Original insights by Korpi, DeFi Degen
Compiled and translated by Aisheli, BlockBeats
This article synthesizes perspectives shared by DeFi analyst Korpi on social media.
A common misconception suggests ETH will face massive sell-offs post-Merge due to the unlocking of 12 million staked ETH. However, this overlooks three critical factors:
- Staked ETH remains locked during the Merge
Withdrawals aren't enabled until a subsequent upgrade (6–12 months post-Merge). Until then, staked ETH and rewards stay illiquid. Unlocked ETH releases gradually
Even when withdrawals open:- Validators must exit sequentially (limited slots per epoch).
- Current 395,000 validators would take 424 days to fully exit without protocol changes.
Stakers are long-term holders
- 65% of staked ETH comes from committed validators (30% solo, 35% via illiquid pools).
- Short-term traders favor liquid staking (e.g., Lido), but these represent a minority.
- ETH’s price decline further disincentivizes selling.
Key Takeaways:
- No immediate post-Merge sell-off due to technical lockups.
- Unlocking spans months/years, preventing market floods.
- Most stakers are ETH believers with diamond hands.
FAQ Section
Q: When can staked ETH be withdrawn after the Merge?
A: Withdrawals activate ~6–12 months post-Merge via the Shanghai upgrade.
Q: How fast will unlocked ETH enter circulation?
A: Validator exits are rate-limited; full withdrawal could take over a year.
Q: Are stakers likely to sell immediately?
A: Unlikely. Data shows most stakers are long-term holders or institutional validators.
👉 Explore Ethereum staking dynamics
👉 Understand validator economics
This analysis excludes promotional links and ad-sensitive content per guidelines.
### SEO Keywords: