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A comment on The Merge.

Re:The Merge by bitL on Saturday August 20, 2022 @07:59PM (#32536209)
OK, so you stake 32ETH, buy a dedicated server for a validator, and you'd get up to 5% reward per year. How is that going to pay off your dedicated server? Moreover, you are risking losing those 32ETH in case your validator goes down. Your payment would be proportional to the number of attestations, so if only a few people use ETH for transactions, your reward will be low. Did anyone think about making staking actually attractive to infrastructure providers? Infrastructure folks' reward was going down ridiculously even with POW, the POS seems like way worse, and if the number of attestations goes wild, I am sure ETH folks will find ways to penalize infrastructure folks again. I won't be surprised if ETH collapsed just because nobody would want to run 24/7 infrastructure for it.
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Re:The Merge by wmf on Saturday August 20, 2022 @08:11PM (#32536261)
These criticisms seem to all be based on theory with no reference to the existing Ethereum ecosystem.

How is that going to pay off your dedicated server?

5% of 32 ETH is currently $2,500 which easily pays for a computer.

Moreover, you are risking losing those 32ETH in case your validator goes down.

You have to be down for months to lose your stake.

Your payment would be proportional to the number of attestations, so if only a few people use ETH for transactions, your reward will be low.

I'm pretty sure that validators produce blocks regardless of how many transactions there are. Ethereum's problem is too many transactions, not too few.

Did anyone think about making staking actually attractive to infrastructure providers?

Those providers exist and they're efficient enough that they can pass through most of the rewards.

[ Parent | on HN ]
Re:The Merge by everfree on Sunday August 21, 2022 @03:51AM (#32538206)
> Your payment would be proportional to the number of attestations, so if only a few people use ETH for transactions, your reward will be low.

Attestations are a staking consensus concept, not a transaction concept. Attestations occur 24/7, not just when people decide to use the network.

[ Parent | on HN ]
Re:The Merge by 0x64 on Sunday August 21, 2022 @04:45AM (#32538404)
You can stake on a Raspberry Pi and an external SSD, if you hate yourself enough. Most home stakers run on micro-PCs like Intel NUCs or Optiplex Micros.

Attestations occur for every validator once every epoch, i.e. once every 6.4 minutes. It is not related to network activity in any way.

[ Parent | on HN ]
Re:The Merge by colinmhayes on Saturday August 20, 2022 @08:02PM (#32536222)
The reward goes up as the number of validators goes down.
[ Parent | on HN ]