Vitalik Buterin Proposes a New Two-Tier Staking Mechanism for Ethereum

Vitalik Buterin Proposes a New Two-Tier Staking Mechanism for Ethereum
Source: Bitcoin IRA

Vitalik Buterin proposed an innovative proposal aimed at refining the Ethereum staking mechanism. He pinpoints decentralization issues surrounding the selection process for node operators across various staking pools and identifies inefficiencies in the current Layer 1 consensus mechanism.

Buterin suggests a two-tiered staking mechanism. The first tier is a high-complexity slashable tier with frequent activity but limited participants (around 10,000), and the second tier is a low-complexity one where members engage sporadically and face minimal or no slashing risk.

This new model would involve the modification of the validator balance cap and implementing a balance threshold to categorize into these tiers.

Buterin's new proposal aims to tackle the centralization issue of Ethereum by empowering those lacking resources for solo staking, giving them meaningful participation avenues, and reducing the transaction processing load on Ethereum's consensus layer, making it easier for all to run a validating node.

Stay updated with the most important cryptocurrency news and valuable insights, conveniently delivered to your email every day. Subscribe to the TokenInsight mailing list now!

Prefer social media? Follow us on Twitter, or subscribe to our Telegram channel!

If you have news reports or announcements that you want to reach a wider audience, feel free to email us at news@tokeninsight.com

Source

Ethereum

Staking

In This Article

Related News
Ethereum edges closer to deploying Pectra on mainnet with successful upgrade on Hoodi testnet Ethereum edges closer to deploying Pectra on mainnet with successful upgrade on Hoodi testnet
Ethereum developers to end support for Holesky testnet in September Ethereum developers to end support for Holesky testnet in September
Ethereum devs activate Pectra upgrade on Sepolia testnet in last phase before mainnet rollout Ethereum devs activate Pectra upgrade on Sepolia testnet in last phase before mainnet rollout
Bybit hackers move over half the stolen ETH onto Bitcoin, largely using ThorChain Bybit hackers move over half the stolen ETH onto Bitcoin, largely using ThorChain
Ethereum developers activate Pectra upgrade on Holesky testnet, finalization pending Ethereum developers activate Pectra upgrade on Holesky testnet, finalization pending
Latest News More More
5 Hours Ago 0xbow unveils ‘Privacy Pools,’ a new blockchain privacy tool drawing from Vitalik Buterin’s research
5 Days Ago MEXC Extends DEX+ Platform to Binance Smart Chain Users
March 25 Binance suspends employee for allegedly profiting off of insider information
March 25 BlackRock launches bitcoin ETP in Europe following US success
March 21 Pump.fun launches DEX called PumpSwap to instantly migrate graduated token
delate
Use TokenInsight App All Crypto Insights Are In Your Hands
Open