What is Rocket Pool (RPL)?

Deep Dive

1. Purpose & Value Proposition

Rocket Pool solves Ethereum’s high staking barriers by letting users delegate ETH to a decentralized node network or run nodes with only 16 ETH (vs. 32 ETH solo staking). Its rETH token represents staked ETH plus rewards, enabling liquidity while earning yield (Rocket Pool Docs). Node operators earn ETH commissions and RPL rewards for collateralizing nodes, aligning incentives across the network.

2. Technology & Architecture

The protocol uses smart nodes—custom software distributing slashing risks across the network—to minimize individual penalties. rETH’s value increases via an exchange-rate model (avoiding taxable events from reward distribution). Rocket Pool’s contracts are open-source and audited, ensuring non-custodial staking and censorship resistance.

3. Governance & Tokenomics

RPL is Rocket Pool’s governance and collateral token. Node operators must stake RPL (minimum 10% of ETH value) to participate, which insures against penalties and grants voting rights. The DAO uses on-chain governance for upgrades, fee adjustments, and treasury management, emphasizing permissionless participation (Rocket Pool Governance).

Conclusion

Rocket Pool is a decentralized staking infrastructure balancing accessibility, liquidity, and Ethereum’s ethos. Its rETH token and node network reduce centralization risks while enabling scalable participation. How will its upcoming Saturn upgrade—introducing 4 ETH validators and "megapools"—further reshape Ethereum’s staking landscape?