Urgent Proposal: Onboard RETH into Privacy Pools

Integration
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Objective: Establish RETH as the dominant liquid staking token (LST) within privacypools.com capturing a critical privacy-focused use case and outcompeting Lido.

Rationale:

  • Liquidity begets liquidity: Privacy pools only function effectively when users deposit significant amounts. Confidence grows when deposits earn staking rewards—making LSTs like RETH the perfect companion.

  • First-mover advantage: The field is currently open. wstETH has only a minimal head start, and decisive action now positions Rocket Pool as the default asset in privacy pools.

  • Strategic wins over competitors: Privacy pools represent a high-leverage opportunity. By onboarding RETH, Rocket Pool can quickly capture market share and reinforce its network effect.

  • Forward-looking vision: In six months, we want Rocket Pool to dominate privacy pools, growing its presence while Lido fails to establish itself in this segment. The goal is to become the go-to LST for users seeking privacy without leaving liquidity or yield on the table.

Call to Action:

  • Prioritize integration of RETH into privacy pools immediately.

  • Incentivize early adopters to deposit substantial balances.

  • Position Rocket Pool as secure, yield-generating, and privacy-first—securing both staking rewards and market mindshare.

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Background

David Rugendyke created RETH after engaging with the CASPER research, identifying the move from POW to POS as a strategic opportunity.

Vitalik’s 2025 Privacy Pools paper points to privacy as the next frontier and early integration into these pools is an opportunity to establish RETH as the default LST in Ethereum’s privacy evolution.

  • Vitalik Buterin (April 2025, A Maximally Simple L1 Privacy Roadmap):

“Incorporate privacy tools (e.g., Railgun, Privacy Pools) into existing wallets. Wallets should have a notion of a shielded balance, and when you send to someone else, there should be a ‘send from shielded balance’ option, ideally turned on by default.”

Timing Advantage

Early adoption is low-cost and high-impact. Current deposits in Privacy Pools are minimal:

  • wstETH: ~1.32 ETH

  • ETH: ~500 ETH

A small RETH infusion today can bootstrap dominance, generate network effects, and establish RETH as the default privacy-preserving LST before competitors react. Delaying would require vastly more capital and coordination to achieve the same influence.