The current 14-day unstaking period for RSR in the Reserve Protocol serves an important purpose—preventing opportunistic behavior during collateral defaults. However, in an industry where efficiency and accessibility are key, a two-week cooldown may be longer than necessary.
I propose cutting the staking cooldown from 14 days to 7 days while also introducing a 1-2% priority fee for those who want to unstake even faster. This way, we strike a balance between security and usability, making staking more attractive while keeping the protocol safe.
A week is still long enough to maintain security measures, but it also makes staking way more appealing. Shorter cooldowns mean more liquidity and better access to funds without totally removing the safety net.
Enter the Priority Fee
For those who really need their RSR right away, a small 1-2% fee would allow them to unstake before the 7-day period is up. This creates a win-win: stakers get flexibility, and the protocol benefits from the fees. The priority fee would be split 60/40—with 60% going to long-term stakers as an added incentive for commitment, while the remaining 40% is permanently staked to the RToken, reinforcing the ecosystem’s stability and long-term sustainability.
Let’s face it—liquid staking has become the industry standard over the last few years. While a fully liquid staking model wouldn’t be ideal for Reserve (since it could compromise security measures), we can still take a step in the right direction by reducing the unstaking period. This makes staking more attractive to a wider audience while maintaining the protocol’s stability.
whales or Institutional grade users might actually embrace the priority fee option because it gives them more strategic flexibility. Instead of being locked in for a full two weeks, they could unstake quickly if market conditions shift, even if it comes at a small cost. For them, a 1-2% fee might be a fair trade-off for the ability to act fast when needed.
PROs:
- More Liquidity – Get access to your funds faster without unnecessary delays.
- Sustainable Protocol Revenue – The priority fee helps keep the ecosystem strong.
- Better User Experience – More flexibility makes staking more appealing.
- Staying Competitive – A shorter cooldown aligns with evolving staking expectations.
- Reinforcing the RToken – A portion of fees are permanently staked, strengthening the system.
CONS:
- Less Commitment to Staking – Shorter lock-up periods could lead to more frequent exits, though Reserve does offer attractive rewards that should help maintain participation.
At the end of the day, this change makes RSR staking more accessible, more flexible, and more user-friendly—without compromising security. Thanks in advance for taking the time to read this!