SSV network unveils plan for decentralized ETH staking infrastructure

The ssv.network has finally announcement the launch of its mainnet, bringing decentralized Ethereum (ETH) staking infrastructure to the Ethereum network. The launch follows more than two years of testing and honing, and the network is poised to revolutionize the staking industry.

Decentralized SSV network infrastructure

The ssv.network mainnet deployment plan consists of four phases, each with its own objectives and provisions. The first phase, which begins at the beginning of the second quarter of 2023, ensures that all main network parameters are correctly configured.

The second phase will feature a full set of verified operators, while the third phase will feature builders using the ssv.network framework. Finally, the fourth phase will be the permissionless launch, inviting anyone to use the open protocol to build or stake.

According to the announcement, the phased approach to rollout is necessary to ensure that all the different actors and stakeholders in the network are aligned. But what are the benefits for the future of ETH staking?

  • Decentralization: The ssv.network is a decentralized, permissionless network that aligns with the fundamentals of Ethereum. By embracing this vision, the network aims to build the resilience of Ethereum and empower the community to shape the future of staking.
  • Fault tolerance: The ssv.network was designed to address the fundamental challenges of the Ethereum validator, including fault tolerance. The network is designed to be resilient and able to handle outages in a decentralized manner.
  • Security: The ssv.network was designed to be secure, with multiple layers of security protocols to ensure the network is safe from attack.
  • Zero coordination: The ssv.network was designed to be a zero coordination network, which means validators do not need to coordinate to validate blocks. Instead, the network uses a mesh-like structure that allows validators to validate blocks independently.

Using the ssv.network to stake ETH provides a secure, resilient, and decentralized way to participate in the Ethereum network. The network’s focus on fault tolerance, security, zero coordination, diversity, and its self-sustaining ecosystem makes it an attractive option for anyone looking to stake ETH in the future.

Shanghai Hardfork triggers surge in ETH staking deposits

The recent implementation of the Shanghai hard fork has led to an increase in Ethereum staking deposits, according to analytics firm Glassnode.

The hard fork, activated on June 2, introduced several changes to the Ethereum network, including updates to the gas fee structure and EIP-1559. This new transaction fee mechanism aims to improve the user experience by reducing transaction fees and improving predictability.

Data from Glassnode shows that deposit activity for ETH staking peaked on June 2, with over 13,595 new deposits worth over 408,000 ETH.

This increase in staking deposits suggests that investors and users are gaining confidence in Ethereum’s flexibility following the implementation of the hard fork. Staking allows users to earn rewards by holding and validating transactions on the network, and the recent increase in deposits indicates that more and more users are interested in this process to participate in the network and earn passive income. .

Unlike staking deposits, ETH exchange deposit transactions have remained steady at around 30,000 over the same period. This suggests that investors and users are choosing to hold and stake their ETH rather than trading or selling it on an exchange.

This is a positive sign for the Ethereum network, as staking offers a more stable and secure way to participate, compared to trading on exchanges, which can be subject to market volatility.

ETH
Minor pullback for ETH after failing to break above its upper resistance line on the 1-day chart. Source: ETHUSDT on TradingView.com

At the time of writing, ETH is trading at $1,948, struggling to clear the upper resistance level of $1,990. Over the past 24 hours, the cryptocurrency market has seen a pullback and ETH has fallen by 0.8%.

Featured image from Unsplash, chart from TradingView.com

Leave a Comment