Amid the soaring demand for Ethereum validator nodes and an increase in waiting times, developers are mulling over a dramatic raise in the current validator limits. They propose to increase the limit from 32 Ether (ETH) to a substantial 2,048 Ether, marking a 6,300% rise.
This rise is being considered due to the necessity for large entities like Lido or crypto exchanges offering staking services to create multiple validator nodes to cater to users seeking staking yield services.
During an Ethereum core developer call on Thursday, it was discussed that the present limit led to a swift expansion of the network’s validator set. However, this resulted in a significant rise in the number of validators operating the network. This proposition was initially put forth in early June by Ethereum developers Mike Neuder, Francesco D’Amato, Aditya Asgaonkar, and Justin Drake. The proposal is currently under debate and hasn't been implemented yet.
Validators in a proof-of-stake blockchain like Ethereum are crucial entities that process transactions and uphold the network's overall security.
Current data reveals that the waiting period for a user to run a validator node on Ethereum has risen to 44 days from almost a month in May. Conversely, exiting the network is possible within minutes, with no entity in the “exit queue” as of Monday. This data underscores the high demand for validators to join the network and earn an approximate 5% annual yield. This substantial demand is presumably due to large Ether holders who prefer to earn passive income on their holdings rather than cashing out.
