Vitalik Buterin Lowering ETH Staking Deposits Could Benefit Ethereum

  • The Co-founder of Ethereum has asserted the importance for a drop in minimum staking requirements. 

  • Vitalik Buterin told network developers to look into the possibility of reducing staking deposits  from 32 ETH to 16 or 24 ETH. 

  • According to Buterin, the move could strengthen the overall security of the network and boost decentralization. 

Vitalik Buterin, co-founder of Ethereum, says reducing staking requirements would benefit the network.

Buterin explained on Warpcast, a decentralized social network, that this change could improve decentralization and solo staking. On the Ethereum network, investors use solo staking to earn rewards. However, they must first lock up 32 ETH, currently valued at $78,464.

While stakers have the option to run their nodes on their personal computers without relying on external entities, the amount of ETH required to participate in solo staking might be too high for some investors; Buterin said during the community discussion.

Reducing Staking Deposits Could Improve Accessibility

Buterin compared the 32 ETH requirement to bandwidth requirements, arguing that the former is a bigger obstacle. He proposed increasing bandwidt…

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