in

is it too late?

hi guys, been lurking here for a few months…been really tempted to run my own staking machine.

after 7 months of DCA, my friends and I pooled our ethereum and we now have 32.1 eth.

before we pool our remaining cash for the hardware, we really want to know if is it too late to create our own staking machine and stake our 32 eth?

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thank you so much.

edit:

wow, thank you so much for answering my question.

i DID NOT expect these many answers. imagine my surprise when the alerts started to pour in.

goes to show that what my friends and i know are still lacking. we will be rectifying this by reading up on your suggestions.

very much appreciated!

What do you think?

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11 Comments

  1. You might want to consider Rocket Pool and set up two 16 Eth mini-nodes.

    Rocket Pool has all the Crypto-Assets Principles of Theory.

    * Fully decentralized
    * Non-Custodial
    * Open Source
    * Trustless

    You run your own hardware and hold your own keys.

    You get your Validation rewards and commission on the matched 16 Eth that Rockpool provides via smaller staking partners and equity on their RPL Token.

    2 Validators can be set up on one node so you would not require additional hardware.

    [Rocketpool.net](https://Rocketpool.net)

  2. Has anyone created a simple smart contract that folks could use for pooling funds with a group? That way the withdrawal address could be set to this smart contract, and people could easily pool and know they would get their “percentage” back.

    Might not be necessary in this case, but I imagine other cases where you mostly trust everyone else, but want to avoid issues at withdrawal time.

  3. I understand you might all be close friends. But write down an informal contract and have everyone agree. Make sure you track everyone’s share and expenses to the penny. And ensure everyone is on the same page with the risks involved – you could lose the seed, eth could crash to 3 or even 2 digits, you won’t be able to sell, eth POS may not provide high APR that you might expect, etc, etc

  4. Please tell me you plan to participate in the testnet first before going in. EDIT: Just so you can cover all the steps including what you need to do in the future when an upgrade comes, etcetera… just to be on the safe side.

  5. As everyone has said, it isn’t too late, but you will need to be aware of the tax implications. Many countries define validitor rewards as income, which you will have to pay income tax on. If you keep the rewards you will owe capital gains tax on the growth when you do sell them. As you can’t sell the assets for a period of time, you may have to find the funds to pay the income tax independently. The person that creates the validitor will be responsible for the tax, so make sure all the contributors are aware of their share of the tax liability and how it will be declared. I’d get a written and signed agreement between you all, no matter how good your friendship is.

    There are some great tools to easily calculate the tax liability, but I can’t recall the URL.

  6. Look, it s never too late. In fact, I know that Launchnodes has just started Staking Club. It s made for people like you who decide to pool with friends. You get a validator node setup for you, they are non custodial and take zero commission.

    Why am I so pro Launchnodes?

    Because I know that half of the industry stakes with them and I know that the team behind the service are former quants.

    https://aws.amazon.com/marketplace/pp/prodview-bpb5qx776dw3c
    https://www.newsbtc.com/news/company/best-way-to-stake-ethereum-2-0-guide-enterprise-and-individual-use/amp/

    Also, once ETH gets unlocked, many will take their eth away from staking and this is when the yield will go up. Still, I doubt that the demand will fall since even institutions jump on the staking train these days

Rescuing a glitchy card.

ETH and the rest of the BTC price pattern setting up for a potential rally. Last point of support tested.