Solving the Liquid Staking Trilemma: ClayStack - TOKEN2049 Singapore 2023
Explore the complexities and innovations in the world of liquid staking with "Solving the Liquid Staking Trilemma: ClayStack - TOKEN2049 Singapore 2023." Presented by Mohawk, the founder of ClayStack, this talk delves into the liquid staking trilemma—a problem stemming from the interlinked challenges of security, scalability, and decentralization. Liquid staking has become a critical space in the blockchain world, allowing users to stake assets while maintaining liquidity through derivative tokens, like staking ETH and receiving tradable CSE.
Currently, the liquid staking ecosystem faces systemic risks, such as governance attacks and validator slashing, which threaten Ethereum’s stability. Mohawk discusses how the concentration of staked assets in a few protocols, like Lido, poses significant decentralization and security risks, illustrating potential vulnerabilities like sanctioning issues or inadequate validator diversification.
ClayStack proposes a groundbreaking solution using Distributed Validator Technology (DVT), aiming for high fault tolerance and modularity. By combining professional validators with home stakers in a multi-operator cluster, they enhance operational reliability. Their architecture integrates innovative concepts like zero ETH bonding and Validator Financing Protocols (VFPs), enabling broader validator participation without the typical financial barriers.
Join us for an insightful session on ClayStack's roadmap to mitigating risks in liquid staking, aiming to revolutionize and secure the space. If you find this talk valuable, please like, comment, and subscribe for more cutting-edge insights from TOKEN2049 Singapore.
