(Night, Van Gogh)
In order to start the ETH2.0 network, 524,288 ETH (16,384 validators) need to be pledged. As of the writing of Blue Fox Note, the current pledged ETH is 60,928, and the completion rate is only about 11.6%, which is far from the minimum startup requirement. Long distance.
Many people worry about whether the ETH2.0 network can be launched. Although it is hard to say whether the ETH2.0 network can be launched as scheduled, the launch of the ETH2.0 network is only a matter of time. From the perspective of pledge income, in the long run, the probability of pledged ETH will exceed 10 million, and it is also possible to reach more than 20-30 million.
At present, many readers of Blue Fox Notes have inquired about how to pledge. Users are interested in pledge, but for ordinary users, there are still some thresholds for running a node.
In addition to the threshold for running a node, there is a minimum requirement of 32 ETH for pledgers. According to today's price, it is close to about 15,000 US dollars, which is also a threshold. And some users can't participate if they have less than 32 ETH in their hands?
In addition, some users worry that the ETH deposited in the storage contract cannot be transferred or withdrawn temporarily, and they are therefore worried about liquidity issues.
Once the technical threshold, funding threshold, and liquidity barriers of pledge are resolved, the pledged ETH is expected to show explosive growth. And this explosive growth is inseparable from the help of some infrastructure. Wallets, exchanges, dApps, etc. will definitely not miss the staking business of ETH2.0.
In order to help ordinary users participate in the staking business of ETH2.0, many projects have begun to provide solutions, such as Rocket Pool, Stkr, Lido, etc. Among them, Rocket Pool was conceived in 2016 and was one of the earliest projects in this field. So, what is Rocket Pool and how does it help ordinary users to participate in the pledge of ETH2.0?
What is RPL?
For the sake of simplicity, Rocket Pool will be simplified as RPL below, and RPL is also its token name. RPL is the basic service around the ETH2.0 PoS pledge business. It is a pledge network that allows individuals and institutions to participate in ETH2.0 pledge services more easily. Users only need to deposit ETH to earn pledge income, and they don't need to run the node by themselves. In addition, wallets, exchanges or dApps can also integrate RPL to provide staking services for their users.
When the user deposits his ETH into the RPL smart contract, the user will get the corresponding rETH, which represents the ETH pledge rights stored by the user in the RPL network and can earn pledge income. In RPL, users do not need to deposit 32 ETH, the specific amount is not limited, and does not need to be a multiple of 32. The minimum acceptable deposit is 0.01 ETH. According to the current price of ETH, it is about less than 5 US dollars. This capital participation threshold is relatively 15,000 US dollars. It's a lot lower.
At the same time, more importantly, with rETH, it is possible to have liquidity. Because users can freely choose how to deal with rETH, they can hold it, they can also trade, and they may even participate in DeFi activities such as lending or mining through DeFi projects. And if the node deposits its ETH into the storage contract of Ethereum, this part of ETH cannot be transferred and withdrawn temporarily.
ETH users and node operators on the RPL network
As mentioned above, users only need to deposit ETH to obtain liquid rETH. Then, in the RPL pledge network, who is responsible for running the ETH2.0 pledge node? Why are they motivated to provide services to users? How does the RPL network build the relationship between users and nodes?
In the RPL network, node operators are responsible for running pledge services. The reason why they are willing to provide services to ordinary users is because they can obtain commission income. Of course, the final benefit comes from the additional issuance incentive of ETH2.0. From this perspective, RPL is a pledge service network that connects ETH holders and ETH2.0 PoS nodes.
Therefore, the most important role in the RPL network is the holder and node operator of ETH. ETH holders deposit their ETH into the smart contract. And these deposited ETH will be automatically distributed to node operators. When they deposit ETH, they will get the corresponding rETH, which represents their pledge rights. The node operator maintains the server infrastructure in the RPL network and runs the intelligent node software stack, including the ETH1 client, ETH2 client, and RPL client to coordinate network activities.
In order to allocate ETH storage funds from users, node operators must pledge ETH in multiples of 16, so as to ensure that the nodes also have interests in it and provide good node services. In other words, node operators do not need to provide ETH in multiples of 32, but half of ETH. The node operator will create a validator for every 16 ETH, and the remaining 16 ETH will come from the distribution of the RPL network (stored in the smart contract by the holder of ETH).
For node operators, they can use less ETH for a larger amount of pledge, thereby obtaining higher income. In addition to pledge income, there is also service commission income.
RPL's operating basis
In RPL, three aspects form the basis of its pledge network:
*Smart contract
*Smart Node
*minipool (mini pool) validator
Smart contract
RPL's smart contract is upgradeable, and if there is a problem, it can be deployed iteratively. RPL requires all node operators to pledge half of their ETH, so that they will have enough motivation to do a good job in pledge operation services, so as not to cause losses. If the RPL smart contract detects that a node does not respond, it will stop sending the ETH deposited by the user to the node, which helps reduce the pledge loss caused by server problems.
For pledgers, if they hold a large amount of ETH, they can distribute their pledged ETH to multiple nodes according to 16 ETH, so that if a node has a problem and is punished, because only some nodes have problems, The loss will not be too large. And if you only run through a node, once the node has a problem, the loss will be greater. This is also the potential benefit of the staking network model of RPL, which can reduce the risk of penalty losses through decentralized fund storage.
Smart node
Smart nodes are responsible for participating in the PoS pledge service of ETH2.0, and they need to run node software. In RPL networks, nodes are not only ordinary nodes, but also intelligent nodes. The RPL intelligent node software monitors everything that happens on the network, allowing node operators to run various commands and monitor the ETH storage on their nodes. The smart node will also intermittently automatically check the RPL smart contract to prove that the server is still online to accept ETH storage funds.
(Rocket Pool stack)
There are two types of node operators in RPL: untrusted node operators and trusted node operators. Trustless nodes can join the network at any time without permission or registration. They deposit half of the ETH themselves and can get the commission income from the pledge. At the same time, they can also deposit RPL as a security deposit, and get a corresponding proportion of income based on their deposited funds. If a penalty event occurs, its RPL tokens will be destroyed according to the corresponding amount.
Nodes that do not need to be trusted will give priority to ETH deposited by users. If there is a surplus, the pledged ETH will be distributed to trusted node operators, which will be used as backup nodes. Trusted node operators can also act as oracles for beacon chain data. The smart contracts on ETH1 require ETH2 information, and they can provide this information.
Minipool validator
Minipool validator is a type of smart contract created by RPL, and node operators deposit their own ETH in the node. These contracts pool ETH from different pledgers and will activate when it reaches 32 ETH. Node operators cannot obtain user funds, and these funds are processed by the minipool validator smart contract.
RPL's token mechanism
RPL tokens are protocol tokens that can be used as security deposits for RPL nodes. Nodes use RPL tokens as a deposit to make additional security commitments. The advantage of this is that you can earn additional commissions, and the income is related to the amount of security deposit pledged. If the node fails to perform its task and is fined for part of the funds, its pledged RPL security deposit will be destroyed according to the loss ratio.
The RPL plan will allow RPL pledgers to participate in DAO governance in the future. Therefore, RPL also has the role of governance tokens.
From the above token economic mechanism, the value of RPL depends on the scale of the RPL pledge business. If the user deposits enough ETH to pledge, then the income of the RPL pledger will increase and it will also encourage more node operators to join. In the service, in order to obtain more revenue, the node will also pledge RPL, which generates a demand for RPL.
However, it should be noted that in the design so far, RPL has not captured the value of commissions, which is not conducive to the value enhancement of RPL. If RPL wants to further enhance its value, it is necessary to allocate a part of the RPL pledge commission to RPL token holders. From this perspective, the design of RPL token economy still has room for iteration.
As more projects similar to RPL emerge, the pledge amount of ETH2.0 will increase substantially.
-----
Risk warning: All articles of Blue Fox Note cannot be used as investment advice or recommendation. Investment is risky. Investment should consider personal risk tolerance. It is recommended to conduct in-depth investigation of the project and make your own investment decisions carefully.
Join the knowledge planet of Blue Fox Notes: https://t.zsxq.com/Iq3VzfM
Welcome to join Blue Fox Note Group WeChat: donnell008