Capitalizing on Etherum's Potential: The Era of Independent Staking Begins
In the world of Ethereum, solo-staking is gaining traction among enthusiasts, thanks to lower entry barriers and various testnet initiatives.
Solo-stakers can now participate in emerging projects such as Lido's Simple DVT, Community Staking Module, Diva Staking, Stader DVT, NodeSet, and Ether.fi. For those looking to dive into the mainnet, liquid staking derivatives (LSDs) like Rocketpool, Stader, and upcoming ones offer a minimal entry point using ETH.
Hardware grants from the Ethereum Foundation and other organisations help offset the fixed costs of solo-staking, which currently stand at around $800. These grants make it more accessible for individuals to become node operators.
Rocketpool, for instance, allows node operators to start with 10.4 ETH, with 2.4 ETH in RPL tokens. Stader Labs, on the other hand, requires 4.4 ETH, with 0.4 ETH in SD tokens.
The current climate is favourable for solo-stakers on Ethereum. With resources such as the ETHStaker Reddit and Discord, Stakesaurus Telegram group, CoinCashew, Somer Esat, and Stakesaurus guides, the level of community support and quality of documentation/guides for solo-staking is high.
Stakesaurus, a liquid staking pool, aims to help people in Southeast Asia become ETH node operators and grow the grassroots solo staking community in the region. The organisation's mission is to strengthen the consensus layer of the Ethereum network and improve the lives of the less privileged in Southeast Asia.
For the safety of its stakers, Stakesaurus only uses minority clients. Solo-stakers can scale their TVL by partnering with creators, community builders, DAOs, funds, and using Stakewise V3 to spin up a mini staking pool.
Samuel Chong, the founder of Stakesaurus, is a CFA charterholder and spent 5 years as a SEA-focused venture capital investor at TNB Aura. His roadmap for solo-stakers includes acquiring a skill set, offsetting fixed costs, building on-chain credentials, building off-chain reputation, and scaling TVL.
Participating in testnet initiatives can help solo-stakers build off-chain reputation with the projects they participate in. For instance, the current testnet initiatives recommended for excellent solo stakers on Ethereum include participating in the Fusaka upgrade testnets such as Holesky (soon to be deprecated), Sepolia, and Hoodi, with Hoodi being the primary ongoing environment for validator testing. There is also a $2M bug bounty running on the Sherlock testnet from September 15 to October 13 to test Fusaka's security, providing another avenue for active staking and network participation.
Historically, running a validator node required significant financial (32 ETH) and technical (Linux sysadmin) resources. However, with the emergence of liquid staking and testnet initiatives, these barriers are being abstracted from everyday users, making it easier for individuals to participate.
In conclusion, the rise of solo-staking on Ethereum is opening up opportunities for more individuals to participate in the network's consensus layer. With lower entry barriers, community support, and various initiatives, it's an exciting time for solo-stakers on Ethereum.
