Constellation vs Others
Understand the differences in risks, returns, and responsibilities
LST Comparison
Token | Fee on Ethereum Rewards | Pros | Cons |
---|---|---|---|
xrETH | 0% | No fee, high decentralization | |
osETH | 5%+ (depends on chosen vault, network average otherwise) | Slashing protection, some decentralization | Complex UX, minimum fee sacrifices decentralization |
stETH | 10% | High liquidity depth | Highly centralized, higher fees, no slashing protection |
rETH | 14% | Slashing protection, high decentralization | High fee |
Constellation vs Running a Node
Most xrETH depositors can expect similar returns and lower risks compared to running a basic Ethereum node (AKA "solo staking") on your own. In addition, xrETH is a liquid token, which allows for its usage in DeFi, boosting its potential even further.
When comparing to other node operation options, the landscape is more complex. Generally, using xrETH as a Constellation Node Operator allows for improved returns and full liquidity, and other solutions are available for users that wishing to maximize returns even at the cost of liquidity or utility.
Method | Estimated Returns* | Pros | Cons |
---|---|---|---|
xrETH | 100% of solo staking | Usable in DeFi, which may boost returns dramatically | |
xrETH + Constellation Node Operation | 121% of solo staking | Usable in DeFi, which may boost returns dramatically | |
Solo staking | 100% of solo staking | No SC risk | Fully locked, must run a node, risk and returns dependent upon individual performance |
Rocket Pool (LEB8) | ETH: 130-142% of solo staking RPL: ~6% APR | Higher returns than solo staking | Fully locked, must run a node, risk and returns dependent upon individual performance |
Lido CSM | 237% of solo staking | Highest returns | Fully locked, must run a node, risk and returns dependent upon individual performance Limited to 16 ETH |
*Estimated Returns are sourced from external data and are not guaranteed. NodeSet is not responsible for the creation of or any inaccuracy in this data.
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