Delegator Onboarding

The following outlines the process for onboarding delegators to Shared Security Networks (SSNs) in Cap's protocol. Onboarded delegators may delegate to operators approved in the Cap system.

1. Setup

Ensure you have:

• Operator Address: Operator's Ethereum address that will receive delegations. The operator must be already registered in Cap's system.

• Restaker Rate: Agree on a fixed rate to receive from the Operator

• Collateral Asset: The asset to be used as vault collateral (ETH/BTC-denominated ERC20s)

2. Choose SSN

Select SSN of choice for delegations, and follow the corresponding onboarding guide to complete set up and start delegating.

1. Symbiotic

2. EigenLayer

Collateral management, i.e. delegations and withdrawals, are handled within each SSN. Delegators are advised to monitor delay periods specific to the SSN.

Withdrawing delegations immediately lowers coverage. Delegated assets in the withdrawal queue are slashable until the end of the withdrawal delay. Hence, a withdrawal below the liquidation threshold makes the delegation asset slashable.

While a time buffer is in place to mitigate risk, it is recommended that Delegators whitelist depositors prevent malicious/accidental withdrawals that may trigger unintended slashing.

3. Complete Legal Agreements (Optional)

Operators and Delegators may enter into legal agreements outlining terms of delegation, responsibilities, and compliance.