A decentralized Ethereum (ETH) staking infrastructure was introduced to the Ethereum network with the introduction of the mainnet. The network is expected to transform the staking business after more than two years of testing and improvement.
The decentralized infrastructure of SSV Network
The mainnet deployment strategy for ssv.network is divided into four phases, each with distinct objectives and guidelines. Beginning in early Q2 2023, the first phase makes sure that all mainnet settings are properly setup.
While Phase II will introduce a complete set of validated operators, Phase III will introduce builders who will make use of the ssv.network infrastructure. The last stage, a permissionless launch, will invite anybody to create or stake utilizing the open protocol.
In order to guarantee that all the different players and stakeholders in the network are brought together, the announcement claims that a phased deployment strategy is required. But what are its advantages for ETH staking in the future?
Decentralization: The ssv.network is a decentralized, permissionless network that adheres to Ethereum’s core principles. The network wants to boost Ethereum’s adaptability and give the community more power to influence the direction of staking by using this strategy.
Fault tolerance: The ssv.network platform was developed to address basic issues with fault tolerance in Ethereum validators. The network is built to be robust and capable of handling failures in a decentralized fashion.
Security: To guarantee that the network is safe from assaults, the ssv.network was built using numerous security protocols.
Zero-coordination: The ssv.network was built to be a zero-coordination network, which means that validators do not need to coordinate in order to validate blocks. Instead, a mesh-like topology used by the network enables independent block verification by validators.
Staking Ethereum on the ssv.network is a safe, adaptable, and decentralized way to engage in the Ethereum network. Anyone looking to stake ETH in the future will find the network to be a compelling option due to its focus on fault tolerance, security, zero-coordination, diversity, and its self-sustaining ecosystem.
Shanghai Hardfork Starts Upsurge in ETH Staking Deposits
According to analytics company Glassnode, the recent Shanghai hard fork deployment led to a rise in Ethereum staking deposits.
A gas cost structure and an update to EIP-1559 were two among the several modifications made to the Ethereum network as a result of the hard split, which went into effect on June 2. Reduced transaction costs and more predictability are two goals of this new transaction charge structure, which seeks to enhance customer experience.
ETH staking activity peaked on June 2 with more than 13,595 fresh deposits totaling more than 408,000 ETH, according to data from Glassnode.
Following the hard fork’s execution, the increase in deposits demonstrates that users and investors are growing more confident in Ethereum’s resiliency. The recent growth in deposits shows that more users are interested in the process to participate in the network and earn passive income. Staking enables users to earn rewards by holding and authenticating transactions on the network.
ETH exchange deposit transactions were steady at roughly 30,000 throughout the same period, in contrast to staking deposits, which fluctuated. This demonstrates that users and investors prefer to hold and stake their ETH versus trading or offloading it on exchanges.
Staking offers a more reliable and safe means to engage in the Ethereum network than trading on exchanges, which can be subject to market volatility, therefore this is a good indication for the Ethereum network.
After failing to cross its overhead resistance line on the 1-day chart, ETH slightly fell.
ETH is now trading at $1,948, attempting to break over the overhead barrier of $1,990. With ETH down 0.8% over the last day, the cryptocurrency market has been on a downward trend.
