Lido on Ethereum Wave 5 Onboarding

https://blog.lido.fi/lido-on-ethereum-wave-5-onboarding/

Furthering Lido’s Commitment to Infrastructure Decentralization

Lido on Ethereum Wave 5 Onboarding

 

During August and September of 2023, the Lido Node Operator Subgovernance Group assessed 117 applications to the Lido on Ethereum Wave 5 Onboarding round that culminated in a shortlist proposal to the Lido DAO for the onboarding of 7 new Node Operators. This follows Stage 1 of the onboarding round where two Node Operators (Launchnodes and SenseiNode) were successfully onboarded.

 

Node Operators were assessed by a committee of over 30 teams consisting of existing Lido Node Operators in addition to independent parties. The Lido on Ethereum Wave 5 assessments also included participation from many of the client teams onboarded as operators during Wave 4.

 

The Wave 5 Stage 2 Onboarding Snapshot vote has passed, and as the new Node Operators are onboarded they will improve the Lido on Ethereum set by meaningfully adding to the diverse mix of geographic and jurisdictional representation, as well as infrastructure hosting setups, and client types.

 

As outlined in the Factors to Consider section of the Wave 5 Onboarding announcement, the LNOSG suggested the following characteristics be prioritized for this onboarding round:

  1. Reducing the overall percentage of validators in the Lido on Ethereum set using Geth, Prysm, or Lighthouse.
  2. Reducing the overall percentage of validators in the Lido on Ethereum using public cloud infrastructure.
  3. Promoting additional geographic diversity of Node Operators using the Lido on Ethereum protocol with an emphasis on onboarding operators outside of the EU and United States (as this is where the majority of current Node Operators are located).

 

The Path to Diversifying Lido Validation Infrastructure

Lido on Ethereum Node Operators disclose information in the aggregate to the Ethereum community via the quarterly Validator and Node Operator Metrics (VaNOM) report. By analyzing these metrics, the LNOSG seeks to assist the DAO to onboard Node Operators that will promote further decentralization of infrastructure and jurisdictions for larger-scale Node Operators.

 

Of the Node Operators proposed for onboarding, all 7 utilize minority execution layer (EL) clients and have committed to using Geth for <30% of their Lido-related validators within 6 months of onboarding, each use at least one minority consensus layer (CL) client, and no operator uses the public cloud for their primary infrastructure.

 

Onboarding Ethereum Client Teams

Among the Node Operators proposed for onboarding during Wave 5, Develp GmbH, the team representing the consensus layer client Nimbus, was included in the suggested shortlist.

 

As discussed in the Lido on Ethereum Wave 4 blog post, the Lido Node Operator Subgovernance group has suggested the onboarding of additional Ethereum client teams through its recommendations to the Lido DAO.

 

The onboarding of client teams began during Wave 4 and since then has had a meaningful positive impact in terms of furthering the decentralization and resilience of the Ethereum base layer, as well as providing client teams secondary sources of revenue and – most importantly, a guiding voice in the Lido community on a diverse set of topics and initiatives from PBS (and MEV Boost usage), to client diversity and onboarding.

 

As one example, ChainSafe, the team behind the consensus layer client Lodestar, was among the Node Operators onboarded during Wave 4. At the time Chainsafe applied for the Wave 4 onboarding round, the team was running < 200 validators on mainnet utilizing the Lodestar client. As of 18/9/23, ChainSafe is now utilizing Lodestar for over 9,500 validators via the Lido protocol.

 

ChainSafe joining as a Node Operator not only allowed for one of the smallest consensus layer clients to grow and further decentralize the CL, but also allowed the team to improve Lodestar to the point where it is now among the best performing CL clients utilized by Ethereum Node Operators.

 

Stage 2 Proposed Cohort

A41

A41 is a blockchain infrastructure service provider based in Seoul, South Korea. Incorporated in May 2022, we successfully have supported a total of 19 mainnet networks. Our commitment to the industry is to become a reliable and secure partner in bringing the Crypto Economy to everyday life. Joining the Lido community is another step we are taking to get closer to our vision.

We believe the contribution that we are going to make through Lido participation will be significant. And, A41 is ready to engage with other Lido node operators and community members to make the ecosystem more sound and colorful.

– John Park, CEO

 

Develp GmbH

Develp GmbH (Develp) provides core infrastructure and operations services to support staking protocols on Ethereum. It is committed to decentralisation of the Ethereum network, use of minority clients in its operations for the Lido ecosystem, and draws on the skills and expertise of the Nimbus client team in providing these services. Through this, it aims to contribute to further development of the client.

Carl B, Co-founder of Status Network

 

Ebunker

Ebunker is a tech-driven Ethereum infrastructure company based in Hong Kong. We primarily serve institutional and individual clients in the Asia-Pacific region by offering Ethereum non-custodial staking services as well as a range of other innovative solutions, including consumer-grade validator hardware.

Our mission is to help Ethereum achieve true decentralization. We support the use of multi-client setups and non-public cloud infrastructure for operating Ethereum validators. We aim to lower the threshold for Ethereum staking, aspiring to enable millions around the world to become part of the validator ecosystem.

We are thrilled to be a part of the Lido ecosystem. With our technological expertise, we’re committed to making both Lido and Ethereum more robust. Leveraging our influence in Asia, we also aim to broaden awareness and encourage greater participation in the building of the Ethereum and Lido ecosystems.

Allen Ding, CEO of Ebunker

 

Gateway.fm AS

Joining the Lido ecosystem has given us an amazing opportunity to showcase our technical acumen and advanced capabilities when it comes to building validator infrastructure solutions tailored to further decentralizing the web3 ecosystem in relation to staking services.

We also devote a lot of focus on working with node client diversity to allow a more systematic way to enable the growth of additional Ethereum clients in the space. We’ve been able to deploy our deep infrastructure knowledge, coupled with our extensive core development experience to serve the many leading solutions in the crypto space.

– Cuautemoc Weber, Co-Founder and CEO of Gateway.fm

 

Numic

Numic is a quantitative investment and blockchain infrastructure company based in Brisbane, Australia. Numic has a history of developing and trading statistically driven strategies that produce great returns by adhering to mathematical and statistical models.

Numic also offers Ethereum and Cardano staking services, allowing customers to stake their crypto assets. Led by a team with expertise in computer science, finance and software engineering, Numic aims to stay ahead in the blockchain revolution and financial markets.

Frank Тhurnbacher, Director

 

ParaFi Technologies LLC

ParaFi Technologies LLC develops and runs advanced blockchain infrastructure. We are an experienced group of engineers and operators who have been deeply involved in DeFi since 2019.

At ParaFi Technologies, we have amassed unique knowledge and understanding in the areas of infrastructure, custody, data analytics, and on-chain services. We pride ourselves in running sound infrastructure– sufficiently decentralized, scalable, and secure for the Lido ecosystem. We are thrilled to be working alongside the community to further the long-term health, ethos, and success of the Ethereum network.  

– Kevin Yedid-Botton, on behalf of ParaFi Technologies LLC

 

RockawayX Infra

In allowing users to seamlessly stake Ethereum, Lido has meaningfully accelerated the growth, security and democratization of the world’s largest and most valuable computing network. We are excited to join its validator set and support Ethereum’s increased decentralization. As more users participate in Ethereum consensus, the decentralized financial system it underpins will grow more innovative and enduring.

Since its founding, RockawayX Infrastructure has been designed to support that future.

Across our industry, server security has been consistently prioritized; our firm has achieved top performance in that area, and has pioneered new physical security and decentralization standards. We only operate bare metal private rack infrastructure from three Tier 3 colocation centers, that are located in Europe and operate under tight access controls. Our uptime has consistently exceeded 99.9%, and our validators are operated by an internal team, with no material reliance on third-party providers.

We look forward to partnering closely with the global LIDO community for years to come.

– Tomas Eminger, Chief Technology Officer, RockawayX Infrastructure

 

Next Steps

With the Snapshot successfully concluded, an on-chain Aragon vote is planned for October 3rd. If the Aragon vote successfully passes, the new Node Operators will be able to participate in utilizing the Lido protocol to run mainnet validators by the end of October.

 

Over the coming months, additional proposals to the DAO are expected that may allow for the onboarding of Node Operators across novel formats to the protocol. Notably, the next Distributed Validator Technology testnet with Obol Network and SSV Network is planned to take place in Q4. If you are a solo or community staker interested in participating, please signal interest via this form.

Lido on Ethereum: SSV Network Testing V2

https://blog.lido.fi/lido-on-ethereum-ssv-network-testing-v2/

Lido on Ethereum: SSV Network Testing V2

During April through July, Lido DAO contributors collaborated with the SSV Network team and multiple Node Operators for a second round of testing of SSV Network-based Distributed Validators through the Lido Node Operator registry on Goerli.

 

The trial included 46 non-Lido Node Operators consisting of solo stakers, community stakers, and other professional organizations in addition to 10 existing Node Operators using the Lido on Ethereum protocol. This included operators running their SSV Operator through Dappnode, self-hosted servers, via colocation in datacenters, and public cloud.

 

This trial was an expansion of the first SSV Network integration on Goerli that featured eight existing Lido on Ethereum Node Operators. The goals of this round of testing were to trial operating SSV distributed validators through the Lido Node Operator registry with community stakers, and to form a foundation of what an initial limited mainnet application of SSV based DVT may look like.

 

Cluster Setup

For this trial, participants were separated into 10 clusters of participants, all of which are visible on operators.testnet.fi/. This included four clusters with a 3/4 threshold configuration, two with a 5/7, three with a 7/10, and the first 9/13 threshold cluster to be tested through the Lido registry.

 

Each cluster had a “cluster coordinator”, a member of the cluster responsible for setting up validator keys to split across the SSV key splitter tool and a corresponding multi-sig wallet that served as the entry to the Lido Node Operator register.

 

Of the 10 clusters, 3 clusters were led by existing Node Operators, and the remaining 7 were led by community stakers.

 

The clusters participating in the trial included: Cebu, Four Part Trilogy, Group 3 Avengers, AWD, BlueCrisps, Clusterix, The Magnificent Seven, Group 8, StakeVanguard, Group 10.

 

Two of the 3/4 threshold clusters were organized to trial an early implementation of a RockX-developed distributed key generation (DKG) ceremony mechanism. Although initially not successful and validators for these clusters were not activated, the testing process surfaced numerous bug fixes and process improvements, and it is estimated that a next round of testing would include successful DKG setups.

 

The remaining eight clusters (shown below) each activated and ran 5 validators.

 

Cluster Name

Cluster Size

Cluster Makeup

Group 3 Avengers

3/4

Cluster coordinator: Non-Lido NO 

2 Lido NOs
2 non-Lido NOs

AWD

3/4

Cluster coordinator: Lido NO 

0 Lido NOs
4 non-Lido NOs

BlueCrisps

5/7

Cluster coordinator: Lido NO 

5 Lido NOs
2 non-Lido NOs

Clusterix

5/7

Cluster coordinator: Non-Lido NO 

4 Lido NOs
3 non-Lido NOs

The Magnificent Seven

7/10

Cluster coordinator: Lido NO 

6 Lido NOs
4 non-Lido NOs

Group 8

7/10

Cluster coordinator: Lido NO 

5 Lido NOs
5 non-Lido NOs

StakeVanguard

7/10

Cluster coordinator: Lido NO 

0 Lido NOs
10 non-Lido NOs

Group 10

9/13

Cluster coordinator: Non-Lido NO 

0 Lido NOs
13 non-Lido NOs

 

Distributed Validator Setup

The cluster setup process started with each individual cluster member setting up their SSV Operator following the SSV operator instructions. Each participant created a brand new SSV operator specific to the trial.

 

Once done, each cluster set up a multi-sig which became the cluster’s entry in the Lido Node Operator Registry on Goerli. When each participant confirmed their operator was active and online, the cluster coordinator for the 8 non-DKG clusters was responsible for generating validator keys, submitting them to the Lido registry, and splitting them across their respective cluster members. At this point validator duties were then handled by each cluster’s distributed SSV operators.

 

Each of the 8 clusters successfully proposed blocks, demonstrated strong attestation performance, and excluding an initial performance issue related to peering, strong uptime.

 

Upon completion of the trial, cluster coordinators were responsible for exiting each validator which proved to be a seamless process.

 

Performance Metrics

While the setup process of the clusters and operators was mostly smooth, two issues were present at the start of the trial. 1. Cluster performance for those “greater than 7 operator” clusters was initially poor due to low peer connectivity, resulting in some validators failing to properly attest. The SSV team rolled out a new version (v0.5.4) that solved this issue and validators began properly attesting once all participants had updated their SSV operator software.

 

The second issue was an issue with SSV Validator registration, prohibiting two of the clusters from splitting their keys and registering to the SSV network. An update was rolled out to the SSV registration webapp that solved this issue soon after discovery.

 

For the 60 day sample period that validators were deposited to, the 8 clusters with active validators showed strong performance in-line to slightly above that of other validators run on Goerli per Rated Labs data (note that average validator performance on Goerli is much lower than mainnet), especially when considering only 8 active clusters and a connectivity issue that was subsequently fixed.

Lido on Ethereum: SSV Network Testing V2

Analysis on validator performance from the 60 day period prior to the last validators exited (following the initial 60 day window above) shows clear improvement in performance without the skew of the initial setup issues.

 

For example, Average Attestation Rate* improved from 97.44% during the 60 day window to 99.04%. Once cluster setups were completed and operational, the validators maintained strong performance throughout the remainder of the trial.

 

Plans for Next Round of Testing

The second round of testing SSV based distributed validators was successful, clearly demonstrating the ability to combine solo stakers, community stakers, and professional operators across clusters through the Lido Node Operator Registry on Goerli in a performant manner.

 

In the next round of testing, a more mature DKG mechanism and blinded block support (to enable MEV-boost) are planned for testing.

 

As mentioned in the follow up post of the Obol Network trials, the Staking Router will potentially allow for new methods of participating in the Lido Node Operator Registry on mainnet in the coming months.

 

Potential methods (subject to a DAO vote) could include limited trials of simple distributed validator configurations on mainnet, more complex modules with native DVT-protocol mechanism integrations, and migration of stake from the single-operator model currently utilized in the Curated Operator Set.

 

The next round of testing is tentatively scheduled for early Q4 with both SSV Network and Obol Network.

 

If you are interested in participating in future Lido on Ethereum DVT testnets, please use this form to express your interest. In the coming months next steps will be announced.

 

Lido x SSV Testnet Participants

Group 1: RockX, DSRV, HashQuark, Cosmostation

Group 2: Cryptomanufaktur, Simply Staking, Eridian, H2O Nodes

Group 3: Kukis Global, Allnodes, Ebunker, Cnupy

Group 4: Anonstake, Astro-Stakers, Wiggyhop, ShardLabs

Group 5: RockLogic, P2P, Infstones, DSRV, Simply Staking, CVJointOps, Ellipfra

Group 6: Infstones, HashQuark, Cryptomanufaktur, Allnodes, Foundry Digital, SenseiNode, Cabinet42

Group 7: RockX, Kukis Global, P2P, Cryptomanufaktur, Infstones, Eridan, A41, Gateway.fm, ParaFi Capital, Tokenomist

Group 8: RockX, DSRV, HashQuark, Kukis Global, P2P, Hellman Research, Lydia Labs, OKX Pool, Posthuman, Chainbase

Group 9: 01node, Chainode, Spacesider, Spire Blockchain, Inc., Swiss Staking, DragonStake, Cypher Core, Anvil Finance, Lanski (Dappnode), Neuler FZCO

Group 10: Deutsche Telekom, Avaunt Staking, Luganodes, RockawayX Infrastructure, Metanull, Orion, Piconbello OU, Spectrum Staking, Validation Cloud, StakeWithUs Pte Ltd., Swifstaking, Stakeall Finance, Infinite Lux Staking Service

Lido on Ethereum: Obol Network Testing V2

https://blog.lido.fi/lido-on-ethereum-obol-network-testing-v2/

Lido on Ethereum: Obol Network Testing V2

Over the past four months, Lido DAO contributors have worked together with the Obol Network team on the second round of testing Obol-based distributed validators (DVs) operated through the Lido Node Operator (NO) registry on Goerli.

 

42 new Node Operators participated in this round of testing, including solo stakers, community stakers, and other professional node operators, in addition to 12 Node Operators from within the current Curated Node Operator set. This round of testing follows the first Obol testnet pilot program, which included 11 existing Node Operators that participated in the Lido on Ethereum protocol.

 

The goal of this second testing round was to trial operating DVs through the Lido registry with community stakers and simulate what a practical small-scale initial implementation of DVs utilizing Obol’s technology may look like.

 

Each cluster successfully proposed blocks, showed strong attestation performance, and experienced limited, if any, downtime. Additionally, upon completion of the 59-day trial, all of the clusters successfully exited their validators.

 

Cluster Configurations

Participants in the testing round were split into 10 different clusters, which are visible on operators.testnet.fi/. The clusters consisted of three different types of threshold configurations: three clusters with a 3/4 threshold, four with a 5/7, and three with a 7/10 threshold.

 

The clusters participating in the trial included: Quadforce, Group2 Guardians, Dvt2-g3, Group 4, Group 5 Rangers, SevenNodes, Group 7, Clustery McClusterfaces, Group9 Hunter, and Mostly Harmless.

 

Each cluster had a “cluster coordinator”, a member of the cluster responsible for setting up a corresponding multi-sig wallet that served as the entry to the Lido Node Operator registry and facilitated the Distributed Key Generation (DKG) ceremony.

 

Of the 10 clusters, 7 clusters were led by existing Node Operators, and the remaining 3 were led by community stakers. After arranging the multi-sigs, cluster coordinators began the cluster setup process through the Obol Distributed Validator Launchpad. Each cluster operated 5 validators.

 

Cluster Name

Cluster Size

Cluster Makeup

Quadforce

3/4

Cluster coordinator: Lido NO 

3 Lido NOs
1 non-Lido NO

Group2 Guardians

3/4

Cluster coordinator: Lido NO 

2 Lido NOs
2 non-Lido NOs

Dvt2-g3

3/4

Cluster coordinator: Non-Lido NO 

0 Lido NOs
4 non-Lido NOs

Group 4

5/7

Cluster coordinator: Lido NO 

5 Lido NOs
2 non-Lido NOs

Group 5 Rangers

5/7

Cluster coordinator: Lido NO 

4 Lido NOs
3 non-Lido NOs

SevenNodes

5/7

Cluster coordinator: Non-Lido NO 

0 Lido NOs
7 non-Lido NOs

Group 7

5/7

Cluster coordinator: Lido NO 

4 Lido NOs
3 non-Lido NOs

Clustery McClusterfaces

7/10

Cluster coordinator: Lido NO 

6 Lido NOs
4 non-Lido NOs

Group9 Hunter

7/10

Cluster coordinator: Lido NO 

5 Lido NOs
5 non-Lido NOs

Mostly Harmless

7/10

Cluster coordinator: Non-Lido NO 

0 Lido NOs
10 non-Lido NOs

 

Distributed Validator Setup

Lido on Ethereum: Obol Network Testing V2

 

Clusters were configured to match the appropriate cluster threshold size and set to generate 5 validator keys through Obol’s DKG implementation. This differed from the first Obol trial where the two clusters only spun up a single validator per cluster.

 

The validators were configured to use the Lido protocol Goerli Withdrawal Address and Fee Recipient address to ensure Execution Layer Rewards would flow to the EL Rewards vault as done on mainnet.

 

Lido on Ethereum: Obol Network Testing V2

 

Obol’s implementation of DKG currently happens in a semi-synchronous manner. Once all clients in the cluster can establish a connection with one another and they each complete a handshake, the DKG is completed. During the initial ceremony attempts, clusters ran into a series of bugs as they attempted to execute the DKG. The Obol team quickly worked with the affected participants to rectify the issue and within days released v0.14.4, solving the issue and leading to successful DKG ceremonies for all 10 clusters.

 

Following the successful completion of the DKG ceremonies, the cluster coordinators submitted the deposit data for their 5 validators to the Lido registry. This was then verified by other members of the multi-sig and a motion to increase the clusters validator limit to 5 soon followed. Upon completion, deposits began to flow to the validators and they began attesting. In the days that followed however, another issue was identified related to unsuccessful block proposals across clusters.

 

The Obol team identified two issues that were causing missed proposals: 1. High bandwidth needs of the Obol wire format and 2. a change in the latest Teku image that asked for blocks in SSZ format before JSON format (SSZ was not supported by Charon at this time).

 

Over the next few days, Obol released v0.15.0, which introduced a more compressed format with lower bandwidth requirements as well as support for SSZ proposals. The v0.15.0 upgrade fixed the issues with block proposals and during the next two weeks each of the 10 clusters successfully completed at least one block proposal. Following the v0.15.0 upgrade no further issues with block proposals were identified.

 

Following successful operation of the clusters for the trial period (59 days), on the week of 5/21/23, the Lido x Obol clusters began to exit validators which proved to be a simple and efficient process. Cluster members broadcast partial signed exit messages to the other members of their clusters. When the cluster threshold was reached, the message was broadcast to the network and the validators successfully exited.

 

Upon completion of the trial, an internal competition was held between clusters to create a digital collectible that all members of the 2nd round of Lido x Obol DVT testing would receive. The following design from cluster “Dvt2-g3″ was chosen as the winner of the competition.

Lido on Ethereum: Obol Network Testing V2

 

Obol’s DVT implementation has made tremendous progress since the last round of testing; however, there are still a few features needed to run at scale in a Lido based implementation. Among these, support for blinded blocks (to enable MEV-boost support), the ability to add more validators to an existing cluster, and supporting validator exits across all Consensus Layer clients will be important features to test before scaled roll-outs of Obol based DVs begin.

 

Performance Stats

During the 59 day period that validators were online, the 10 clusters showed performance metrics generally in-line to slightly above that of other validators run on Goerli per Rated Labs data (note that average validator performance on Goerli is much lower than mainnet).

 

The high number of blocks missed during the trial are a result of the issues described above, which were resolved by the v0.15.0 upgrade.

 

Lido on Ethereum: Obol Network Testing V2

 

Next Round of Testing & The Future of Lido DVT-powered Validators

With the successful implementation of Lido V2, focus is now shifting to the opportunities provided by the Staking Router.

 

Introduced in Lido V2, the Staking Router will allow for the modularization of the Lido protocol and provide new mechanisms through which Node Operators can run validators for the protocol. Potential modules include permissionless entry, DVT based modules, Validators as a Service, mixes of the aforementioned, etc. A diverse set of teams, including Obol Network, SSV Network, Dappnode, Avado, and others, are engaging with the Lido community to explore creating new methods for a new Node Operators to use the lido protocol.

 

From a DVT perspective, potential methods of participation (which would need to be assessed and voted on by the DAO first) could include limited trials of simple DV configurations on mainnet, more complex modules with native DVT-protocol mechanism integrations (including e.g. unique onboarding methods and economics), and migration of stake from the single-operator model currently utilized in the Curated Operator Set.

 

As these possible mechanisms are being investigated, further testnet activities will be happen. For Q3, there is definite community interest to see onboarding of additional non-existing Node Operators to DVT testnets, running DVT testing with all existing NOs, and trialing DVs in a secondary module on the Goerli testnet.

 

If you are interested in participating in future Lido on Ethereum DVT testnets, please use this form to express your interest. In the coming months next steps will be announced.

 

A number of important initiatives related to DVT and Community Staking are underway. If you are interested in becoming more involved in the Lido Community, see initiatives such as the Lido Community Lifeguards or send an email to nom@lido.fi to explore other ways you can use and participate in the protocol.

 

Stay tuned to the Lido blog in the coming weeks for another blog post detailing the second round of testing with SSV Network and additional details about future Lido DVT testnets.

 

Lido x Obol Testnet Participants:

Group 1: HashQuark, DSRV, Stakely, Conqueror

Group 2: Kukis Global, Simply Staking, Mav3rick, SenseiNode

Group 3: Mahof, Cosmostation, GraphOps, Amonxx

Group 4: Cryptomanufaktur, Chorus One, Everstake, Blockscape, Nethermind, Luganodes, Erkan Efe

Group 5: Staking Facilities, Stakely, Kukis Global, Everstake, A41, Bellatora.co, D-Stake

Group 6: SenseiNode, Spacesider, Wallclimbr, Ugur | NodesKuge, Imperator.co, Secard, Kyne Software

Group 7: Chorus One, DSRV, Blockscape, P2P, Minivipers, P-OPS Team, Alkadelta

Group 8: HashQuark, Simply Staking, Nethermind, Kukis Global, Staking Facilities, Cryptomanufaktur, Archimedes, H2O Nodes, Coinstamp, Talha

Group 9: Chorus One, DSRV, P2P, HashQuark, Everstake, Emre NOP, Farukyasar, Polkachu, wabut.club, Staking4all

Group 10: Luke, Eridian, Furkan Efe, NakoTurk, Obol Ar Line, Smart Node Capital, Sodiumstar, Swiss Staking, Yesaynow, Piconbello

Lido on Polygon – Wave 2 Onboarding

https://blog.lido.fi/lido-polygon-wave2-onboarding/

Lido on Polygon - Wave 2 Onboarding

The Lido Node Operator Subgovernance Group (LNOSG) has proposed to the DAO the addition of five new Node Operators for the Lido on Polygon operator set, following the Wave 2 onboarding evaluations.

 

This onboarding round follows the Lido on Polygon V2 protocol upgrade, which included a number of significant improvements for Node Operators. These changes included more equitably distributing stake for Lido on Polygon Node Operators upon deposits and withdrawals, no longer requiring Node Operators to transfer their validator slot to the protocol, and simplified logic for the Node Operator registry.

 

Following these changes, and the strong inflows Lido on Polygon has seen year-to-date, a record 43 applications (of which 26 were eligible for inclusion) were received to join the Lido on Polygon Node Operator set. Due to the limited size of the Polygon validator set, Node Operators were deemed ineligible if they are not currently running an active mainnet validator.

 

After evaluating the applications, the LNOSG suggested that proposing five new candidates for inclusion to the Lido on Polygon Node Operator set was appropriate. This took into account the potential for market volatility and the dilutive impact to existing Lido on Polygon Node Operators from what will be an 83% increase in the number of Node Operators participating in the protocol if the five shortlisted candidates are included.

 

While the LNOSG is responsible for evaluating the applications received to the protocol for permissioned networks, ultimately the choice remains up to the Lido DAO whether to include all, none, or some of the proposed shortlist.

 

Proposed Node Operator Candidates

With the Snapshot vote now in progress, Lido DAO members are encouraged to vote and express their opinion regarding the proposed candidates in the onboarding thread on the Lido Research Forum.

 

Below you can find a description and statement for each of the prospective operators proposed by the LNOSG to join the Lido on Polygon Operator set (listed in alphabetical order).

 

bountyblok

bountyblok is the easiest way to power your Web3 projects for engagement. With bountyblok you can launch contests & giveaways, distribute NFTs in a few clicks, gift NFTs with personalized email templates, and access enterprise Web3 APIs for secure blockchain integrations.

“We are excited to be proposed to join the Lido ecosystem! The defi space is constantly growing and as an experienced validator on the Polygon mainnet since genesis, we have the know-how and expertise in running mission critical nodes and help power the Lido finance network in this journey.”

 

Bware Labs

Bware Labs is a web3 infrastructure company providing a wide range of ecosystem services such as running validators, indexing services, bridge operators, faucets, snapshot services and API’s through our BLAST platform. Their core objective is to improve the developer experience within a blockchain ecosystem while providing the highest-performance infrastructure services.

“We have been working with Polygon for two years now, providing Public API support and running a validator on mainnet at the same time. BwareLabs believes strongly in what Polygon is building and that’s why we would be honored to join the Lido Node Operator set.”

 

Everstake

Everstake is a responsible validator trusted by 625k+ users across 70+ blockchain networks. Created by engineers in 2018, it’s a self-funded, profitable business employing 125+ people, running over 8,000 nodes for 70+ blockchain protocols, including bridges and oracles. Their team focuses not only on ensuring 100% uptime, but also on benefiting the community and the partners via various activities.

“Being a part of Ethereum and Solana Node Operators sets, we’re thrilled to hopefully join, as well, as a Lido operator for Polygon, a blockchain we’ve been running infrastructure on since December 2020. We are looking forward to contributing further to the Lido ecosystem and supporting it for the best user experience, reliability and security.”

 

Smart Stake

Smart Stake has been providing high quality delegated proof-of-stake validator services since 2019. Smart Stake builds easy to understand and user centric tools for all network participants. Smart Stake has been a Polygon mainnet validator since genesis, contributing to the Polygon ecosystem with analytics dashboards for validator, network, & decentralization metrics.

“Liquid Staking enables exciting opportunities for stakers while securing the network at the same time. Lido has always led from the front in liquid staking. We are proud to be shortlisted as a node provider for Lido on Polygon. Looking forward to continued adoption and success for both Lido and Polygon.”

 

Stakin

Stakin is a non-custodial staking provider for Proof-of-Stake blockchains. Stakin serves institutional crypto players, foundations, custodians, exchanges as well as a large community of individual stakers. Stakin provides secure and reliable Web3 infrastructure on 40+ blockchain networks including Ethereum, Polygon, Cosmos, Near, Aptos and more.

“We are thrilled to join the selected validator set for Lido on Polygon. Lido is a leading staking solution for Ethereum and other blockchains, and being part of their validator set is a testament to our expertise and dedication to the blockchain ecosystem. Polygon is an exciting and fast-growing scaling solution for Ethereum with a thriving ecosystem. We are excited to work with Lido to contribute to Polygon’s security and decentralization, and help drive the adoption of staking on Polygon.”

 

Next Steps & Future Onboarding Opportunities

If the Snapshot vote passes as proposed, the five new Node Operators will likely be added to the Node Operator set by the end of May.

While the exact timing of future onboarding rounds will depend on numerous factors, the LNOSG intends to open a future onboarding round for Ethereum Node Operators post the Lido V2 upgrade. Future onboarding rounds for Polygon and Solana are also possible during 2023, though will heavily depend on macroeconomic market dynamics.

 

Interested in learning more about Lido Node Operators?

The Lido Operator Portal contains detailed information regarding current Lido Node Operators in addition to an overview of the Node Operator application process.