Rocket Pool, a liquid staking protocol on Ethereum, has proposed a set of actions to address the dominance and staking environment of the network. The goal is to ensure the safety of the Ethereum network by avoiding a single point of failure and limiting the size of Rocket Pool.
The proposal outlines several guiding principles for Rocket Pool, including acting in the best interest of Ethereum's health and considering the long-term impacts of its choices. Rocket Pool will limit its growth if it detracts from Ethereum's decentralization and will give its Node Operators the autonomy to make meaningful choices and leave the system if they find it unsatisfactory.
Rocket Pool is the 2rd largest Ethereum liquid staking protocol, just behind Lido. However, it still accounts for a relatively small market share of 3.5% in the liquid staking sector. The largest liquid staking protocol, Lido, proposed a similar self-limiting proposal last year, which was rejected by the community. So far, the vote for Rocket Pool has been in favor of the self-limiting proposal. The voting period will end on February 13, 2023.
Liquid Staking Token
Ethereum
