Ethereum Staking Rewards

Definition: Ethereum Staking Rewards refer to the incentives received by validators participating in the Ethereum Proof of Stake (PoS) system. Validators are network participants who have staked their ETH to activate their validator keys, being able to act as a validator for the network. As validators, they propose and attest to blocks to help secure the network and process transactions. In return for their service and the risks involved, including the locking up of their assets and potential penalties for misbehavior, they receive rewards in the form of additional ETH. The size of these rewards depends on the total amount of ETH staked on the network and the validator's performance.

Category: Staking

Example: If an individual stakes 32 ETH and becomes a validator on the Ethereum network, they periodically propose or attest to blocks. For these activities, they earn staking rewards, which are credited to their balance and compound over time, increasing their total holdings of ETH.

External Resources:

• Ethereum Staking Overview
• Ethereum Launchpad for Staking