Binance BETH Withdrawal Q&A, Binance ETH 2.0 Staking Redemption Open

One of the ETH staking service providers, the exchange Binance, announced the redemption of BETH on April 19 at 16:00 GMT+8. Redemption is now available, where BETH can be redeemed for ETH at a 1:1 ratio. Additionally, Lido Finance, the decentralized staking protocol with the largest market share, will only allow withdrawals in May. Learn more about how to withdraw Lido stETH in the Q&A section.

This article will introduce the redemption process for Binance's BETH and discuss the differences between redeeming Binance's BETH and Lido's stETH.

How to Withdraw BETH on Binance

Open time: Available since April 19, 2023, 16:00 GMT+8

Redemption page: Binance Staking - Ethereum ETH 2.0

Enter the redemption amount and submit the request. The following image is from Binance:

Withdrawal Time for BETH on Binance: At least 15 days

Binance announcement states that the time for redemption to be credited may take 15 days to several weeks. The processing time for withdrawal requests depends on the withdrawal demand of users participating in ETH 2.0 staking and the condition of the Ethereum network. After submitting the request, the credited date will be displayed on the Staking History page.

It should be noted that BETH during the period from application to completion of redemption will not generate staking rewards.

In comparison, Lido expects a shorter processing time for withdrawals, ranging from one to five days.

Withdrawal of BETH on Binance to Spot Wallet

After redemption is completed, ETH will be returned to the user's spot wallet.

Limitations on BETH Redemption on Binance Key Differences

Binance announcement states: "Due to the rate-limiting design of the ETH network withdrawal feature, only a limited amount of staked ETH can be unstaked and released from the ETH network on a daily basis."

Binance mentions that the BETH redemption pool is replenished twice daily, with users redeeming receiving a portion. It will be based on the user's BETH holding amount, Earn coin balance, and the average holding amount of Binance Staking Borrowed Coins collateral:

Daily average BETH holding amount in the past 15 days < 200 BETH: Maximum of 30 BETH per day

Daily average BETH holding amount in the spot wallet in the past 15 days >= 200 BETH: 20% of the daily maximum redemption amount

Binance states that if the daily quota on-chain is exhausted, Binance will be unable to unstake ETH from the network until there is available quota again, hence you may not be able to redeem BETH for ETH until the quota is replenished. Individual daily quotas may change without prior notice.

Fee Discounts for Buying and Selling BETH on Binance

Binance mentions that selling BETH in the Binance spot market will enjoy "zero maker fee" for BETH/ETH and BETH/USDT spot trading pairs until 8 p.m. on May 1.