ETHx is set to launch within the next few weeks. With ETHx, we pledge to keep Ethereum decentralized by building a liquid staking solution that is accessible, reliable and rewarding. The ETHx smart contract is being triple audited by three leading cybersecurity partners including Sigma Prime, Halborn and Code4rena.
ETHx is built on a unique multi-pool architecture that powers decentralization without compromising on scalability. We will go live with two pools at launch - the permissionless pool and permissioned pool of node operators. The permissionless pool is the backbone of our architecture with an increasing proportion of our TVL being directed to permissionless pool.
The ETHx permissionless node operators need to bond 4 ETH and a minimum of 0.4 ETH worth of SD per validator. Up to 8 ETH worth of SD per validator will be eligible for receiving node operator incentives. Stader is earmarking SD tokens to reward its permissionless node operators for bonding SD as below:
| TVL & SD Allocation | SD bonded & Rewards |
|---|---|
| Estimated Q1 TVL | 50k - 100k ETH |
| Expected SD bonded by permissionless NOs | 600 - 1200 ETH* worth of SD |
| SD Allocation (Jun’23 to Sep’23) | Up to 200K $SD |
| SD Allocation (Jun’23 to Jun’24) | Up to 1 Mn SD |
*Assumed 0.4 ETH worth of SD bonding per validator by permissionless NOs
Note: Since it is difficult to forecast TVL and # permissionless validators accurately in the first few months, SD tokens will be optimally allocated monthly ensuring early adopters receive a much higher reward. Further changes like longer scheduled emissions etc. will be posted for governance once ETHx stabilizes.
Emission Schedule
SD emission will follow a 28 day cycle with the Q1 budget allocation happening across 4 schedules starting from 5th of June and ending around 25th of September 2023. The one additional schedule here includes a small set of validators who went live on mainnet for capped launch.
We request the community to share feedback post which we will set up snapshot for voting.
