I recently wrote a post which walks through the basics of Ethereum 2.0 economics. On top of that Ivan Martinez, software engineer at Prysmatic Labs put out a tweet thread which argues for the community to come together and discuss the staking economics behind Eth 2.0.
I’d like to start to gather thoughts from people on the current staking returns. At a total network stake of 10,000,000 (which appears to be a nice target for now), we’re looking at 2.5% return to stakers. That’s much more competitive than any DeFi option for lending ETH at the moment (usually ranged between 0.1%-0.5%) but it’s barely profitable giving validator costs at current price.
My hunch is we need to hike the rates around 25-35% versus in the current spec but interested in everyone’s thoughts!