The SSV Network DAO and Ether.fi have joined forces to launch a new Learn & Earn campaign on the Galxe platform. Part of the reasons behind the collaboration is to educate community members about the advantages of Distributed Validator Technology (DVT) as well as the importance of decentralizing Ethereum’s base layer.
Through this partnership, participants can earn a share of a $50,000 ETHFI prize pool. 150 lucky winners will be randomly selected. Aside from this, all users will also have the chance to earn points as part of Ether.fi’s Season 3 incentive program.
The campaign is set to last for two weeks, aiming toward increasing engagement and activities while at the same time informing them about the role of DVT in powering the SSV network Ether.fi’s restaking operations.
Members who partake in the Learn & Earn campaign will gain points for getting themselves accustomed to SSV’s role in helping decentralize Ether.fi’s non-custodial protocol.
Ether.fi’s Achievements in Staking and the Growth of the SSV Network Ether.fi has been able to record some achievements since it emerged. The liquid restaking company has over 6,500 validators running on the SSV Network, making it one of the leading adopters of this open-source staking technology. It has also gotten more than $4.5 billion in ETH staked, and its ETHFI token has grown to become a prominent DeFi token.
The SSV network has also been growing continuously since its mainnet launch in December. The project has seen many people use its technology, which has caused a spike in its Total Value Locked (TVL).
The network’s growth has seen it rank above Kraken to become the fifth-largest Ethereum staking provider, which could be linked to its new milestone of securing more than 1.3 million staked ETH. It is also supported by more than 900 operators running over 40,000 validator nodes.
SSV Network is a seamless staking system for developers to use. The network uses DVT technology, a new development designed mainly for distributing validation between multiple machines. Due to its flexibility, SSV lets node operators and validators join the network and participate in distributed staking without needing any permission.
As mentioned earlier, Ether.fi is a developer of liquid restaking technology on Ethereum. This solution makes it simpler for people to stake their Ethereum without giving up control of their coins. Through this initiative, Ether.fi helps make the Ethereum network more decentralized while making it easier for Ethereum holders to participate and earn rewards.
Distributed Validator Technology is now a key part of the billion-dollar staking industry. It plays an important role in keeping Ethereum’s validator layer secure. The Learn & Earn campaign, created by SSV Network and Ether.fi, will help people understand DVT and decentralized restaking. It will also reward users for participating.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Cryptocurrency News, Ethereum News, News
Temitope is a writer with more than four years of experience writing across various niches. He has a special interest in the fintech and blockchain spaces and enjoy writing articles in those areas. He holds bachelor's and master's degrees in linguistics. When not writing, he trades forex and plays video games.
SSV Network defines itself as a “distributed validator infrastructure for developers.”
Ssv.network is designed to create high-performance, secure, and decentralized ETH staking applications.
What is SSV Network (SSV)?Distributed Validator Technology enables trustless staking through multi-operator validation. Validator keys are distributed across nodes operating under a consensus layer to perform duties on the Beacon Chain. DVT supports client diversity, decentralization, and fault tolerance while reducing the risks of interruptions.
The Secret Shared Validator (SSV) technology is described as the first secure and robust way to split a validator key for ETH staking among nodes operated by different operators. It is also characterized as a unique protocol that enables a distributed operation of an Ethereum $1,623 validator. The validator key is encrypted, split, and distributed, ensuring that no operator must rely on another to fulfill validator duties, allowing some nodes to go offline without affecting network performance, and preventing any single operator from making unilateral decisions on behalf of the validator. The result is a decentralized, fault-tolerant, highly secure method for staking on Ethereum.
SSV, later termed Distributed Validator Technology (DVT), was initially conceptualized in collaboration with members of the Ethereum Foundation as a research paper. Essentially, while the SSV protocol enables distributed operation of an Ethereum validator, ssv.network is an infrastructure layer designed to promote decentralization, diversity, fault tolerance, and flexibility within the ETH staking sector.
SSV Coin can be safely traded on Binance, the world’s largest cryptocurrency exchange by trading volume. SSV Coin is available on the Binance platform with pairs such as SSV/BTC, SSV/ETH, and CTK/BUSD.
To purchase SSV, one must first register with the Binance exchange. Once registration is complete, users need to transfer cryptocurrency or fiat currency to their Binance wallet. After the transfer is completed, SSV Coin can be purchased through any of the three pairs listed above. To buy from the SSV/BTC trading pair, navigate to the interface for this pair. Enter the desired amount in the limit section of the SSV/BTC interface, and execute the purchase by placing a Buy SSV order.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should conduct their own research.
Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure
SSV Network recently revealed SSV 2.0, a new bootstrapping model to bring “Based” Applications (bApps) to Ethereum. The new infrastructure framework aims to enhance the network’s security and enable “truly decentralized” bApps without compromising Ethereum’s core values.
SSV Network To Bring ‘Based Applications’ To Ethereum SSV Network announced SSV 2.0, an infrastructure framework created to “address the increasing ecosystem fragmentation” and growing demand for Layer 1 (L1)-anchored interoperable solutions.
SSV Network is a fully decentralized distributed staking infrastructure securing 1.9 million staked ETH. The staking network allows the distributed operation of Ethereum validators using Secret Shared Validators (SSV).
According to the announcement, the new bootstrapping model will allow applications “to go ‘based’” by directly leveraging Ethereum’s validator network. The “based” approach is set to “reunite fragmented liquidity while enhancing security” through Ethereum’s validator infrastructure.
Moreover, SSV Network highlighted the growth of the based ecosystem, which creates a need for “a based solution to bootstrapping.” It also noted that SSV 2.0 aims to allow developers to build on Ethereum L1 in a “way that is aligned with the original values and future vision of the ETH ecosystem.”
This includes solving several core issues like fragmentation, high bootstrapping costs, and inadequate security for many Layer 2 (L2). Founder and CEO of SSV Labs, Alon Muroch, stated that the project could change the restaking market, create a new “based economy,” and transform the network’s economics:
SSV2.0 is the biggest, most ambitious project for the SSV Network DAO that has ever been envisioned. If put in place by the DAO, it will profoundly change the restaking market and will create a new ‘Based Economy’ where validators directly secure the bApps of tomorrow. All while positively transforming the SSV economics.
A ‘New Class’ Of Decentralized Apps According to the announcement, SSV 2.0 bases any services or applications directly on the Ethereum L1, creating a “new class of decentralized applications” that allows validators to do more. Additionally, it aims to ensure that bApps can use Ethereum L1’s security, decentralization, and Sybil resistance.
A bApp gains security directly from the L1 instead of utilizing different tokens like in current restaking models, making them more Ethereum-aligned and not exposing Ethereum or its validators to cascading risks. Additionally, gaining more security for the cost of bootstrapping SSV 2.0 extends beyond traditional bootstrapping approaches by introducing the first ‘Infinite-sum’ security model, where increased participation strengthens the entire network rather than creating zero-sum competition.
The new model utilizes the validator as the basis of security to provide a “shared security foundation” to bootstrap any use case, including L2s, oracles, fraud-proofs, and other things that require validation and security.
Meanwhile, validators will be able to unlock benefits by helping bApps bootstrap. SSV Network states that in SSV 2.0, validators can increase their gains by opting into secure bApps or providing different services, like L2 sequencing or validator commitments, to those that need it.
The team announced the development of the SVV Chain as the first bApp to “support the coordination of the new based economy.” The dedicated chain will act as a secure coordinator layer to enable the extension of the SSV network to multiple L1s, including Solana, Avalanche, and Cosmos.
Additionally, SSV Network unveiled its tokenomic changes as part of its transformation from a Distributed Validator Technology (DVT)-powered staking infrastructure into a multidimensional network for the based economy. “First, SSV 2.0 will enable anyone to participate in securing bApps and get rewarded by staking SSV. Second, the SSV token will introduce new burning and fee mechanisms,” the announcement read.
Ethereum (ETH)'s performance in the one-week chart. Source: ETHUSDT on TradingView Featured Image from Unsplash.com, Chart from TradingView.com
Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.
Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure
With the new pro-crypto administration in office, the industry is starting to see the long-awaited change of approach regarding regulations and measures to develop the sector. Following the announcement of the first crypto-related US Senate banking subcommittee, Senator Cynthia Lummis revealed the digital assets “dream team.”
A Bipartisan Digital Assets Subcommittee On Monday, US Senator Cynthia Lummis announced the members of the recently formed Senate Baking Subcommittee of Digital Assets, equally composed of four lawmakers from the Democratic party and four from the Republican party.
Senator Lummis shared her excitement on X, calling the members “The digital asset dream team.” According to the post, the list includes Republican Senators Thom Tillis, Bill Hagerty, Dave McCormick, and Bernie Moreno; with Democratic Senators Ruben Gallego, Tina Smith, Mark Warner, and Chris Van Hollen also joining the subcommittee.
memebers of the Senate Banking Subcommittee of Digital Assets. Source: Senator Lummis on X Last week, the US Senate Banking Committee, led by Senator Tim Scott, created the first-ever digital assets subcommittee, appointing pro-crypto Senator Lummis as the chairwoman.
The subcommittee will focus on passing bipartisan digital legislation “that promotes responsible innovation and protects consumers.” This includes market structure, stablecoins, and a Strategic Bitcoin Reserve (SBR).
Additionally, it will focus on conducting “robust oversight over Federal financial regulators to ensure those agencies are following the law” to prevent “Operation Chokepoint 2.0” from happening again.
After her appointment, Lummis stated she looked “forward to shepherding bipartisan legislation to President Trump’s desk this year that secures our financial future.”
Was The Pro-Crypto ‘A-Team’ Formed? Despite some members expressing a pro-crypto stance, other subcommittee members have shared a less friendly view of the industry. Some community members expressed concern about these Senators, who criticized the industry over the years.
According to Super Political Action Committee (PAC) Stand With Crypto (SWC) rankings, Senators Smith, Warner, and Van Hollen are “strongly against” or “somewhat against” crypto.
Last year, the three Democratic Senators voted against overturning the Securities and Exchange Commission (SEC)’s Staff Accounting Bulletin 121 (SAB 121), previously deemed a regulatory overreach by the US watchdog.
For instance, in 2022, Smith joined Senators Elizabeth Warren and Richard Durbin in an open letter condemning Fidelity’s launch of a Bitcoin 401(k) retirement plan, calling BTC a “volatile, illiquid, and speculative asset.” Senators Smith and Van Hollen also co-sponsored Elizabeth Warren’s Digital Asset Anti-Money Laundering Act of 2023.
Nonetheless, it’s worth noting that five out of the eight subcommittee members “strongly support” or “somewhat support” the industry, according to the SWC ranking, and crypto PACs backed McCormick and Moreno during their campaigns.
The community received the subcommittee “Dream Team” news positively, some calling it “The A-team.” MicroStrategy’s founder, Michael Saylor, replied under the post, “The key to success is the right digital assets framework.”
The digital assets-dedicated subcommittee is expected to work towards a better, clearer, and more welcoming crypto regulation that balances innovation and oversight.
Bitcoin trades at $102,596 in the one-week chart. Source: BTCUSDT on TradingView Featured Image from Unsplash.com, Chart from TradingView.com
Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.
BeInCrypto community recently had the pleasure of hosting Alon Muroch, SSV Labs Founder and a key contributor to SSV Network, in an insightful AMA session. As SSV celebrates its first year, Alon shared exciting developments, including the groundbreaking SSV2.0 upgrade and the introduction of Based Applications (bApps). Here’s a recap of the session, highlighting the major takeaways.
A Year of Growth and Success SSV Network has experienced rapid adoption, securing over 2 million ETH and establishing 1,200+ globally distributed node operators. Major projects like Lido, ether.fi, and various exchanges are already leveraging the network.
Introducing SSV2.0: A New Era for Ethereum Security With SSV2.0, the focus shifts from traditional staking and restaking to an innovative concept called Based Applications (bApps). These applications allow developers to tap directly into Ethereum’s validator set to secure various out-of-protocol services.
“Essentially, if you build something important like Oracles, Co-processors, AI agents, bridges, data availability, etc., you should get as close to Ethereum’s security as possible. That’s how the SSV2.0 roadmap was created, revolving around ‘Based Applications’, or bApps in short.” — Alon explained the shift
How bApps Revolutionize Security SSV2.0 extends validator participation beyond Ethereum, enabling multi-chain validation across Solana, Cosmos, and even Bitcoin. This approach transforms validators into a new asset class, fostering a more collaborative and secure ecosystem.
Risk Expressive Model (REM): It allows validators to allocate security based on a bApp’s specific needs dynamically. Based Applications Chain: A neutral app chain that enables multiple L1 validators to contribute security. Yield Opportunities: Validators can now opt into securing multiple bApps without slashing risks, creating a win-win model for both stakers and developers. The Economic Shift: SSV Tokenomics in SSV2.0 The upcoming changes in SSV economics introduce three new fee categories—validator operations, bApp security, and gas fees for the Based Applications Chain. This evolution will drive higher demand for the SSV token, making it ultra-sound (deflationary) similar to Ethereum.
“Currently SSV is used for paying fees for running validators on the SSV network. SSV2.0 will introduce two more fee categories (bApps and gas fees for the chain). That’s more than tripling the fees collected. Some of the collected fees (in SSV) will also be burnt.” — Alon elaborated
Bridging Multi-Chain Security SSV2.0 introduces a paradigm shift, allowing blockchain validators to collaborate in securing key infrastructure like oracles and bridges. This unlocks cross-chain security and enhances decentralization across different ecosystems.
“Imagine Solana and Ethereum validators working hand in hand to secure a really big oracle service between the two chains… That’s a type of collaboration that is not possible today. Multi-chain validators in SSV2.0 will usher in a new era of collaboration and a type of security which is greatly missing. Potentially that can even mean that Ethereum validators will secure Solana, and Solana validators will helpe secure Ethereum” — Alon illustrated the vision.
Incentivizing Developers & Ecosystem Growth SSV’s early adoption success stems from strategic incentives and partnerships. The SSV DAO has played a crucial role in onboarding developers, and Alon hinted at major incentive programs coming soon to further accelerate bApp development:
“We have some very big plans that I can’t disclose yet, haha. But I think the SSV DAO did an excellent job in incentivizing devs in the early days of SSV, which brought us to 2M ETH staked. I’m confident we can replicate that.” — Alon added.
Final Thoughts SSV2.0 is set to redefine blockchain security by making decentralized validation more accessible, capital-efficient, and multi-chain. The introduction of bApps, REM, and the Based Applications Chain marks a monumental leap for Ethereum’s security landscape.
“Based applications will profoundly change the restaking market and give rise to the Based Economy, unifying Ethereum and unlocking new sources of yield for validators.” — Alon said.
Stay tuned for further updates, and be sure to explore SSV Network’s website to get involved!
PANews reported on August 22 that according to Businesswire, Kraken announced that it has completed the integration of SSV Network's distributed validator technology (DVT) in its Ethereum staking infrastructure. It is reported that this architecture will support all Kraken staking clients and aims to achieve decentralized operation of Ethereum verification nodes. It no longer relies on a single machine or software client, but instead disperses the responsibilities of the verification node to a group of independent nodes, each of which holds a secure verification node key.
Ethereum experienced a rare slashing event on Wednesday, with 39 validators penalized, according to blockchain explorer Beaconcha.in.The validators were tied to the SSV Network, a distributed validator technology (DVT) protocol that decentralizes staking infrastructure by splitting validator keys across multiple operators.Despite the scale of the incident, SSV founder Alon Muroch emphasized that the protocol itself was not compromised. Instead, the penalties stemmed from operator-side infrastructure issues involving third-party staking providers using SSV.Ethereum experienced a rare slashing event on Wednesday, with 39 validators penalized, according to blockchain explorer Beaconcha.in.
The validators were tied to the SSV Network, a distributed validator technology (DVT) protocol that decentralizes staking infrastructure by splitting validator keys across multiple operators.
Despite the scale of the incident, SSV founder Alon Muroch emphasized that the protocol itself was not compromised. Instead, the penalties stemmed from operator-side infrastructure issues involving third-party staking providers using SSV.
One cluster of slashed validators was tied to Ankr, a liquid staking provider. According to Muroch, routine maintenance on Ankr’s systems triggered the event. A second slashing involved a validator cluster that had migrated from Allnodes two months earlier. Investigators believe a secondary validator setup caused the duplicate signing that led to penalties.
In total, 39 validators were slashed, making this one of the largest correlated slashing events since Ethereum’s transition to proof-of-stake. Each validator slashed faces an immediate ETH penalty and could face inactivity leaks, compounded losses. One validator, backed by a 2,020 ETH stake, lost around 0.3 ETH, or about $1,300 at today’s prices, in the process.
While slashing is built into Ethereum’s design as a deterrent against malicious or negligent behavior, it remains exceedingly rare. Fewer than 500 validators out of more than 1.2 million active have been slashed since the Beacon Chain went live in 2020. Most incidents, including this one, have been traced to operator issues rather than deliberate attacks.
Mass slashings are particularly notable because correlated misbehavior increases the severity of penalties. Ethereum’s protocol enforces additional inactivity leaks when groups of validators are slashed together, amplifying the financial impact.
For Ethereum’s staking ecosystem, the latest wave underscores a familiar but critical lesson: validator safety hinges as much on infrastructure and operator diligence as on the protocol itself. Even when the underlying software is uncompromised, operational errors can have costly and very public consequences.
Read more: ‘Keep It Simple’: Prevent Your Eth 2.0 From Being Slashed
AI Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards. For more information, see CoinDesk's full AI Policy.
Ethereum faced a rare mass slashing event with 39 validators penalized due to operator errors tied to the SSV Network.
Summary
39 validators tied to SSV Network were slashed after operational errors by Ankr and Allnodes. Each validator lost around 0.3 ETH, with further losses from inactivity leaks. Event highlights risks of validator mismanagement as Ethereum faces high exit queues and market volatility. On Sept. 10, 39 validators were penalized, according to data from blockchain explorer Beaconcha.in. making it one of the largest coordinated slashing events to affect Ethereum (ETH) since the switch to proof-of-stake in 2022.
The incident, which was caused by operator errors related to the SSV Network, highlights the risks associated with poorly maintained infrastructure when staking.
What caused Ethereum’s mass slashing event? The slashing was linked to third-party staking providers using distributed validator technology. Ankr triggered penalties during scheduled maintenance, while duplicate validator setups during a migration from Allnodes led to further slashing. Every validator lost about 0.3 ETH, or about $1,300, and inactivity leaks worsened the losses.
The penalties, though severe, were not the consequence of malicious activity or protocol errors. Instead, they demonstrate how operational errors can result in substantial financial losses for validators.
Slashing remains rare on Ethereum. Fewer than 500 of 1.2 million validators have been affected since the Beacon Chain launched in 2020, but this event was notable for its scale.
Why it matters To ensure network integrity, Ethereum’s slashing mechanism penalizes careless or negligent behavior. Despite the use of advanced infrastructure like SSV’s DVT, the Sept. 10 incident demonstrates that human error remains a vulnerability in the system.
The timing coincides with increased strain on Ethereum’s staking ecosystem. Over 699,000 ETH were added to the exit queue in August, causing withdrawal delays of up to 12 days.
According to Validator Queue data, as of this writing, there are over 2.5 million Ethereum waiting to be unstaked, which is an 18-month high. The 45-day wait time currently in effect coincides with a decline in Ethereum price.
Still, institutional interest remains strong. Despite continuous churn, Ethereum has added more than 50,000 new validators since May 2025 in response to U.S. regulatory clarity earlier this year.
SSV Network DAO today unveiled Compose, a new addition to its ecosystem that aims to stitch together Ethereum’s increasingly busy but fragmented rollup landscape. Built as a “based application” (bApp) that extends the role of Ethereum validators, Compose promises instant, atomic composability across all rollups. It is a capability its backers say will make it feel as if tokens and dApps live on a single, unified layer rather than on separate islands.
The timing could not be more consequential. Ethereum’s rollup-first roadmap has succeeded in driving much higher throughput and much lower transaction costs, but that success has also produced a new problem: a mosaic of ecosystems, Base, Arbitrum, Optimism and others. that don’t always talk to one another cleanly.
Users contend with slow or risky bridges, wrapped assets, lumpy liquidity and long withdrawal windows. Compose addresses that fragmentation in the industry by using validators to coordinate cross-rollup interactions that are synchronous and atomic, so a swap or transfer can complete across rollups without lingering middle steps or trust-heavy bridges.
Alon Muroch, CEO of SSV Labs, framed the launch as more than a feature release: it’s an attempt to preserve the network effects that made Ethereum valuable in the first place. “More rollups mean a more vibrant Ethereum ecosystem. However, realising Ethereum’s rollup-centric roadmap at scale requires preserving sovereignty, decentralisation, and unity across all layers of the ecosystem,” Muroch said, arguing that if each rollup grows in isolation, the broader platform risks fragmentation.
He added that Compose can let validators power cross-rollup coordination and seamless application interactions while keeping each rollup sovereign. Technically, Compose expands the validator’s job beyond simply signing attestations. Validators on SSV’s network will be able to act as publishers, participating in cross-rollup message passing and coordination, and they’ll receive extra rewards for doing so.
The approach builds directly on SSV’s Distributed Validator Technology (DVT), which already fragments validator duties across multiple operators for fault tolerance and decentralization. With Compose, SSV says those same validator networks can orchestrate synchronous, cross-L2 transactions without sacrificing decentralised security guarantees.
Next Step in the Evolution of Rollups If it works as advertised, Compose could upend a multi-billion-dollar industry: bridges. Today’s bridges often rely on optimistic assumptions, long withdrawal delays, or custodial arrangements to move assets between L2s; Compose promises instant, atomic transfers of any token on any dApp, on any rollup, removing many of the reasons users rely on wrapped assets or third-party bridge liquidity.
That shift would change how developers design multi-rollup dApps and could create a more seamless experience for users who expect one-wallet, many-rollups simplicity. The launch is also a scale statement: SSV is already a major player in Ethereum staking infrastructure. The network secures a material slice of the validator set, SSV’s own communications place it at roughly 14% of Ethereum’s validators with about 5 million ETH staked, positioning it to leverage that scale as it turns validators into coordination engines for rollup interoperability.
SSV Network’s DVT has long been adopted by staking protocols, node operators and exchanges; Compose looks to be the next step in that evolution. For now, Compose’s rollout begins digitally with an alpha and awareness campaign; the SSV DAO has signaled the community-driven nature of the effort and the team points readers to the Compose website and X channels for details and updates.
Whether Compose becomes the plumbing that lets Ethereum’s diverse rollups behave like one composable whole will depend on real-world integrations and how quickly developers and validators adopt the publisher model. Still, for an ecosystem wrestling with fragmentation at scale, Compose is an ambitious attempt to make cross-rollup interaction feel native instead of an afterthought.
AUTHOR
Mushumir Butt is a seasoned crypto journalist with over three years of experience reporting on the world of blockchain and cryptocurrency. At Blockchain Reporter, he delivers insightful news, in‐depth project reviews, and precise price analysis and predictions. With a strong background in SEO and digital marketing, Mushumir excels at breaking down complex trends into clear, accessible content, ensuring readers stay ahead in the fast‐paced crypto space.
SSV Network has unveiled a new project called Compose Network, pitching it as the “holy grail of Ethereum interoperability” and a layer that will connect rollups rather than compete with them. Announced in a spirited post on X, the team positioned Compose as a continuation of SSV’s infrastructure work, built on its validator stack and meant to enable atomic, instant coordination across Ethereum’s various rollups.
According to SSV’s announcement, Compose is a coordination layer at the execution layer: it lets actions that span multiple rollups execute together, or not at all. The core promise is straightforward but consequential. Deposit to Rollup A, swap on Rollup B, bridge back to Rollup A; all of those steps would settle together, atomically, in a single coordinated flow. No long waits on bridges, no fragmented liquidity across siloed rollups, just instant finality backed by fast zk proofs and secured by Ethereum.
SSV framed Compose not as a pivot but as an “SSV-native initiative.” The team says it builds on the group’s earlier work on distributed validator technology (DVT) and on the notion of “Based Applications” that SSV introduced earlier this year. By extending those ideas, Compose aims to give SSV validators a new role: powering cross-rollup coordination and earning additional incentives for doing so. In SSV’s view, that will create more use cases, increase demand for validators, and strengthen network effects while attracting a growing ecosystem to build on top of the infrastructure.
The company emphasized that SSV Labs and the SSV DAO remain committed to advancing DVT and to the network’s core roadmap, portraying Compose as the next logical step in both SSV’s roadmap and Ethereum’s evolution. “Compose isn’t just about faster transactions,” the post reads, “It’s about restoring the Ethereum experience, where everything works together again. Atomic. Synchronous. Instant. Composable.”
From DVT to interoperability Technically, Compose promises to stitch rollups at the execution layer using a combination of fast zero-knowledge proofs and SSV’s validator security. That architecture is intended to deliver the kind of atomic cross-chain experiences users and developers have long sought: multi-step flows that either complete in full across rollups or fail cleanly, without leaving funds stranded mid-bridge. If Compose delivers on its claims, developers would be able to design multi-rollup applications that behave as if they were deployed on one unified Ethereum, rather than a patchwork of separate environments.
SSV’s announcement also teased a broader play: by enabling synchronous composition across rollups, the project aims to make Ethereum scale horizontally via rollups while preserving a vertically unified user and developer experience. The blog post linked by SSV promises more technical detail and context for teams that want to learn how Compose will work and who will be able to build on it.
To answer questions from the community, SSV invited followers to a community call and pointed readers to its Discord channel. The team also encouraged people to follow Compose Network on X for updates as the project moves from announcement toward implementation. The introduction of Compose comes at a moment when Ethereum’s roadmap increasingly relies on rollups for scaling, and the ecosystem is hungry for better cross-rollup primitives. Bridges have long been a pain point; slow finality, liquidity fragmentation, and complicated user flows have frustrated both builders and end users.
By promising instant, atomic multi-rollup transactions, Compose isn’t trying to be another rival rollup; it’s pitching itself as the glue that actually makes rollups work together. The idea is simple: stitch different rollups into a single, seamless experience so users and builders don’t have to wrestle with slow bridges or fragmented liquidity.
Of course, whether Compose can pull it off comes down to the gritty details, the implementation, how validator rewards are structured, and whether SSV can produce fast, reliable zk proofs at scale. Still, the announcement feels like a bold step: moving interoperability from basic message passing to true atomic execution. If it succeeds, it could change how multi-rollup apps are built and, more importantly, how they feel to use across Ethereum.
AUTHOR
Mushumir Butt is a seasoned crypto journalist with over three years of experience reporting on the world of blockchain and cryptocurrency. At Blockchain Reporter, he delivers insightful news, in‐depth project reviews, and precise price analysis and predictions. With a strong background in SEO and digital marketing, Mushumir excels at breaking down complex trends into clear, accessible content, ensuring readers stay ahead in the fast‐paced crypto space.
SSV Network, the leading distributed validator technology (DVT) provider on Ethereum, securing over 5.5M ETH, is set to undergo the biggest comprehensive upgrade in its history. The SSV DAO has unveiled a potential path for SSV Staking, a major upgrade that would fundamentally redesign how the network accounts for validator balances and collects fees. If approved, the proposal would introduce SSV Staking delegation and Effective Balance Oracles, integral to the network, and turn the SSV token into an ETH accrual token, allowing SSV stakers to receive ETH rewards accrued from network fees.
At the center of the proposal is a move away from SSV-denominated protocol fees toward a fully ETH-native accounting and reward model that reflects the reality of Ethereum’s validator economy. Validator rewards are earned in ETH, operator costs are priced in ETH, and post-Pectra validator balances can now scale up to 2,048 ETH per validator. SSV Staking is designed to align the protocol — and its token — with that reality.
Introducing Effective Balance Oracles for post-Pectra accounting In parallel, supporting SSV staking and Ethereum’s post-Pectra validator model requires effective balance–aware accounting. Effective Balance Accounting ensures that fees, runway calculations, and liquidation logic scale with the actual stake secured by validators, rather than relying on “per-validator” accounting that has changed with validator consolidation – allowing a single validator to have a balance of 2048 ETH.
Implementing this model natively requires the protocol to reflect validator effective balances on-chain throughout their lifecycle. To bridge the gap between Ethereum’s consensus layer and on-chain accounting, the protocol introduces Effective Balance Oracles that track validator balances and update the protocol state.
Operating this oracle layer securely and resiliently is a core protocol function. Under SSV Staking, SSV holders would stake and delegate their tokens to support the selection and operation of oracle participants, aligning economic incentives with protocol security.
From Governance token to ETH accrual asset Under the proposal, SSV holders would be able to stake their tokens in a new staking contract and receive cSSV, a liquid ERC-20 token minted 1:1 to represent a staked position. While holding cSSV, participants would accrue a pro-rata share of ETH-denominated network fees, distributed through the protocol in proportion to staking participation.
Elad Gafni, SSV Foundation, said:
“cSSV is designed to represent more than a staked position; it represents participation.” Adding that: “SSV Staking is a mechanism for SSV holders to help operate and secure a core protocol function through delegation. This is a fundamental shift in how value flows through the network.”
Crucially, holding cSSV preserves full governance and voting rights, while enabling composability across DeFi as a liquid representation of staked SSV.
A new relationship between Ethereum infrastructure and SSV token holders SSV Staking goes beyond introducing yield. It is a full redesign of the network’s economic engine, connecting validator balances, ETH-denominated fees, oracle-backed accounting, and token incentives into a single system.
If approved by the DAO, SSV Staking would mark a shift from SSV as a governance and operator payment token toward an ETH accrual token, tightly coupled to the usage of one of Ethereum’s largest staking infrastructure providers.
About SSV Network SSV Network provides a distributed infrastructure designed to improve the fault tolerance, decentralization, and security of Ethereum validators through Distributed Validator Technology (DVT). SSV Network is the leading provider on Ethereum, securing over 5.5M ETH, worth an estimated ~$16 billion, across nearly 2,000 globally distributed node operators.
Press contact:
Robert Drage [email protected] Disclaimer: TheNewsCrypto does not endorse any content on this page. The content depicted in this Press Release does not represent any investment advice. TheNewsCrypto recommends our readers to make decisions based on their own research. TheNewsCrypto is not accountable for any damage or loss related to content, products, or services stated in this Press Release.
