3 min read

Luganodes Adopts CESR™ for Ethereum Staking

CESR Enables Fixed-Rate Yield Solutions

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Published on

8 Sep, 2024

As we move towards a decentralized future, the importance of staking continues to grow. Staking is the backbone of Proof of Stake blockchains, generating immense value through its services. Ethereum, a trailblazer in the blockchain space, relies heavily on staking to power its growth.

Staking has evolved significantly, leading to numerous innovations around the concept. One such innovation is the CESR™ (Composite Ether Staking Rate), which brings valuable advancements to the staking ecosystem. Through the CESR Swap method, validators can now offer a fixed rate to their clients, shielding them from APR fluctuations and performance drops.

Institutional clients of staking services often require a stable cash flow to meet their financial obligations. Despite validators' efforts to maintain high uptimes and top-notch performance, they are not immune to APR rate fluctuations, resulting in variable rates for clients.

With the CESR Swap method, validators can provide their clients with a fixed rate every month. This not only incentivizes clients but also aligns validators with the CESR benchmark, ensuring stability and reliability. Liquidity providers can now confidently offer their services, backed by the implementation of CESR.

A stable staking rate and a clear financial instrument like CESR can attract more users to staking, providing a consistent source of return on investment. This creates fertile ground for validators and the broader Ethereum ecosystem of investors and developers.

Luganodes' CESR Adoption

Luganodes has been a mainstay in the staking realm and continues to be the fastest-growing staking provider. The company emphasizes innovation and security, as evidenced by its certifications and VSP Pro badges. Embracing CESR was a natural progression for Luganodes, making it one of the first validators to support this venture and recognizing the potential improvements it could bring to the industry.

Luganodes' adoption of CESR comes in partnership with Nonco trading solutions

"CESR represents a significant step forward for the staking industry. By providing a stable and predictable yield, we can offer our clients greater confidence and security in their investments. This innovation aligns perfectly with our commitment to delivering top-tier staking services."

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Anuj Shankar

CEO, Luganodes

Luganodes will soon release more content on CESR, including explainers and research. Following this, there will be announcements on how clients can avail themselves of this service.

About Nonco

Nonco is a non-custodial crypto trading firm specializing in bespoke derivatives, structured products, and liquidity solutions for digital assets. With over a decade of experience, they handle a significant portion of global BTC and ETH ETF volumes. They offer tailored services, including token lockups, options, swaps, and more, all backed by 24/7 trade desks in London and Mexico City. Their focus is on providing top-tier liquidity and advanced trading solutions with white-glove service, making them a trusted partner for institutional counterparts in the digital asset space.

About Luganodes

Luganodes is a world-class, Swiss-operated, non-custodial blockchain infrastructure provider that has rapidly gained recognition in the industry for offering institutional-grade services. It was born out of the Lugano Plan B Program, an initiative driven by Tether and the City of Lugano. Luganodes maintains an exceptional 99.9% uptime with round-the-clock monitoring by SRE experts. With support for 45+ PoS networks, it ranks among the top validators on Polygon, Polkadot, Sui, and Tron. Luganodes prioritizes security and compliance, holding the distinction of being one of the first staking providers to adhere to all SOC 2 Type II, GDPR, and ISO 27001 standards as well as offering Chainproof insurance to institutional clients.

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