# Protocol Funding in Saturn I and Beyond **URL:** \ **Category:** Governance\ **Created:** [24 March 2025 10:24 UTC](https://dao.rocketpool.net/t/protocol-funding-in-saturn-i-and-beyond/3555 "2025-03-24T10:24:17Z")\ **Posts on this page:** 1\ **Showing post:** 8
**Author:** ![drdoofus](https://dao.rocketpool.net/user_avatar/dao.rocketpool.net/drdoofus/32/403_2.png) [@drdoofus](https://dao.rocketpool.net/u/drdoofus)\ **Post date:** [7 May 2025 14:37 UTC](https://dao.rocketpool.net/t/protocol-funding-in-saturn-i-and-beyond/3555/8 "2025-05-07T14:37:40Z")
This has been a challenging set of polls to put together for various reasons, including uncertainty about whether it will directly lead to governance actions (RPIPs, roadmap changes, etc.). Part of this effort aims to gauge sentiment on foundational decisions that may set the stage for future governance before/during Saturn. I’ve adopted a general approach, organizing several categories for you to express your opinions. This discussion encompasses several topics: 1. **Boosting pDAO Treasury:** 2. **Treasury Diversification:** 3. **Increasing rETH Yield by Reducing Node Operator Rewards:** The above three topics have been explored across multiple discussions: [protocol funding beyond RPL inflation and speculation](https://discord.com/channels/405159462932971535/1338968765945090131), research and governance channels in the discord, this forum post (among others). My aim here is to seek agreement on fundamental concepts before delving deeply into implementation details, which are likely best decided once Saturn 1 has been operational for a while. * * * ### Vote Categories: **1. ETH Diversification:** _In Saturn 1, convert some RPL into ETH immediately each rewards period._ This could include conversions triggered at specific RPL price milestones or other criteria. Currently, tokens cannot be withdrawn from the vault, so these funds are not immediately available unless they are spent/transferred immediately. Support for direct ETH (technically wETH or other ERC-20 token) withdrawals would need to be built in the near future. _Poll ([view on site](https://dao.rocketpool.net/t/protocol-funding-in-saturn-i-and-beyond/3555/8))_ * * * **2. ETH as an Income Stream (mid/short-term Treasury Income):** _Explore the feasibility of directly allocating ETH income from node operator or voter shares to the treasury in Saturn 1._ If “yes”, this poll will formally ask the team to advise on this possibility. My rationale is that diversified income streams help avoid the necessity of large, disruptive RPL-to-ETH conversions and mitigate delays from governance decisions. While I desire the capability, I recognize the uncertainty around the optimal percentage at the start of Saturn 1. **Vote - ETH Income Stream to Treasury (diverted from Node Operator commissions):** _Poll ([view on site](https://dao.rocketpool.net/t/protocol-funding-in-saturn-i-and-beyond/3555/8))_ **If yes, should the ETH come from:** _Poll ([view on site](https://dao.rocketpool.net/t/protocol-funding-in-saturn-i-and-beyond/3555/8))_ * * * **3. RPL Diversion (Short-term Treasury Income):** _Consider significantly reducing the Node Operator share of RPL rewards from the current 70% to approximately 35% after Saturn 1 has been operational for some time, redirecting the difference to the treasury._ The rationale is the treasury’s immediate funding requirements for ongoing operations and integrations. Node Operators would still receive ETH rewards from the voter share, and RPL rewards will phase out with Saturn 2, anyway. Mitigating factor: While I prefer starting asap, ensuring maximum incentives for migration to megapools at Saturn 1’s launch may delay implementation of this. **Vote - RPL Diversion:** _Poll ([view on site](https://dao.rocketpool.net/t/protocol-funding-in-saturn-i-and-beyond/3555/8))_ * * * **4. rETH Yield Increase (Saturn 1):** _Explore increasing rETH yield by reducing Node Operator ETH rewards in Saturn 1._ This aims to enhance rETH attractiveness and boost adoption. Mitigating factor: Reduced NO rewards could decrease operator incentives and limit potential new income streams for the treasury. **Vote - rETH Yield Increase:** _Poll ([view on site](https://dao.rocketpool.net/t/protocol-funding-in-saturn-i-and-beyond/3555/8))_ * * * The primary goal of these votes is to facilitate short- to mid-term increases in pDAO income and diversification. Long-term funding strategies will require further consideration in alignment with developments like Saturn 2’s UARS. * * * These polls are intended to capture general sentiment and may or may not lead to specific RPIPs, governance initiatives, or roadmap adjustments. **Special note:** I recognize some of you have repeatedly expressed your views across various platforms. No need to repeat below this poll unless you wish to. --- _[View the full topic](https://dao.rocketpool.net/t/protocol-funding-in-saturn-i-and-beyond/3555)._