September 1-9 2023 GMC Call for Grant Applications - Deadline is September 9

This thread is for applications for Rocket Pool’s September 1-9 2023 grants. Please only post grant applications in this thread. If you would like to discuss and/or ask questions about any applications you see in this thread, we ask that you do so in this separate forum thread (link) which has been established for all community discussions related to this round of applications. Only those grant applications that are posted in this thread and timestamped by September 9, 2023 at 23:59 (11:59 PM) UTC will be considered. Any grants posted after that deadline will be carried over to the next grant period.

This is the first application period that will use the new revised process outlined in RPIP-26. This is the expected schedule:

  • Application Period (September 1st - September 9th)
  • Application Discussion Meetings - one for each subcommittee (September 11th - September 15th)
  • Negotiation Period (September 16th - September 22nd)
  • Scoring Deadline (September 23rd)
  • Award Announcement (September 24th)

Please note the following differences between grants and bounties. Grants are intended to be applied for by those who are wishing to carry out the work themselves. Bounties are open-ended goals that could be met by anyone, including those other than the proposing party. In other words, if I believed that Rocket Pool needed a fifty-foot paper mache orange rocket for publicity purposes and I wanted to be the one to built it, I would apply for a grant. If I instead thought Rocket Pool needed a fifty-foot paper mache orange rocket for publicity purposes but I wanted it to be open to whoever built it first to claim the reward (similar to a prize), then I’d apply for a bounty.

To guide you in your application, the GMC has established the following goals and the following scoring rubric:

GMC Goals

Grants, bounties, and retrospective awards should make it easier and/or more attractive to do one or more of the following:

become a node operator

operate a node, mint rETH

hold or use rETH

improve the quality of life for the protocol and its community.

Grants Rubric

The Grants rubric involves scoring each of the three categories from 1 to 5:

If the application is successful, to what extent does it further the GMC goals?

To what extent can the application be feasibly carried out by the person(s) proposed to complete it?

If the application is successful, how large is the benefit to the protocol relative to the size of the proposed costs

The maximum score is 15 and the minimum is 3.

Grants Application

Please copy paste the template below into a reply. Answer the questions there, feel free to remove or add sections based on relevance.

## Project: Name of Project

### What is the work being proposed?

### Is there any related work this builds off of?

### Will the results of this project be entirely open source ([MIT](https://opensource.org/licenses/MIT), [GPL](https://www.gnu.org/licenses/gpl-3.0.en.html), [Apache](https://www.apache.org/licenses/LICENSE-2.0), [CC BY](https://creativecommons.org/licenses/by/4.0/) license or similar)? If not, which parts will not be, why, and under what license will they be published?

## Benefits - enter N/A where appropriate

### How does this help people looking to stake ETH for rETH?

### How does this help rETH holders?

### How does this help people looking to run a Rocket Pool node for the first time?

### How does this help people already running a Rocket Pool node?

### How does this help the Rocket Pool community?

### How does this help RPL holders?

### What other non-RPL protocols, DAOs, projects, or individuals, would stand to benefit from this grant?

### Will the resulting project be open source?

## Team

### Who is doing the work?

### What is the background of the person(s) doing the work? What experience do they have with such projects in the past?

### What is the breakdown of the proposed work, in terms of milestones and/or deadlines?

### How is the work being tested? Is testing included in the schedule?

### How will the work be maintained after delivery?

## Payment and Verification

### What is the acceptance criteria?

### What is the proposed payment schedule for the grant? How much USD $ and over what period of time is the applicant requesting?


### How will the GMC verify that the work delivered matches the proposed cadence?

### What alternatives or options have been considered in order to save costs for the proposed project?

## Conflict of Interest

### Does the person or persons proposing the grant have any conflicts of interest to disclose? (Please disclose here if you are a member of the GMC or if any member of the GMC would benefit directly financially from the grant).

### Will the recipient of the grant, or any protocol or project in which the recipient has a vested interest (other than Rocket Pool), benefit financially if the grant is successful?```
3 Likes

Project: OpenUX node operator and community user research study

For a version of this grant application with all links included, visit: OpenUX_Rocket Pool grant proposal for dao approval/vote. Final and public INCLUDING LINKS - Google Docs

What is the work being proposed?

An in-depth user research study will be conducted to surface the needs, pains, goals and experiences of RP node operators and community members. The insights and recommendations will:

  • Support those making decisions in the DAO; improve engagement and messaging with individuals inside (and outside) of the community, identify new ways to improve governance participation and processes, and optimise documentation and support for new node operators.
  • Identify new product and service opportunities that support Rocket Pool’s ethos and goals, and also support others building services or tools in the Rocket Pool ecosystem.

Research Questions this study will answer

Please note, these are example research questions the study will answer, we will go through a refinement and prioritisation exercise with stakeholders in the community at the start of the research.

  1. Discover who is currently running a node with RocketPool
  • Assumption: The APY is high, so why are they not running a node? What is blocking them?
  • What are the different needs of the different users? What are the behavioural personas? What statistics can be gathered around what the makeup is of your community and/or node operators?
  • How does Rocket Pool’s goals balance against the distinct types of users in the community?
  • What are the 80% of quiet people thinking/saying?
  1. Discover why node operators (and stakers) are using Rocket Pool over alternatives
  • What do they think of other protocols in terms of security?
  • How confident are they about rocket pool’s battle-tested-ness?
  • Learn about current node operators pain points, frustrations and barriers around running a node with Rocket Pool.
  • Learn about the current node operators onboarding journey. How competent/confident people are to get their node online themselves, and maintain it?
  1. Understand the experiences of community members (who may or may not be node operators) to understand
  • What are their needs, pains and goals with regards to community?
  • What might attract them to greater governance participation?

Our User Research Approach

  • We will run a consultation with stakeholders within Rocket Pool and the community to refine the research questions and assumptions to test, and prioritise these.
  • OpenUX will design and launch a survey of the community to collect signals around operator (and community) groups, to explore needs-based segmentation and insights. All data will be anonymized and privacy will be protected.
  • We will then run 10-15 in-depth user interviews with participants who opt-in to clarify and deepen understanding. All data will be anonymized and privacy will be protected.
  • The end deliverable will be a published report that addresses all the research questions and assumptions, and includes user journey maps and personas.
  • We will run sessions with the community and Rocket Pool team to make sense of the findings and support you with using them for decision-making in the organisation.
  • We will then provide ongoing unlimited support to people wishing to integrate the insights and recommendations into their own product or service development.

How do we run ethical, privacy-preserving user research?
We are aware that there may be resistance from some in the community about sharing their experiences with an outside organization (or even with the Rocket Pool community). Participant privacy is our number one consideration, and success of the research outcomes depends on people being able to trust our research processes. Survey responses will be anonymous. Those who are happy to participate in interviews can opt-in to do so, and their anonymity is respected too - we have plenty of experience researching with participants using pseudonyms and/or no camera.

We will never collect and store Personally Identifiable Information (PII), except for an email address that participants can volunteer - and that is only used for inviting them to an interview with us. Email addresses will be stripped from the raw data to conduct analysis. Video recordings of interviews are only used for the purpose of transcription and analysis, are stored in a GDPR compliant manner, and will be deleted roughly 6 weeks after completion of the study. No one except the research team will have access to videos or PII.

When recruiting participants for research, it should be noted that there will always be a small minority of people who will just not engage at all - that’s the same for any service, product or brand. But there is always a silent majority that is effectively reached by using user research recruitment best practices. In initial consultation with stakeholders, we will determine the profile of user that is needed in order to answer the prioritized research questions. We use screening methods to ensure that we not only invite to interviews/surveys only the right profile of user, but balanced quotas too. For example, it might be decided that we want to interview 8 x experienced mode operators from the community and 8 x outside who are solo stakers/or people in a particular region etc. Whatever the profile we need, we’ll choose the right method for recruitment and use smart screening (and quotas) to get the right people participating.

We use a range of techniques which ensure we get the right level of participation. Firstly, we make it clear who is conducting the research study; the fact that a third party is conducting the work can even support uptake (participants have a different perspective of outside organizations than they do for the org we’re conducting the research on behalf of). We are doxxed individuals, happy to be contacted at any time about the research, and will be available on community calls/AMAs.

We reward people with financial incentives for taking part in the study (silent voices are incentivised to speak up when there is a reward for doing so), and this is user research best practice. Usually for interviews, we pay people $1 per minute of their time, so for hour-long interviews we pay people about ~$60 for their time, but if it is an especially tricky recruit we might pay more (up to ~$200).

We choose the right places to find participants. We advertise the ‘call to research’ well outside of the discord, as well as inside. And we use a range of different recruitment tools/methods, including web3 recruitment platforms such as Web3UX.org, as well as social media.

Is there any related work this builds off of?

n/a

Will the results of this project be entirely open source? If not, which parts will not be, why, and under what license will they be published?

OpenUX sees user research as a public good, and the full report of the research results and recommendation will be published and made available to the entire community (and externally). Anything that identifies individuals will be stripped from the report, anonymising all responses.

Benefits

How does this help people looking to stake ETH for rETH?

Having insights about the staking experience as it stands today will have a systemic benefit to the organisation, and therefore new potential stakers.

The research findings will uncover opportunities for Rocket Pool to invest their resources in grants, roadmap items, and people that lead to overall protocol growth and more successful, happy users.

How does this help rETH holders?

Depending on the focus of the research, innovation opportunities will be identified that help builders in the Rocket Pool ecosystem design and develop better experiences, tools or products for rETH.

How does this help people looking to run a Rocket Pool node for the first time?

The outcomes of the research will support decision-makers at Rocket Pool with data they need to improve the documentation and support for first time node operators. Insights can help support certain key product metrics, for example reducing time to get a node up and running, operator retention, reducing support requests etc. The result will mean that the experience is improved for people looking to run a Rocket Pool node for the first time.

How does this help people already running a Rocket Pool node?

Likely the focus on these users will not be a priority for the research, but outcomes for first-time node operators, and insights that inform better communication and governance will support people already running a node.

How does this help the Rocket Pool community?

The community, including the silent majority, will have an opportunity to have their opinions and views heard. This can build trust and improve engagement in the organisation. Research insights will recommend specific tactical and strategic changes to decision-makers which will improve the experiences of members. Better alignment, understanding and cohesion are positive outcomes from acting on the research recommendations.

How does this help RPL holders?

RPL holders will benefit from actions taken off the back of the research: increased engagement, better brand equity, and increased trust in the long term sustainability of Rocket Pool and RPL, supporting token price.

What other non-RPL protocols, DAOs, projects, or individuals, would stand to benefit from this grant?

Other DAOs and protocols can learn from the research and decide to implement their own changes based on the findings, where suitable to them.

Will the resulting project be open source?

N/a. However, the research findings and recommendations will be published.

Team

Who is doing the work?

  • The Lead User Researcher on this project will be Georgia Rakusen (ultimately accountable for the outcomes). Also working on this project will be OpenUX co-founder Manansh Shukla.
  • OpenUX is a web3-native collective of the most experienced UX researchers working in the space today. Our and our members’ previous clients include: MetaMask, ConsenSys, Protocol Labs, MakerDAO, Yearn Finance, Liquity, Yearn, dHedge, Stacks Bitcoin ecosystem, Lens Protocol, NEAR, Solana, Infura and Pocket Network. Collectively we have interviewed more than 2000 individual web3/crypto users and developers across all use cases (NFTs, DAOs, infrastructure, DeFi, staking and more).
  • Not only are we highly experienced user researchers, we are ETH-natives. We understand the staking landscape and are able to bring our deep knowledge of users (whether stakers or node operators) to add meaningful context to the insights from our research studies.
  • We see user research as a public good in web3, and are dedicated to publishing our findings. Previous published research by our core members include the following (URLs can be accessed from the google doc at the top of this grant application):
    • We were awarded a grant by NEAR Foundation to conduct an in-depth study of the experiences of web3 users who are new to NEAR attempting to learn and onboard themselves into the ecosystem
    • A longitudinal study on the unique needs of Filecoin DeFi users for the company Glif.
    • Metaverse user research study for Protocol Labs.
    • DeFi user research report for ConsenSys.
    • Ethereum 2.0 Staking ecosystem report for ConsenSys.

What is the background of the person(s) doing the work? What experience do they have with such projects in the past?

Georgia Rakusen, Lead User Researcher, has over a decade of professional user research experience, working at start ups and scaled technology companies, including work for the UK Government.

Georgia has been working exclusively in the web3 space for 5+ years. As User Research Lead at ConsenSys she delivered high value strategic insights to a range of product teams building for developers, institutions, and general consumers, including Protocol Labs for the Filecoin launch, and the successful launch of MetaMask’s token swap feature. She is co-founder of OpenUX and a collective of experienced web3 UX researchers on a mission to increase the quality and quantity of UX research in web3. She is also co-founder of Web3UX, a user testing panel for web3-native users and product teams.

Recent talks (links in the google doc)

  • "Going on Safari: Researching Users in the Metaverse”, Devcon, Colombia (2022)
  • Web3 User experience sucks. Find out why. Poolside podcast 2022
  • “Broke AF: Crypto UX is Bad but Getting Better” panel discussion, EthDenver (2021)

What is the breakdown of the proposed work in terms of milestones and/or deadlines?

The project will take approximately ~10 weeks from start to completion. Estimated milestones:

Weeks 1-2: stakeholder consultations and planning

Week 3: survey design

Week 4: survey live

Week 5: survey analysis

Week 6: initial reporting of survey findings

Week 7: recruitment for interviews and interview guide written

Week 8: interviews conducted

Week 9: interviews continue and analysis

Week 10: analysis is completed

Week 11: final report and recommendations delivered with replay to community

Week 12 +: ongoing integration support with those looking to learn more from the research and apply it to their own decision-making.

How is the work being tested? Is testing included in the schedule?

n/a

How will the work be maintained after delivery?

OpenUX will provide unlimited support to those in the Rocket Pool community looking to integrate the research findings and recommendations into their own decision-making and workstreams.

Payment and Verification

What is the acceptance criteria?

A full written report that addresses the prioritised research questions and assumptions to test, backed by evidence from the multi-phase robust research, and includes both tactical and strategic recommendations to the community, culminating in a read-out of the findings to the entire ecosystem.

If OpenUX is unable to reliably and robustly find the answers to the priority research questions and assumptions (as defined in weeks 1-2), we will continue the work at no extra cost until this outcome has been reached.

What is the proposed payment schedule for the grant? How much RPL and over what period of time is the applicant requesting?

The total cost for the research is $50,000 USD (happy to be paid in stablecoin or RPL for the equivalent value).

We propose the following milestones but are happy to adjust:

  • 25% in week 4 when the survey goes live
  • 25% delivered at the end of week 6 when the survey results are completed
  • 50% (remainder) when the final report and recommendations have been delivered in week 11.

How will the GMC verify that the work deliveries match the proposed cadence?

OpenUX will provide weekly updates on the schedule of work in the Rocket Pool discord. We will ‘work in the open’; all planning docs will be publicly available. We will keep an updated schedule so anyone in the RP community can check on the status of the work.

What alternatives or options have been considered in order to save costs for the proposed project?

We anticipate that the hours to conduct this research work will cost more than the proposed grant amount, but have capped it at that amount in order to encourage a successful grant application. We eagerly want this work to be done and believe it will be incredibly valuable to the Rocket Pool ecosystem.

From experience, integrating the research findings is the most important step of the work (research just existing is not enough to make change happen). Rather than cost integration time, we have decided to provide unlimited support for free, because we want the outcomes to be successful and ensure that any builder or decision-maker in Rocket Pool has what they need to turn recommendations into actions.

Conflict of Interest

Does the person or persons proposing the grant have any conflicts of interest to disclose? (Please disclose here if you are a member of the GMC or if any member of the GMC would benefit directly financially from the grant).

None.

Will the recipient of the grant, or any protocol or project in which the recipient has a vested interest (other than Rocket Pool), benefit financially if the grant is successful?

No.

1 Like

Project: Rocketpool Motion design asset development

What is the work being proposed?

  • Logo animation/logo intro/logo end frames and Rocketpool Youtube/social intro
  • 3D logo animation + 2D logo animation
  • Motion guidelines
  • Website fly-through (quick way of highlighting how to navigate the website) This will be a short animated example of navigating through the website using various features.
  • Website animated assets (Animated icons on website/Discord loading animation/(Lottie files will be supplied)

Is there any related work this builds off of?

This will build off the Rocket Pool website refresh and logo redesign, adding a suite of assets to further enhance the refresh.

Will the results of this project be entirely open source? If not, which parts will not be, why, and under what license will they be published?

the results of this project can be open source, I will supply all working files (After Effects templates)

How does this help people looking to stake ETH for rETH?

N/A

How does this help rETH holders?

N/A

How does this help people looking to run a Rocket Pool node for the first time?

Website fly though will be a quick way for people to see how the new website is used

How does this help people already running a Rocket Pool node? ### How does this help the Rocket Pool community?

this helps the Rocket Pool community by building a more professional and consistent brand. the community can use the available assets once created on their own projects, Rocketpool marketing team can use this for any Rocketpool content produced

How does this help RPL holders?

Helps guide the outreach of Rocketpool

What other non-RPL protocols, DAOs, projects, or individuals, would stand to benefit from this grant?

Rockpool can supply assets such as end frames/logo animations to be used by other projects featuring Rocketpool

Will the resulting project be open source?

All working files and assets will be available to the dev team, and finalized assets will be available to the community if needed

Team

Myself

Who is doing the work?

Mitch Viney - Some past work - Private video on Vimeo

(PW - 2023)

What is the background of the person(s) doing the work? What experience do they have with such projects in the past?

Senior motion designer, with experience in supplying motion guidelines for various brands in the tech industry. I have worked as a motion graphics designer for over 5 years.

What is the breakdown of the proposed work, in terms of milestones and/or deadlines?

Logo animations - 3 week

Youtube/social intos/outros - 2 weeks

Website fly-through after the website is in a final state - 2 week

Animated icons/Animated discord logo - 2 weeks

How is the work being tested? Is testing included in the schedule?

To supply testing examples from my end, yes testing is included in the schedule

How will the work be maintained after delivery?

No maintenance needed

Payment and Verification

Payment in RPL

What is the acceptance criteria?

All approved assets delivered

What is the proposed payment schedule for the grant? How much USD $ and over what period of time is the applicant requesting?

proposed payment schedule, payment at the end of the delivered asset. Or 20% deposit at start of the project and 80% after delivery of assets. The full payment request is 550RPL

How will the GMC verify that the work delivered matches the proposed cadence?

Proof of supplied final assets

What alternatives or options have been considered in order to save costs for the proposed project?

Working directly with a one-man army (myself) reducing overhead

Conflict of Interest

NIL

Does the person or persons proposing the grant have any conflicts of interest to disclose? (Please disclose here if you are a member of the GMC or if any member of the GMC would benefit directly financially from the grant).

NIL

Will the recipient of the grant, or any protocol or project in which the recipient has a vested interest (other than Rocket Pool), benefit financially if the grant is successful?

NIL

Project: SheNodes Rocketpool Internship

What is the work being proposed?

• Develop a Rocketpool Learning pathway Mentorship Program
• Rocketpool Sponsored Node Campaign with Educational Content Videos
• Proof of (3) female apparel items

Our step-by-step plan involves continuously refining and expanding our educational resources to keep up with the evolving web3 landscape.
We seek strategic partnerships to offer exclusive content and ensure our learners stay ahead in the Ethereum staking realm with RP.
What sets SheNodes apart is our unwavering commitment to empowering non-technical individuals.
SheNodes is more than an educational platform; it’s a gateway to a more inclusive and decentralized future in the world of blockchain.

Is there any related work this builds off of?

Yes, SheNodes is the recent winner of the EthWomen Hackathon Women Leader
See Dorahacks for more info: https://dorahacks.io/buidl/6840

SheNodes is a pioneering educational mentoring community designed specifically for non-technical individuals without software development background.
Or mission is to provide accessible and inclusive resources that empower anyone, including women to become a skilled staker or node validator within the Ethereum ecosystem.

#Will the results of this project be entirely open source
Absolutely. The initial learning content will be open for anyone to view on YouTube, discord, X and the SheNodes website.

Benefits

The demand for educational resources in the Web3 space is rising, with a growing number of non-technical individuals seeking to learn about Eth staking and node validation. Through education and awareness more females can be involved in staking as a node validator.

How does this help people looking to stake ETH for rETH?

Based on the industry research, SheNodes identified a niche opportunity to create an educational mentorship community that caters to non-technical individuals and fosters inclusive learning experiences in Ethereum staking and node validation.

How does this help rETH holders?

• More participation
• More security of collateralized token
• More diversity & decentralization
The amount of staked rETH and number of Rocketpool node validators participating in the network are key indicators of the health and security of the RP ecosystem.
This high level of participation shows a strong commitment to the network and its potential for growth and innovation. As more individuals and institutions continue to recognize the benefits of staking, we can expect to see continued growth and development in the Rocketpool community. Early participation for female node validators empowers the network to recognize the importance of diversity.

How does this help people looking to run a Rocket Pool node for the first time?

Word of mouth, and networking is strong advertising. SheNodes will raise awareness that anyone can become a staker and node validator if given the right tools.

How does this help people already running a Rocket Pool node?

Celebrating through mentorship. RP node validators want to share their wisdom with others. This bridges the new players with the experienced OGs. Being a mentor can be a very rewarding experience.

How does this help the Rocket Pool community?

Inclusivity, undefeatable teams, and world changers!
The RP community is an amazing group of individuals that seem to fit with my vision.

I am driven by passion for democratizing access to blockchain opportunities. My commitment to inclusivity and diversity in the blockchain ecosystem motivates me to build a platform where every individual, regardless of their technical background can thrive.

How does this help RPL holders?

Community growth, Brand awareness, token value, security as more are onboarded as stakers and node validators.

What other non-RPL protocols, DAOs, projects, or individuals, would stand to benefit from this grant?

Many but RP first. Undeniably the best project, So I want to start with the best first.

Will the resulting project be open source?

Yes, the initial content will be open for anyone to view on Youtube,X and the SheNodes website

Team

Proton Girl- I am the founder and CEO
KPhilly- Advisor
Issy- Node Fellow

Who is doing the work?

The entire team

What is the background of the person(s) doing the work? What experience do they have with such projects in the past?

Professionally I am in Healthcare 20+ years.
I have a background as an educational affiliate at the University of Cincinnati Cryptoeconomics lab. Experience includes PoW mining, hardware wallet guru, YouTube Channel host,interviews, research, podcast. I have no PoS experience and I do not have a tech background. But… my drive is what sets me apart.
Mostly I am a lifelong learner and teacher on things that I love.

What is the breakdown of the proposed work, in terms of milestones and/or deadlines?

SheNodes YouTube Channel is up. https://www.youtube.com/channel/UCJpZTo3PkHVBh84JisbQ6iw

Goal 1 (8 weeks) (: Rocketpool Campaign: The Non-traditional validator
• Create a RocketPool series section on the channel
• 10 total videos (Retroactive of 5 interviews posted)
• 5 additional videos to create over an 8-week period.
• The DAO can create a poll for topics (interviews, tutorials ect) and vote on each post. The GMC will announce.
• The DAO can rate to value content of each post on a 1-10 scale
Goal 2 (12 weeks) : RP Mentor section on SheNodes
• sheNodes website is pending: Goal to publish in 8 weeks
• Have a RP section on the site as an ambassador with training and educational topics. Along with links to site.
• site clicks for RP tab will be tracked with goal to bring more traffic into the site.
• Will provide testimonial section.

Goal 3 (12 weeks): Develop (3) Prototypes for RP Female Apparel ( I am crafty)
• I have personal access to make shirts, bags,hats
• I would like to create 3 prototypes to present to the DAO
(this would be great for conferences and events!- You could use profits for more grants)

How is the work being tested? Is testing included in the schedule?

Testing would be based on number of Views from Channel
Input from the DAO/GMC with a value-based rating scale 1-10 (10 best)
Approval of Apparel from the DAO/GMC once submitted.

How will the work be maintained after delivery?

On the youtube channel and SheNodes site.
Apparel proofs will be given to the DAO GMC to create as he/she wishes

Payment and Verification

Goal 1 $ 2000 once completed videos are value rated 5 or better
Goal 2 $1000 Once SheNodes website has an RP tab with monitor capabilities
Goal 3: $ 1000 Once 3 proofs are approved by the DAO

What is the acceptance criteria?

As described above.

What is the proposed payment schedule for the grant? How much USD $ and over what period of time is the applicant requesting?

As described above. Payment once goals are met.Timeframe above is estimated and may vary by 4 weeks.

How will the GMC verify that the work delivered matches the proposed cadence?

As above

What alternatives or options have been considered in order to save costs for the proposed project?

I have equipment for interviews and education (green screen, software)
I have a Cricut cutting machine and press to make apparel
SheNodes website will be funded by CryptoChick Bounty winnings.

Conflict of Interest

I have no conflict of interest. I do work with KentPhilly on Eth Staking guide. I will also have various sections of staking platform/protocols on my site. However, I would like Rocketpool to be the first ambassador of the SheNodes community.

Does the person or persons proposing the grant have any conflicts of interest to disclose? (Please disclose here if you are a member of the GMC or if any member of the GMC would benefit directly financially from the grant).

No I am not a member of GMC

Will the recipient of the grant, or any protocol or project in which the recipient has a vested interest (other than Rocket Pool), benefit financially if the grant is successful?```

NO

1 Like

Project: IPOR - rETH Stake Rate Index and rETH Stake Rate Swaps

As a DeFi protocol, IPOR refers to a series of smart contracts that provide a benchmark interest rate and enable users to access Interest Rates Derivatives on the Ethereum blockchain. That is possible by combining 3 core pieces of infrastructure: the IPOR Index, the IPOR AMM and liquidity pools, and Asset Management smart contracts.

After the release of the IPOR Protocol v2 in September 2023, IPOR plans to offer stake rate swaps in addition to interest rate swaps. The Rocket Pool Team reached out in the IPOR Discord to ask whether rETH will also be supported. Given Rocket Pool’s market standing it would be interesting to offer a rETH stake rate index and rETH stake rate swaps. A grant is requested to finance part of the development costs. In particular, modeling and pricing swap spreads requires considerable work. IPOR Labs employs three experienced quants and multiple mathematicians.

What is the work being proposed?

Development of an epoch based rETH staking rate index.

Development of an AMM to enable stake rate swaps (SRS) and a liquidity pool for rETH holders that underwrites the swaps. rETH would be the unit of account for the stake rate swaps. This means that traders would deposit collateral in rETH at opening and receive a payout in rETH at maturity.

Is there any related work this builds off of?

The rETH products would be integrated into the existing IPOR protocol.

Will the results of this project be entirely open source? If not, which parts will not be, why, and under what license will they be published?

Deliverables will be released under BSD-3 Clause License (https://opensource.org/license/bsd-3-clause/). Both smart contract as well as the backend components would be released under the same license.

Benefits - enter N/A where appropriate

In contrast to the rETH exchange rate, the IPOR rETH index would not only be updated every 24 hours, but would be epoch based. This allows for much more accurate tracking of staking yields and a whole new product range on top of rETH. The rate will be tracked off-chain epoch-by-epoch and the rate can be printed on-chain to best track the rate. We will most likely include some analytics via API on the website (and/or publicly via public API) where users could check real-time, 24-hour moving average, 7-day moving average, number of validators etc. and also mark the actual moments of rebalancing by Rocket Pool.

ETH stakers have the opportunity to exchange the variable ETH staking rates, which are reflected in the IPOR rETH index, for fixed rates via an IPOR stake rate swap. Swaps are significantly more capital efficient than, for example, yield stripping. Interest rate derivatives have a total volume of ~$450T (notional) on the traditional market. Institutional investors in particular make use of such swaps.

How does this help people looking to stake ETH for rETH?

See above. Deposits into the liquidity pool can be made with any asset that is converted into rETH through a Zap.

How does this help rETH holders?

See above. In addition, rETH holders would also have the opportunity to deposit rETH in the IPOR rETH Liquidity pool and earn additional fees by underwriting the swaps.

How does this help people looking to run a Rocket Pool node for the first time?

N/A

How does this help people already running a Rocket Pool node?

N/A

How does this help the Rocket Pool community?

The availability of stake rate swaps enables institutional investors in particular to invest in rETH and generate predictable income. This would provide significant growth potential for rETH and the Rocket Pool community.

How does this help RPL holders?

Stake rate swaps can lead to greater growth in rETH’s market share, especially among institutional investors who require risk management instruments such as swaps and other derivatives to hedge their exposure to stake rate volatility.

What other non-RPL protocols, DAOs, projects, or individuals, would stand to benefit from this grant?

It is possible for other products to be built on rETH that use stake rate swaps, for example structured products or looping products.

Will the resulting project be open source?

See above.

Team

The work would be carried out by the IPOR Labs team who is the core software developer of the IPOR Protocol.

Who is doing the work?

The work would be carried out primarily by the quants and devs of the IPOR Labs team.

What is the background of the person(s) doing the work? What experience do they have with such projects in the past?

The team has a deep background in quantitative finance, mathematics, data analysis, and enterprise software development with 3 PhDs. Details about the personal background of IPOR Labs members can be found on the IPOR homepage.

The IPOR Labs team has already developed corresponding interest rate products for the assets DAI, USDT and USDC and is currently in the process of developing a product for stETH.

What is the breakdown of the proposed work, in terms of milestones and/or deadlines?

The project can be broadly divided into three components, which are expected to be released in the following order:

  1. rETH liquidity pool
  2. IPOR rETH index
  3. stake rate swaps

IPOR Labs aims to finish the products by the end of 2023, maybe early 2024.

How is the work being tested? Is testing included in the schedule?

IPOR Labs conducts testing on the Sepolia testnet before releasing products on the mainnet.

How will the work be maintained after delivery?

Maintenance will initially be carried out by IPOR Labs. Later, the IPOR DAO will decide who will be commissioned to do this.

Payment and Verification

What is the acceptance criteria?

Working products.

What is the proposed payment schedule for the grant? How much USD $ and over what period of time is the applicant requesting?

Due to the complexity of the products and the effort required, we consider a grant of 3500 RPL tokens (=~$80.000) to be appropriate. It should be noted that this will only cover a small portion of the total development costs.

The IPOR DAO will decide on the use of the RPL token at a later date. It is conceivable, for example, to distribute them as liquidity mining rewards for the rETH pool.

We propose payment in 5 installments, due on

  1. 20% after creation of liquidity pool
  2. 30% after setting up the IPOR rETH index
  3. 30% after opening the staking rate swaps
  4. 10% after reaching $1M TVL in rETH
  5. 10% after reaching $100M notional volume

How will the GMC verify that the work delivered matches the proposed cadence?

Check product availability on the IPOR App.

What alternatives or options have been considered in order to save costs for the proposed project?

N/A

Conflict of Interest

Does the person or persons proposing the grant have any conflicts of interest to disclose? (Please disclose here if you are a member of the GMC or if any member of the GMC would benefit directly financially from the grant).

No.

Will the recipient of the grant, or any protocol or project in which the recipient has a vested interest (other than Rocket Pool), benefit financially if the grant is successful?

No.

Project

Name of Project

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What is the work being proposed?

We are building Rocket School, an educational course platform and video series designed to hand-hold new Rocket Pool node operators through the process of setting up their node. It offers a complete, opinionated, decentralization-first series of videos on the subject of staking with Rocket Pool, starting with a few general information videos on Ethereum and Rocket Pool staking, and then going through every detail of preparing hardware and software and otherwise becoming a Rocket Pool node/minipool operator, and maintaining it after that point. The intent is to lower the barrier to becoming a Rocket Pool node operator.

Rocket School already received an EthStaker grant of just under $20k DAI in 2022, and has been working with those funds since then. With the most expensive line item now in progress in September 2023 (the video production), once that is complete we will have exhausted those funds. We are here applying for a grant from the GMC to ‘top us off’ and help us finish the project with full polish, as well as to retain some funds for future course maintenance.

Is there any related work this builds off of?

The Rocket Pool documentation is our starting point, and others have made amateur videos of their process setting up a minipool, but Rocket School is intended to be a professional-quality course with high production values and careful educational design, that avoids some of the confusing aspects of the Rocket Pool documentation.

Will the results of this project be entirely open source? If not, which parts will not be, why, and under what license will they be published?

Yes.

Benefits

How does this help people looking to stake ETH for rETH?

Rocket School will hopefully help more people become node operators, increasing the capacity of Rocket Pool to stake ETH for rETH.

How does this help rETH holders?

It will hopefully help more poeple become node operators, increasing the number of Rocket Pool validators on Ethereum, and thus improving the long-tail odds that exceptionally high MEV blocks are found and shared in the Rocket Pool smoothing pool, marginaly increasing rETH yield.

How does this help people looking to run a Rocket Pool node for the first time?

Lowering the barriers to running a Rocket Pool node is the entire point of Rocket School. We surmise that the current semi-chaotic state of documentation, with many options and many references to external instructions and sites, and in text-only form, is intimidating to prospective node operators, even if they otherwise have sufficient technical knowledge and the required funds. We believe that a comprehensive professional-quality video lesson series, with friendly, entertaining, opinionated educational content, will overcome some of these challenges and greatly improve the experience for many of the people looking to run a Rocket Pool node for the first time.

By “opinionated”, we mean that our course will cover a single path to running a Rocket Pool node, rather than attempting to cover many different options at once. We have carefully chosen that path to be the easiest one that still meets high security and decentralization standards. Points in the process where a different choice could be made will be called out, without further explanation. Key ecosystem diversity choices like which clients to run are still left up to the student.

How does this help people already running a Rocket Pool node?

It will include several general-information videos on Ethereum and Rocket Pool staking, as well as several lessons on node maintenance. It’s entirely possible that some of this will be new information even to existing Rocket Pool node operators.

How does this help the Rocket Pool community?

It will provide a high-quality site where any prospective new node operators can be directed by the community, hopefully making bringing new people into the community easier, and lowering the burden on the community of supporting people who are onboarding to becoming a node operator.

How does this help RPL holders?

It will hopefully help more people become node operators, and if they don’t already hold RPL, they will need to buy some. It should be noted that pumping the price of RPL is not one of the goals of Rocket School, but rather increasing the decentralization of Ethereum.

What other non-RPL protocols, DAOs, projects, or individuals, would stand to benefit from this grant?

EVMavericks’ ManeNet DAO is the entity creating Rocket School; the DAO (with its very limited treasury) would likely feel it necessary to fund the remainder of Rocket School work if this grant were not to be received, so the grant would benefit our DAO by sparing it the need to use what would be 20-50% of its public-goods-focused treasury in that way. Additionally, our Project Manager is a member of the DAO, and her payment for all of the work she has done is one of the currently unfunded items, and so she would benefit if the grant were received.

Will the resulting project be open source?

Yes. The source code for the site, including links to the lesson videos on Youtube, is in Github and will be open for PRs. The videos will be available for use anywhere in the ecosystem.

Team

Who is doing the work?

A mix of members of the EVMavericks’ ManeNet DAO, and paid contractors. To list the DAO members currently significantly involved (@ Discord handles):

  • DoubtStarsAreFire/@ doubtstars (Project manager, scriptwriting)
  • Arbora/Interweaver/@ protoplanetary (Grantwriting, general cat-herding, scriptwriting, and Github management)
  • @ jtnichol (Video production)
  • @ juxta (Node setup screen recording, scriptwriting, contractor interface)
  • @shfryn (Site design and quality assurance)
  • @ .eyezick (Site build)
  • @ ZombieBP#6973 (Grantwriting, scriptwriting)

What is the background of the person(s) doing the work? What experience do they have with such projects in the past?

We bring an extensive mix of skills relevant to this project. Just to name a few, our Project Manager DoubtStarsAreFire is a professional online course educational designer who has worked with many large companies in the past, and has a long history of involvement in the web3 community, including planning HodlerCon, the EthFinance community’s biannual meetup. I (Arbora/Interweaver) have a background in building and writing online educational courses, and am an Ethereum solo staker. JT does professional freelance video production, especially within the crypto/web3 community, most recently for Green Pill and EthStaker. ShfRyn has deep ties to the Rocket Pool community, as well as extensive design experience. We could go on, but overall, our group of volunteers is pretty stacked.

What is the breakdown of the proposed work, in terms of milestones and/or deadlines?

We are fairly far along with the Rocket School project. Thus far, we have designed and made an initial implementation pass on our course platform’s website. We have created a comprehensive course outline and written approximately half of the scripts for the video lessons. Video production is just beginning and is expected to run into November. This has all been volunteer work or funded with our previous EthStaker grant.

Going forward, major milestones will include completion of a mobile-responsiveness pass on our site, as well as finishing scriptwriting, and the big one, finishing video production on our video lessons, of which there will be fifteen, in the 3-10 minute range each. We also anticipate needing to do some graphic design work on diagrams featuring in the videos, possibly some additional polish work on the website, as well as a final outreach program to ensure that Rocket School is known about in the community.

How is the work being tested? Is testing included in the schedule?

We are performing quality assurance work on the website after each major implementation iteration. The scripts and videos will be run past additional Rocket Pool community members for accuracy before being finalized. Our final user-testing plan is to find some new prospective node operators and have them go through the course, to let us know any pain points they encounter that we could fix before we consider the project to be released.

How will the work be maintained after delivery?

The site is on Github, so we hope to solicit community PRs for any technical improvements that can be made. As far as keeping the video course up to date, any funding left over (especially from this grant if we receive it) will be used to update videos as the technicals of how to set up a Rocket Pool node evolve over time. The EVMavericks’ ManeNet DAO will retain responsibility for noticing the need for and implementing/contracting for these video updates.

Payment and Verification

What is the acceptance criteria?

See the next item.

What is the proposed payment schedule for the grant? How much USD $ and over what period of time is the applicant requesting?

We would like to request a total $20k grant, with payment in two lump sums.

The first portion, of $5000, would be paid immediately upon grant approval. This portion would allow us to make additional course platform site improvements needed to reach a professional level of polish, as well as to hire educational or motion graphic designers to create educational visual assets for our videos. It would also allow our Project Manager to be at least partially paid for her work. The acceptance criteria for this payment would be that we have already demonstrated the ability to design and create the Rocket School website, as well as to design the course and begin scriptwriting and video production. The evidence for that can be seen here:

The second portion, of $15000, would be paid upon release of the Rocket School course. This portion would allow us to fully pay our Project Manager for her work (we agreed to a $4-5k total payment when we brought her on as project manager at the beginning of 2023), and would provide us with funds to ensure Rocket School stays up to date far into the future. We might also use a small amount (<$2k) of this portion of the grant for marketing to supplement our grassroots outreach, to make sure the staking community knows about Rocket School. The acceptance criteria for this portion would include the completion of our planned syllabus of 15 high-quality lesson videos, available on the Rocket School course platform, which implement the full course outline linked above. It would also include the Rocket School site being complete to an acceptable standard of quality, including on mobile devices.

Note that lesser grant amounts than $20k would also be very helpful, but we feel that this is the number that would allow Rocket School to reach its full potential and have a long lifespan.

These funds would be managed by the Rocket School multisig, which currently is a two-of-four multisig consisting of myself (Interweaver) and three other respected EthFinance/EVMavericks/EthStaker community members (The-A-Word, ZombieBP, and Austonst). If there are any concerns about the makeup or size of this multisig, we are open to expanding it.

How will the GMC verify that the work delivered matches the proposed cadence?

The proposed payment plan does not feature a specified cadence of work; the first portion of the grant would be paid on the basis of work already completed which shows our commitment to, and ability to implement, the Rocket School vision; while the second portion would be released upon release of Rocket School, whenever that happened, although it should be noted that we are aiming for a winter 2023 release according to our current schedule.

What alternatives or options have been considered in order to save costs for the proposed project?

The current alternativies to save costs going forward include our Project Manager role switching to being a volunteer role rather than the previously-agreed-to paid role; foregoing any further site polish or improvements; creating lower-quality educational diagrams for our videos ourselves (none of us are professional infographic designers) or skipping them entirely; and either making low-quality amateur replacement videos in the future when updates are needed, or skipping them entirely. These would largely represent a diminishing of our vision of Rocket School as a professional-quality source of information for new node operators, although we would still be able to release the course in this situation.

Conflict of Interest

Does the person or persons proposing the grant have any conflicts of interest to disclose? (Please disclose here if you are a member of the GMC or if any member of the GMC would benefit directly financially from the grant).

@ShfRyn is on the Grants and Bounties Management Committee. He performed the site design for Rocket School, and was paid for this work. He has also been doing QA for us on a volunteer basis. At this time, we don’t have further paid work planned for him, so he would not benefit financially from this grant.

Will the recipient of the grant, or any protocol or project in which the recipient has a vested interest (other than Rocket Pool), benefit financially if the grant is successful?

EVMavericks’ ManeNet DAO will not benefit financially from this grant, except in the sense that it would no longer need to consider funding Rocket School itself. Of the team of DAO members individually working on Rocket School, our Project Manager, DoubtStarsAreFire, would personally stand to benefit financially if this grant were successful, because she would be able to be paid for her work.

Thank you for your consideration, and go Ethereum and Rocket Pool!

Project: RocketMEVMonitor

What is the work being proposed?

This core of this project is a collection of scripts and a database to collect, collate, and archive data from all known, public and active MEV relays in the Ethereum ecosystem (both authorized and unauthorized by RocketPool for use by node operators). This data would then be republished and made freely available and accessible for researchers investigating and monitoring for MEV/Priority fee theft.

The data to be collected and republished includes:

  • All ‘delivered payloads’ (the blocks that the relay reports as having the winning bid selected by the validator) reported by all known public relays. The list of relays specified by EthStaker will be the starting point.
  • All ‘top bids’ from block builders, for every slot, for every known, public relay. This would include an entry if the relay reports no bids were received for a slot.
  • ‘All bids’ a relay received for a slot. Relays can receive hundreds of bids, for every slot. But since this is very large amount of data, with little obvious long-term utility, it would only be stored with a limited retention period of 60-90 days depending on storage space impact.
  • A convenience table with basic data on every block committed and finalized to Ethereum including the proposer’s validator index, the block header fee recipient, the priority fees paid in the block and metadata on the last transaction in the block.
  • A recording of the registered validators assigned as proposers for every epoch, for every known relay. This would allow for monitoring of fee recipient changes or anomalies.

The data would be made available as compressed json or csv (or both) in a Cloudflare R2 bucket (or similar low cost web2 service). Occasional full sql database dumps are another possible format for publication.

Data would be collected and published in close to real-time, along with the finalization of every epoch.

The data would be provided with pgp signatures to allow verification of provenance. As a stretch goal, a merkle log in the same vein as a certificate transparency log could be developed and published to prevent tampering of past data.

The code would include a docker-compose script to enable easy deployment of the database and data collection and publication agents by third parties.

Is there any related work this builds off of?

Yes. The initial development was done in pursuit of GMC Bounty BA032304. This work completed much of the data collection and indexing side of this project.

Will the results of this project be entirely open source?

Yes. GPL3 or AGPL3 (TBD). It is explicitly expected and desired for other parties to operate instances of this collection and publication agent.

Benefits - enter N/A where appropriate

Background: MEV Relays are trusted entities in the Ethereum staking ecosystem. The data they publish in their data api’s allowing for verification of their work can, and in many cases, has disappeared without much warning, making future research into their past activities difficult. For example:

  • Relayoor.wtf was active shortly after the merge and shut down at some point. All their data is gone.
  • The BloxRoute relays seem to prune their bid data after about 1M blocks.
  • The BloxRoute Ethical relay shut down, and that data is no longer available from them (although I collected much of this data from before the shutdown).
  • There seems to be multiple instances of blocks that seem to have been built by a third party block builder, and likely published by a relay, but that relay can no longer be identified by any known, active relay’s proposer_payload_delivered endpoint.
  • Flashbots had been providing archival access to their data in an S3 bucket, but they have not updated their data for several months.
  • All relays seem to aggressively rate-limit requests to their data api’s, drastically slowing down research into historical bids and payloads.

By having a third party collect, archive and republish this data in bulk, and making the tools available for anyone else to do the same, the trust assumptions we make of the relays can be constrained.

How does this help people looking to stake ETH for rETH?

By collecting and making MEV relay data available and accessible, MEV theft might be more easily discovered and penalized. This would give prospective rETH holders more confidence that RocketPool can more effectively prevent and penalize MEV theft.

How does this help rETH holders?

For the same reasons as above. rETH holders would have confidence that their capital is earning a fair return because the data to enable effective penalization of MEV theft is available.

How does this help people looking to run a Rocket Pool node for the first time?

MEV relays are “Trusted” entities. As such, they have the potential to engage in malicious conduct that could improperly harm and penalize operators. By collecting and archiving their data, a substantial constraint on that trust could be achieved because there could be relatively easy access to their data via third parties.

How does this help people already running a Rocket Pool node?

For the same reasons as above. Archiving relay data allows for constraining the trust assumptions placed on the relays.

How does this help the Rocket Pool community?

In the event of an MEV theft penalization dispute, good historical data could provide evidence to help properly adjudicate the matter fairly and possibly prevent a painful split in the community.

How does this help RPL holders?

By helping rETH holders and node operators as described above, RocketPool as whole is improved. What is good for RocketPool - is good for RPL.

What other non-RPL protocols, DAOs, projects, or individuals, would stand to benefit from this grant?

  • All other staking services and protocols that are vulnerable to operator induced MEV theft would potentially benefit by having better access and availability of this data.
  • Other MEV researchers who could benefit from easy access to this data.

Will the resulting project be open source?

Yes. GPLv3 or AGPL (TBD)

Team

Who is doing the work?

Me - NonFungibleYokem (aka yokem55, yokem)

What is the background of the person(s) doing the work? What experience do they have with such projects in the past?

I am a long term RocketPool community member and node operator.

My real-world job has me doing a lot of networking and sysadmin work, along with a substantial amount of postgres DBA work. Most of my code skills are in writing in ruby. As such, the vast majority of the project would be written in ruby, utilizing the sequel orm to interact with the database, and miscellaneous libraries for interaction with Ethereum and the beacon api, the relay apis, generating the static bucket index, and for signing and publishing the data to the cloud storage bucket.

What is the breakdown of the proposed work, in terms of milestones and/or deadlines?

Milestone 1 - Code completion (~14-21 days):

  • Addition of a docker-compose script and docker file to automate deployment by third parties.
  • Code to collect and index validator relay registrations for every upcoming epoch.
  • Code to export the data into a suitable format (json, csv, raw sql dumps at regular intervals).
  • Code for cryptographic signing of the exported data.
  • Code to automate synchronization of the data with the cloud storage service.
  • Code to update and republish a friendly index that allows for recursive downloading of the data.
  • Public publication of code on Github.

Milestone 2 - Deployment and move to production (~3 days)

  • Setup and deployment of a dedicated box to host and operate the postgres db and collection/publication agents.
  • Importing of the pre-collected data into the production DB.
  • Initial seeding and publication of previous historical data.
  • Verification of the estimated long term cloud storage costs.
  • Announcement of public availability on discord, twitter, etc.

Milestone 3 - 6 months of operations (6 months)

  • Regular operations for 6 months collecting and publication of the data (to start).

Possible Stretch Goals (~3 months):

  • Development of a graphql query interface to the database for arbitrary queries.
  • Development of an merkle logging system that could potentially flag tampering of data.
  • Make the Graphana monitoring dashboard a publicly accessible resource.

How is the work being tested? Is testing included in the schedule?

  • There will be a script to perform regular, randomized spot checks by comparing archived data to live data from known relay api endpoints. A high match rate (99+%) should indicate that the data is comprehensive.
  • Liveliness monitoring and alerting with a private graphana dashboard.

How will the work be maintained after delivery?

There will be ongoing maintenance of the code to add and remove known relays and make adjustments to accommodate changes to the relay data api’s and possibly any other changes caused by Ethereum hard-forks.

Payment and Verification

What is the acceptance criteria?

  • Publication of a test script that can be used by anyone to test availability of the data at will.
  • Completion of milestone 2 demonstrating the availability of the code and data.
  • GMC performed spot checks of the availability and liveliness of the data.
  • Completion of stretch goals and publication of the additional needed code.

What is the proposed payment schedule for the grant? How much USD $ and over what period of time is the applicant requesting?

  • $5000 after completion of Milestone 2.
  • $200 per cycle to cover ongoing cloud storage hosting and maintenance costs for 6 cycles. ($1200 total)
  • $2500 for completion of the stretch goal milestone.
  • If the community feedback indicates that the project/product useful, I’ll reapply for additional months to support the ongoing hosting costs.

How will the GMC verify that the work delivered matches the proposed cadence?

  • Skilled members of the GMC could access the data, review the published code, and utilize the test script to spot check availability.
  • Other community members could operate their own instance of the project and compare the results.

What alternatives or options have been considered in order to save costs for the proposed project?

  • I intend to use a low cost cloud storage vendor. Cloudflare R2 likely presents the best balance between being a reputable vendor at an affordable cost.
  • I’ll be using the colocation space I already have to host the deployed box hosting the database and collection/publication agents.
  • I could investigate the sutability of more crypto-oriented web3 storage solutions, but that feels quite a bit more immature relative to the goals of this project at this time.

Conflict of Interest

Does the person or persons proposing the grant have any conflicts of interest to disclose? (Please disclose here if you are a member of the GMC or if any member of the GMC would benefit directly financially from the grant).

No. I am a member of the IMC, but I do not believe that this would pose any conflict with that work.

Will the recipient of the grant, or any protocol or project in which the recipient has a vested interest (other than Rocket Pool), benefit financially if the grant is successful?

No. Well … yes. Ethereum benefits. MEV relays are some of the most centralized bits of Ethereum right now. Their data is largely stuck behind their slow, and rate-limited web2 apis. Making this data more easily accessible benefits Ethereum. And as an Eth bagholder, that is to my benefit.

1 Like

DendrETH: A trustless oracle for liquid staking protocols

What is the work being proposed?

The DendrETH project has implemented a zero-knowledge circuit capable of proving successful state transitions based on the beacon chain light client sync protocol. The project is currently aiming to implement a zero-knowledge circuit capable of proving the Casper finality conditions by processing the attestation messages of the entire Ethereum validator set. This work has led us to explore efficient constructs for implementing recursive zero-knowledge circuits for BLS aggregation, validator set membership tracking, validator duties tracking and more.

We believe that these building blocks are well-suited for solving a pressing problem that all liquid staking protocols face: How can a smart contract keep track of the on-chain performance of the created validators without relying on a set of trusted oracles that inevitably introduce additional security risks and economic overhead to the protocol?

In particular, after the introduction of EIP-4788, all liquid staking protocols will benefit from the presence of security-audited zero-knowledge circuits proving the following proofs:

1. Proof of Total Locked Value

Given a merkle accumulator containing all public keys of the validators created by the liquid staking protocol, provide a proof for the sum of the balances of all validators at the last finalized epoch.

2. Proof of Total Rewards Potential

Given a merkle accumulator containing a set of validator public keys (this scales from a single validator to the entire set of validators created by the liquid staking protocol), provide a proof that indicates the maximum number of rewards that the set of validators were eligible for within the canonical finalized history. This takes into account the block proposal duties and the sync committee duties of the validators.

Since the maximum possible profit from a block cannot be determined without knowledge of all attestations that were broadcast in the network, we assume that the potential reward is equal to a running average of the last N blocks leading up to the slot of the proposal.

Similarly, since the maximum MEV profit from a block cannot be known, we can model it as a public input for the circuit which can be set by the liquid staking protocol (and potentially managed dynamically).

Please note that the circuit can verify the presence of a transaction within the block that distributes the MEV rewards to the liquid staking protocol, but unfortunately this doesn’t rule out the possibility that the proposer was paid some additional sum by the builder out-of-band. Some of these difficulties in the tracking of MEV rewards are likely to be resolved in the planned Proposer-Builder Seperation upgrade of Ethereum that will enshrine the MEV distribution within the base protocol.

3. Proof of Poor Validator Performance

Given a Proof 2 obtained for a particular validator as described above, provide a proof that the validator has earned less than a target percentage of the maximum rewards (e.g. 90%). Such a proof can be used to penalize or evict particular operators from the protocol. The circuit compares all recorded withdrawals of the validator to the total rewards potential to determine whether the validator is meeting the target performance.

Rationale

The development of the proposed zero-knowledge circuits is motivated by several key factors and considerations.

Firstly, the reliance on trusted oracles in liquid staking protocols poses a significant risk. These oracles have the power to influence token prices within the protocols, potentially favoring certain users and shifting profits disproportionately. This centralized control contradicts the fundamental principles of decentralization and trustlessness that underpin blockchain technology.

Secondly, the oracles in question control a substantial amount of funds within the protocol. To ensure their continued participation and prevent potential defection, it is essential to provide them with adequate compensation. Additionally, given the substantial power they possess, the oracles become prime targets for hackers. This necessitates significant investment in maintaining their security infrastructure, further contributing to the overhead associated with the existing liquid staking protocols.

In practice, the current costs associated with oracles in the already deployed liquid staking protocols have been subject to criticism, raising concerns regarding the economic efficiency and viability of the protocols. Therefore, it becomes crucial to explore alternative approaches that can address these concerns and potentially reduce costs while enhancing overall security and trustlessness.

The zero-knowledge circuits envisioned in this proposal can be developed as a public good - a reusable solution that can potentially replace the use of trusted oracles in all existing and future liquid staking protocols. When leveraged, this solution will eliminate the variable costs associated with trusted oracles in favor of the fixed cost of verifying zero-knowledge proofs on chain (expected to be less than 500K gas per update).

By introducing these trust-minimized oracle alternatives, the DendrETH team aims to enhance the security, decentralization, and economic efficiency of liquid staking protocols. The reduction in reliance on trusted oracles and the associated costs can lead to a more robust and sustainable ecosystem, fostering greater user confidence and participation.

Technical details

For futher technical details, please refer to the following document:

Is there any related work this builds off of?

A project stating similar goals have been explored in the LIDO ecosystem:

The DendrETH project expands on the scope and utility of the proposed solution, aiming to make it fully reusable across all liquid staking protocols.

Recent research by @knoshua explores the possibilities to use Fault proofs as an alternative trust minimizing mechanism for replacing the current Oracle requirements of the RocketPool protocol. We plan to leverage a lot of these findings when designing our zero-knowledge circuits

Will the results of this project be entirely open source (MIT, GPL, Apache, CC BY license or similar)? If not, which parts will not be, why, and under what license will they be published?

All components of the system will be fully open source (GPLv3). We will strive to provide comprehensive guides for operating instances of our proof generators and relay nodes, as well as easy-to-use packages for most operating systems (i.e. docker images).

Benefits - enter N/A where appropriate

How does this help people looking to stake ETH for rETH?

N/A

How does this help rETH holders?

By reducing the overhead and risk associated with oracles in the protocol, it should be possible to increase the effective ROI for all rETH holders. This solution also insulates rETH holders from potentially catastrophic rETH price reports from a compromised oDAO.

Combined with forced exits, Proof of Validator Performance can be used to eject node operators who are seriously underperforming. This will boost rETH returns and reduce Rocket Pool’s current effectiveness drag vs. other large staking platforms.

How does this help people looking to run a Rocket Pool node for the first time?

N/A

How does this help people already running a Rocket Pool node?

N/A

How does this help the Rocket Pool community?

By introducing these trust-minimized oracle alternatives, the DendrETH team aims to enhance the security, decentralization, and economic efficiency of liquid staking protocols. The reduction in reliance on trusted oracles and the associated costs can lead to a more robust and sustainable ecosystem, fostering greater user confidence and participation.

The introduction of DendrETH helps builders working on solutions with oracle requirements integrate with Rocket Pool, bolstering the trustlessness of the greater RP ecosystem.

How does this help RPL holders?

The benefits for rETH and RPL holders are similar.

What other non-RPL protocols, DAOs, projects, or individuals, would stand to benefit from this grant?

We aim to create a solution that will be applicable in all current and future liquid staking protocols, as well as RPL-adjacent projects such as NodeSet, which is building liquid staking infrastructure to power the scaling of Rocket Pool and would benefit from a trustless oracle for xrETH/xRPL price reporting, as well as operator performance monitoring.

Furthermore, certain components of our solution such as the generalized commitment mapper will enable the development of a wide range of projects that aim to take advantage of the functionality introduced in EIP-4788.

Finally, the work delivered under this grant will certainly enhance the quality of all components developed by the DendrETH team in the pursuit of wider goals such as implementing zero-knowledge proofs for the Casper finality conditions in order to create more secure cross-chain bridges and one-shot syncing solutions for highly convenient and secure Ethereum clients.

Will the resulting project be open source?

Yes, see above (“Will the results of this project be entirely open source?”).

Team

Who is doing the work?

The work will be carried out by the existing DendrETH team, consisting of (in alphabetical orer):

What is the background of the person(s) doing the work? What experience do they have with such projects in the past?

Zahary Karadjov is the current team lead of the Nimbus project. Petar Kirov is a former CTO of Jarvis Network. The rest of the team has accumulated a lot of relevant experience during their work on the DendrETH project so far.

What is the breakdown of the proposed work, in terms of milestones and/or deadlines?

The DendrETH team aims to deliver a production-ready version of the “Total Locked Value” proof before the upcoming Cancun-Deneb hard-fork, including the software for proof generation and on-chain proof publishing.

In Q1 and Q2 2024, we hope to deliver the remaining proofs for “Total Rewards Potential” and “Poor Validator Performance”.

How is the work being tested? Is testing included in the schedule?

Testing is performed on an ongoing basis. We plan to spend the final three months of development before our mainnet release in increased testing efforts, as well as conducting internal and external audits of our codebase.

How will the work be maintained after delivery?

We believe the components developed by the DendrETH team will be widely used in critical cross-blockchain communication infrastructure in the future, which will ensure their continued development and maintenance.

Payment and Verification

What is the acceptance criteria?

There is ready-to-use and well documented software for the creation and verification of the proofs proposed in this document.

What is the proposed payment schedule for the grant? How much USD $ and over what period of time is the applicant requesting?

We are seeking funding from a consortium of protocols, a number of whom are contributing, including Diva Staking, Lido and the Ethereum Foundation ($50k each). We would be thrilled for Rocket Pool to be a member and believe our project is highly aligned with the ethos of the RP protocol and community.

If the GMC would rather release payments on a milestone basis, we are open to that approach and would be happy to work with the GMC on a delivery/payment schedule.

How will the GMC verify that the work delivered matches the proposed cadence?

We will produce regular technical demos and proof-of-concept deployments of our work as soon as we reach each milestone.

What alternatives or options have been considered in order to save costs for the proposed project?

We believe we are already working in extremely cost-effective manner, seeking synergies between multiple project goals and optimizing our work for as wider adoption as possible (in order to reduce the burden on each individual community that benefits from it).

Conflict of Interest

Does the person or persons proposing the grant have any conflicts of interest to disclose? (Please disclose here if you are a member of the GMC or if any member of the GMC would benefit directly financially from the grant).

The Nimbus team, lead by Zahary Karadjov, is a current beneficiary of the oracle rewards issued by the RocketPool protocol. The Nimbus team fully supports the recently proposed ethical charter stating that all oDAO members should seek to minimize their role in the protocol and this proposal provides evidence that our position is sincere.

Will the recipient of the grant, or any protocol or project in which the recipient has a vested interest (other than Rocket Pool), benefit financially if the grant is successful?

No.

This message marks the closing of the fourth round of Rocket Pool grant applications. Any applications submitted after this will not be considered for this round. The GMC will announce the award recipients in a new thread here on the forums around September 24. The community will then have two weeks to issue any challenges before funds are disbursed. Thank you to all who applied and thank you to everyone who has followed along. Anyone who would like to comment on existing applications is encouraged to do so in this thread.