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How Is the 32 ETH Requirement a Barrier to Entry for Small Investors?

The requirement of 32 ETH (a large sum of capital) to run a full validator node on Ethereum makes it inaccessible for many small investors. This capital requirement pushes smaller holders towards staking pools or centralized exchanges, which increases the centralization risk for the network, even though it is technically decentralized.

Do Exchanges and Staking Pools Contribute to Centralization in PoS?
How Does a Pool’s Payout Scheme Affect Miner Loyalty and Centralization?
How Does the Centralization of Liquidity Affect Market Depth across Crypto Exchanges?
How Does the Concept of “Mining Pools” Affect the Distribution of the Total Hash Rate?