The two types of Ethereum staking rewards
Every Ethereum validator, including 0x02, accrues rewards from two distinct sources:
Consensus Layer Rewards (CLR): rewards for attestations, sync-committee duties, and block proposals.
Execution Layer Rewards (ELR): priority fees and MEV accrued when your validator is selected to propose a block.
π‘Rewards are not paid daily. CLR accrue continuously on the validator; ELR are distributed by P2P.org twice monthly. See details below.
How CLR work on a 0x02 validator
CLR are credited directly to your validator's balance every epoch.
They are NOT swept to your withdrawal address. Instead, they remain on the validator and immediately begin accruing further rewards. This is the auto-compounding behaviour that defines the 0x02 validator type.
Auto-compounding continues until the validator reaches the Maximum Effective Balance (MEB) of 2 048 ETH set by the Ethereum protocol.
To preserve compounding headroom, the P2P.org dApp caps single-validator auto-compounding at 1 920 ETH, providing approximately 2β3 years of compounding runway before the protocol begins sweeping the excess balance. The runway depends on variable protocol reward rates.
If the top-up would exceed the cap, per the dApp logic, it splits the deposit into multiple validators (e.g. 2 000 ETH will be split into 2 Γ 1 000 ETH validators) rather than letting a single validator grow further toward the 2,048 ETH MEB.
π‘ Auto-compounding is a property of the 0x02 withdrawal credential itself. Once a validator is 0x02, CLR auto-compounding cannot be turned off β it is the core feature of the validator type.
Need to access CLR before exiting the validator? Use a partial withdrawal. Partial withdrawals sweep any balance above 32 ETH back to your withdrawal address while keeping the validator active. See How to partially withdraw a 0x02 Ethereum (ETH) validator using the P2P.org dApp.
How ELR work on a 0x02 validator
ELR work the same way on 0x02 as they did on 0x01:
Priority fees and MEV from blocks your validator proposes are routed to a dedicated, on-chain fee-divider smart contract assigned to your delegation. The contract is non-custodial: it executes a fixed split between your withdrawal/deposit address and P2P.org's fee address according to immutable on-chain logic. P2P.org cannot redirect, withhold, pause, or otherwise use the ELR held momentarily by the contract.
The divider distributes ELR to your deposit / withdrawal address on a fixed schedule, typically on the 1st and 15th of every month, after P2P.org's service fee is deducted. The schedule may change subject to operational and protocol conditions, and clarify that the distribution is the result of an on chain process executed by a P2P.org operated contract on a non custodial basis.
ELR are not auto-compounded onto the validator; they are paid out to your wallet.
Where rewards land β quick reference
Reward type | 0x01 validator | 0x02 validator |
Consensus Layer (CLR) | Swept to withdrawal address every ~8.5β9 days | Stays on the validator and auto-compounds (up to 1 920 ETH P2P cap / 2 048 ETH protocol MEB) |
Execution Layer (ELR) | Sent to fee-divider contract then distributed to deposit address bi-weekly, net of fee | Same as 0x01: distributed bi-weekly, net of fee |
Auto-compounding | Not available | Enabled by default and cannot be disabled |
When will I receive my first rewards?
CLR begin accruing on your validator's balance as soon as the validator becomes active (after the activation queue and ~4-epoch finalisation).
ELR are only accrued when your validator is selected to propose a block; this is probabilistic and may take weeks or months for a single validator.
The first ELR distribution to your wallet occurs on the next scheduled ceremony (1st or 15th of the month) following any blocks your validator proposes, provided your delegator has no outstanding fee balance.
How to track your rewards
Per-validator CLR (live balance growth)
Look up your validator on beaconcha.in by public key or validator index.
On a 0x02 validator you will see the effective balance grow rather than withdrawals appearing under the Withdrawals tab, that is auto-compounding in action.
ELR distributions to your wallet
On etherscan.io, open your deposit / withdrawal address and switch to the Internal Transactions tab. The bi-weekly transfers from your fee-divider contract appear there.
Dashboard view
Sign in to the P2P.org dashboard and enter your withdrawal address to see CLR and ELR in one place.
π‘ Things to keep in mind
CLR are not regular blockchain transactions; they have no sender, no gas fee, and are not included in a block. The protocol increases your validator's balance directly. This is why CLR does not appear as transactions in your wallet or block explorer.
CLR and ELR flow to client controlled addresses and P2P.org does not take custody of staking principal or rewards.
Rewards are estimated, not guaranteed. The displayed Reward Rate in the P2P.org dApp is based on a rolling 1-day (225-epoch) average from the live Ethereum network and will fluctuate.
Service fee. P2P.org's service fee applies only to your staking rewards, not to your staked principal. For native ETH staking via the P2P.org dApp directly, the current standard fee is 5%. Note that fees may change with notice and may differ for special offers or large delegations.
Reward variability between validators. Because block-proposal selection is random, two validators staked on the same day can show meaningfully different short-term reward rates. Over longer windows these differences average out.
Full picture of returns. Some interfaces display only CLR. If you do not see ELR alongside CLR in a third-party UI, check the Internal Transactions tab on your withdrawal address for the actual on-chain ELR payouts.
Third party explorers are not operated by P2P.org and may display data with delay or differences from on chain truth.
Slashing, validator downtime, and protocol changes can reduce or eliminate rewards. These risks are protocol defined and client borne. P2P.org does not insure against rewards loss.
For more information on staking Ethereum (ETH) with P2P.org and our special offer for large ETH delegations, visit https://p2p.org/networks/ethereum
For additional staking support, visit the P2P.org ETH Help Centre.
You can also get in contact with a live agent by selecting the speech bubble at the bottom right of this page, sending a message to the Telegram bot, or emailing [email protected].