SOTS #3: Staking Service Considerations

Transcript

01:42 - ETHStaker community thoughts on some of the emerging staking pools

hey superfiz here uh doing a couple of these bench chats trying to get it right um got some stuff in my mind today i want to share with you the most pressing thing at this moment is that uh our team is seeing uh staking pools that we're not ready to vouch for that we're not comfortable with um a couple of these are being heavily promoted and some of them are projects we've never heard of at all that doesn't mean anything i don't claim that we know everything but in general we have a good sense of what's floating around

so when we see a staking pool being heavily promoted that we've never heard of it causes us some concern and so when it comes to staking pools you've heard me talk and say a lot of positive things about rocket pool when i talk to the rocket pull team they're telling me they're taking it slow and cautiously they don't want to deploy a product that's going to cause you to lose your funds and so they may not be the first to market but what i'm comfortable with is my perception that they're being incredibly careful with user funds so a lot of these products who are trying to be the first to market who are making these promises about substitute coins or

who um are custodian your funds or something i i just i don't feel good about them that is one of the reasons we've developed this ethereum due diligence committee and i think they're going to get up and running very quickly but in the meantime i have to urge you don't be so impatient that you risk losing all of your funds to get a very small return um with the beacon chain just launching and you know it may launch december first we'll talk about that in a minute uh the return rates look very high but you have to realize those are very

02:34 - Setting correct expectations for returns on Ethereum 2.0 staking

short-term return rates and they're going to fall quickly when deposits go up so if you're under the impression that returns on staking are going to be in the 10 to 15 range i'd really encourage you to just slow down and take a breath and relax because that's a temporary illusion and any any staking company who's promising you these big returns is also probably an illusion uh ice it's so important to me that we take a slow and cautious approach and carefully look at the products we're using um so right now the things that i'm confident about um are the three leading solo-staking clients um let me be fair

03:08 - Advise on who to trust if you're solo staking

the four-leading nimbus is a part of that i just don't have a lot of personal experience with nimbus but i look at lighthouse teku and and prism and i know that those four products are solid products so you can solo stake on them and be fine now you're saying well i don't have 32 ether but i still want to get in this early game and i really have to urge you to wait don't jump in right now give the due diligence committee a couple of weeks before and after launch to look at these products carefully if you have the technical experience to look at them and vet them yourself

07:30 - Take your time before choosing to use a staking pool

that's great but if you're like 99 of us and you are a home user or just an enthusiast the smart thing for you to do is just wait a little while um your eat isn't going anywhere it's likely to appreciate in value but by taking risks on these unvetted products you're risking uh losing your your money i know for one of these products that i've heard about just in the past two days that i've seen promoted on some popular youtube channels um to me it it reeks very strongly of a pump and dump and i'm not going to say their name because i don't want to give them additional credit but you can apply this

to any product that you're seeing uh in popular popular channels that doesn't have community support behind it um sure they may have something it may be vaporware but really what they're working to do is pump up that price so that the promoters can then sell and capitalize on um other people who think they're buying a staking product there will be losses due to poor choice staking there will be losses from people who sent their funds to someone that mishandled them there will be losses contracts that turned out to be exploitable

there are going to be losses from people who thought they were buying a staking coin that was going to make them rich and the developers of it dumped on them and took the money and left that is the way that crypto works it is the wild west so if you're seeing a product that you don't know very well and they're telling you they're the next big thing i i would really strongly encourage you to just hold your funds and not let yourself be victimized there's always a chance that you're going to make that genius trade and walk away with a 10 percent gain and i hope that happens for you but i think that's a really poor choice i think that

the best thing that you can do right now um if you're a solo staker with more than 64 ethereum 64 ether it's a good job to it's a good idea to maybe submit one validator now if you have more than 64 ether then you know what you're doing and do your due diligence but if you're a staker with less than 32 ether i just need you to wait um it may it may be a five month wait after launch so we're looking at uh june of 2021 might be the right time for you to get into the staking game and i'm going to be the first person to be like hey now is the time but please don't jump the gun please don't do that early please don't put your funds at risk i care more about your

your interest and eagerness to participate in ether than a tiny gain that may not materialize so do yourself right a couple other things i want to talk about i'm probably going to skip them for now um but we'll catch up with those later my big points for today are going to be about three things um genuinely solid staking pools will not be ready out of the gate look for the june time frame this includes products like rocket pool that i'm a big fan of beware of shady pools i don't trust many pools [Music] let them have some time to prove themselves before you put funds into

them and finally let the ethereum due diligence committee give it a few weeks to come together and start doing due diligence with you on these pro projects before you strike out on your own and um end up losing funds so that's all superfiz here have a great day thanks your time