1.2 Staking Options

Introduction

Although staking requires 32 ETH, other options such as pooling can provide more financially savvy options. Those looking to take part in the Eth economy without the access to 32 Eth may opt to pool their funds with others in order to become a validator. Pooling is a way for individuals to participate in the Eth economy as a host can hold the pooled 32 Ether in a wallet, run the node, and then divide the payout to those participating in the pool.

Learning Objectives

• Familiarize oneself with staking pools

• Be able to join a staking pool

Reading List

• ​Proof of Stake (algorithm)​

• ​Challenges to Sharding - DistrictOx educational portal​

• ​What is Sharding?​

• ​The importance of 32 Eth​

• ​How To Stake On Ethereum 2.0: Simple Steps To Follow | Xord​

• ​Ethereum 2.0 Beacon Chain (Phase 0) Block Chain Explorer - Ethereum 2.0 Staking Services Overview - beaconcha.in - 2021​

• ​Eth2 staking pools​

• ​Ethereum staking | ethereum.org​

Key Points

• Pooling

  • While the minimum deposit of 32 Ethereum is a considerable sum given its rising prices, pooling funds allows an easier access to individual staking.

  • Online databases such as Ethereum’s beaconcha.in staking service site provide lists of staking pools that interested individuals can join.

• Benefits

  • Pooling removes barriers to entry.

  • Users that join reliable staking pools also avoid the risk of running their own node as this job is left to a host.

Review Questions

• What is a possible con of joining a stake pool?

• What is the incentive to host a staking pool?