SD Collateral Bond Top-up

You will receive SD rewards on the SD collateral bond you deposit. The minimum deposit requirement is 0.4 ETH worth of SD per validator (10% of your ETH bond) , while the maximum allowed deposit is 8 ETH worth of SD per validator (200% of your ETH bond). The exact value will vary dynamically based on the current price of ETH and SD.

Important Note

• SD collateral snapshots are taken daily at a random block. Therefore, due to price fluctuations if the SD collateral bond value for your validators drops below 0.4 ETH worth of SD per validator, then the node operators need to top-up the SD collateral else they won't receive SD rewards on their bonded SD for that day.

• We recommend maintaining an SD collateral buffer (above the 0.4 ETH worth of SD per validator limit) to avoid any reward loss due to price fluctuations.

• You can deposit more than 8ETH worth of SD per validator as collateral, but any SD collateral exceeding the 8 ETH limit per validator will not earn SD rewards.

• For SD collateral withdrawal, the node operators can withdraw any collateral exceeding the 200% SD collateral limit (8 ETH worth of SD per validator). To withdraw the entire SD collateral, the node operator will need to exit the validators.

You can top up your SD collateral either by using your own SD (Self-bond) or utilizing SD from the SD Utility Pool against a small fee​

Deposit own SD (Self bond)​

Run the below mentioned command to deposit your own SD as collateral.

~/bin/stader-cli node deposit-sd --amount <SD Amount>

Please ensure to replace the placeholder <SD Amount> with the specific amount of SD tokens you intend to deposit.

Deposit SD via SD Utility Pool​

To utilize SD from the SD Utility Pool, please refer the How to Utilize SD page from the SD Utility Pool section: click here

Important note

A Utilization Fee of 10% will be applied to the utilized SD from the Utility Pool. Learn more about SD Utility Pool here before proceeding with the deposit: Click Here