Polygon Foundation and Swiss-regulated crypto bank AMINA have inked a strategic deal to offer institutional staking services to users.
By Godfrey Benjamin
Editor Yana Khlebnikova
Updated
2 mins read
Swiss firm AMINA Bank AG has become the first bank to offer institutional staking services for the POL token. Going forward, institutional investors will have the opportunity to participate in the Polygon network’s governance and receive rewards in return.
The network promises up to 15% in high-yield staking rewards for investors who invest through AMINA. The increased reward rate is a result of the partnership with the Polygon Foundation.
By staking their funds, institutional clients pledge to provide security for the Proof-of-Stake (PoS) network through transaction validation.
Once clients stake POL through AMINA’s custody stack, they would be meeting Swiss Know Your Customer (KYC) and Anti-Money Laundering (AML) regulatory requirements.
The development comes at a time when network demand is on the rise. Polygon already has a reputation in the remittances niche, controlling as much as 30% market share. The volume of stablecoin activity on the network is high, but with AMINA, Polygon can secure more of this increased demand.
In a September 17 report, Dune Analytics and RWA.xyz highlighted that Polygon is gaining significant traction in the Real World Asset (RWA) tokenization ecosystem. At the time, it held over $1.13 billion in Total Value Locked (TVL) from RWAs.
This was a few days after Polygon deployed its major “Rio” upgrade to the Amoy testnet. This initiative prepares the network to handle up to 5,000 transactions per second. The Rio upgrade includes several technical proposals that support achieving this goal. Its central element is PIP-64, which establishes a “Validator-Elected Block Producer” (VEBloP).
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Benjamin Godfrey is a blockchain enthusiast and journalist who relishes writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desire to educate people about cryptocurrencies inspires his contributions to renowned blockchain media and sites.
