator that fails to comply with network rules. For example, up to 100% of a validator’s funds can be lost if the validator approves blocks containing illegal transactions. Learn more about slashing and other penalties for each network:
- Liquidity: Because a lock-up period takes place during the unstaking or withdrawal period, your funds cannot be transferred quickly. Keep in mind that staked funds are illiquid when determining how much to stake.
- Rewards not guaranteed: Fireblocks has no ability to control or influence any transfer of rewards by the blockchain.