Viewpoint: EIP-8361 is a meaningless "counterproductive" action, and Ethereum should not cripple itself.

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2 hours ago

Author: 0xTodd

Let's talk about the EIP-8361 proposal submitted by Ethereum France (they are also the organizers of ETHCC, which is considered a closer organization within Ethereum).

In simple terms, this proposal aims to drastically cut $ETH's staking APR.

If the staking rate exceeds 50%, it will directly reduce the yield to 0.

My comment: a completely meaningless “make things worse” proposal.

As everyone knows, if a system can operate normally, it should not be tampered with lightly. Ethereum is the same now.

In fact, I have been doing Ethereum staking for a long time, and I am qualified to speak on this matter.

According to Ebunker, the current ETH staking is only at 2.4%, which is less than half the competitiveness of U.S. Treasury bonds.

For an individual Ethereum holder, the yields from solo staking will just about break even, or even lead to slight losses, with very thin profits. It is mostly die-hard fans running Solo Staking.

Once EIP-8361 really goes live, solo stakers will directly face a slaughter line.

And not institutional stakers, since institutions have larger volumes, and the cost of servers is fixed.

For a protocol like Ethereum, Solo Stakers are crucial as they represent the decentralization of the Ethereum ledger.

As for the concern of Chairman Tychey about the churn rate issue, there is even less reason to worry.

On one hand, after the era of large nodes (2048 Eth), there has been some improvement; on the other hand, modifying this churn rate only requires flicking a finger, changing a parameter with no risk.

However, drastically cutting Ethereum's yield also requires a hard fork to implement, as it involves $ETH's core interests, and may even result in new tokens.

This poses too high a risk for Ethereum, which is currently in a state of turmoil, comparable to childbirth.

This proposal is completely meaningless.

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