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An Alternative SaaS Design [Draft]

Orignal design at https://drive.google.com/file/d/1h8qqNlTDR_4et-3BZrGxE8r1-1WLgAzb/view
Thanks to Valdorff for providing early feedback on this document.

Modifications

  • The role of the Supernode smart contract is split into three parts: NOA Vault, NOA Node and Node Delegate
  • Multiple NOA Node instances can be used in parallel.
  • NOA Vault can not be upgraded and is responsible for holding value in the system as well as splitting rewards. It is set as the withdrawal address for each NOA Node instance.
  • Each NOA Node instance can be upgraded through the Node Delegate.
  • NOA Governance is responsible for deploying and setting Node Delegate.

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Pro: Balances Upgradeability with Minimal Trust Assumptions

  • This design allows for the necessary flexibility to address future RP core protocol changes that would require new interactions from the node wallet.
  • At the same time it's possible to make key functions of the node wallet non-upgradeable.
  • Value holding and reward splitting parts remain immutable. Note that the same immutability protecting all parties against withdrawal address changes also means that any future “withdrawal address only” functionality can not be implemented.

Pro: RPL liquidity

  • Splitting validators between multiple NOA node instances significantly improves the ability to partially withdraw RPL.
  • See the examples below comparing various scenarios with 1000 minipools with either a single "supernode" or ten NOA Node instances:

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  • You can make this as fine as you want by creating more nodes, e.g. 100 nodes means RPL unlocks in 1% increments. But too many nodes means it becomes expensive.
  • Small nodes help with liquidity, while large nodes help reduce the total node count (and thus gas expenses), so it might be best practice to mix different NOA sizes. For example 5 x 1%, 2 x 2.5%, 2 x 5%, 8 x 10%. Meaning 5 NOA Nodes that hold 1% of RPL and minipools, 2 NOA Nodes that hold 2.5% of RPL and minipools and so on.

Cons

  • A more complex smart contract architecture means this is more difficult to implement.
  • Higher gas cost, but can be somewhat managed by number of NOA node instances.
  • Splitting RPL across multiple nodes will lead to higher voting power in a quadratic voting scheme. If this is not desired, NOA Governance could choose to only partially delegate their voting power.

References