According to The Block, the staking yield of the Ethereum network remained at about 3% in the third quarter of 2024, a decrease from over 3.5% in July. Analysts pointed out that Ethereum's staking returns are lower than other major Layer 1 protocols such as Cosmos, Polkadot, Celestia and Solana which have yields between 7%-21%.
Lower staking yields help reduce inflationary pressure on the network. Kaiko analysis pointed out that this year, the queue for Ethereum validators averaged less than one day, significantly reduced from a peak of 45 days in June 2023. Despite decreased on-chain activity and staking demand, leading staking service provider Lido's supply of stETH has remained stable since the beginning of this year with growth slowing down to approximately 9.6 million ETH reflecting an overall slowdown in stake accumulation rate.