LSDFi Summer is coming, a quick look at 6 LSDFi projects worthy of attention
Original Author: Hemi
Original Author: Hemi
The total locked value (TVL) of LSDFi exceeded 380 million US dollars, the tokens of projects such as Pendle and Lybra rose sharply, and the narrative of LSD and LSDFi became popular again.
After the Ethereum Shapella upgrade, the LSD (Liquid Staking Derivatives) protocol and the LST (Liquid Staking Token) concept swept the DeFi world, not only as a channel for ETH pledgers to exit the pledge status at any time, but also as a channel for holders It provides a new way to earn income and improve capital utilization in addition to transactions. Many old and new DeFi are beginning to develop related businesses towards LSD.
The "involution" of staking volume and liquidity has inspired more innovative strategies, and different projects are now competing to create broader and more usable functions for their LSD, including not only traditional DeFi components such as DEX, but also Yield strategy, stable currency, yield speculation utilizing LSD's unique attributes.
This article will sort out 6 LSDFi projects worthy of attention.
secondary title
1. Lybra Finance: Stablecoin Backed by LSD
The selling point of Lybra Finance is that it allows holders to obtain the 7.2% APY automatic interest-bearing stablecoin $eUSD in real time.
"Give you a stablecoin and it will multiply in your wallet as long as you hold on to it."
Due to the recent popularity of Lybra Finance on Twitter, the price of $LBR has risen wildly, and it has also attracted more and more people to get rewards by minting $eUSD.
secondary title
2. Pendle: Interest Rate Swap Market
Recently, Pendle's TVL reached an all-time high, approaching $100 million.
The idea of Pendle is to give users the opportunity to use assets and their earnings separately.
In Pendle, yield assets are divided into two parts: Principal Tokens ( PT ) and Yield Tokens ( YT ). PT represents the principal of the yielding asset, and YT represents the yield portion of the yielding asset. YT and PT can be traded on Pendle AMM.
For example, depositing 1 stETH will mint 1 PT-stETH and 1 YT-stETH, among which, 1 PT-stETH can be redeemed for 1 stETH, and 1 YT-stETH can allow you to get 1 ETH (stETH) deposited in Lido of all earnings.
During the meme season last month, a large number of Ethereum transactions resulted in higher rewards for validators, that is, higher staking returns. If you buy YT in advance, it can bring huge benefits.
secondary title
3. Asymetrix: LSD Profit Lottery
Asymetrix is a decentralized, non-custodial protocol designed for the distribution of asymmetric rewards from staking, aiming to make Ethereum staking more exciting and attractive for small players. (Traditional ETH staking is not as rewarding for small players holding small amounts of ETH due to lower yields)
Assuming 100 users deposit 1 stETH each, there will be 100 stETH in total. These stETH will produce 5 stETH as a pledge reward within 24 hours, and then the 5 stETH will be randomly assigned to a participant.
But no matter what the result is, depositors can get the corresponding governance token ASX as a reward.
secondary title
4. Index Coop: LSD index
Index Coop is a protocol managed by DAO, which mainly provides users with structured DeFi products and strategic tokens.
dsETH：
With the current development of the LSD protocol and LST, Index Coop provides ETH holders with two index tokens to simplify the process of earning income: Diversified ETH Staking Index ($dsETH) and Compound Interest ETH Index ($icETH ).
With more and more LSD protocols emerging, it is difficult for some stakers to choose in terms of yield.
Since these LSD protocols and LSTs are based on the Ethereum mainnet, it can be costly to deposit ETH into multiple LSD protocols or purchase multiple LSTs from the secondary market to diversify investments.
icETH：
Index Coop solved this pain point by bundling the popular LST into a single ERC 20 token, dsETH.
Some ETH stakers are keen to accumulate ETH with compound interest.
Therefore, compared with simply holding stETH, icETH holders not only own stETH spot, but also double the rate of return (variable, because it is affected by the mortgage rate and borrowing costs).
secondary title
5. 0x Acid: Yield Management Protocol for ETH Long-Term Holders
0x Acid is a relatively alternative income management protocol. Its goal is to optimize the returns of stETH, rETH, frxETH and other LSTs by providing a rate of return much higher than that of ordinary LST (4-5%). It is more suitable for users who are bullish on ETH for a long time participate.
The native token of 0x Acid is ACID, the supply is unlimited, and the initial supply through the token sale is 7370.
If the user pledges ACID, he will get sACID 1:1, which is the pledge certificate (unlocked), which can be exchanged for ACID at any time. As a staking reward, stakers not only get the governance token esACID, but also 5% to 10% of the bond sales.
secondary title
6. Gravita Finance: LSD interest-free loan
After pledging ETH in the LSD protocol to obtain rETH, wstETH and other LST, deposit it in Gravita, and you can get the stable currency GRAI in return. The stable currency GRAI can also be lent through Graivta for consumption, or deposited in the stable pool to purchase liquidated LST collateral at a discounted price.
Highlights:
Highlights:
risk warning:
risk warning:
According to the "Notice on Further Preventing and Dealing with the Risk of Hype in Virtual Currency Transactions" issued by the central bank and other departments, the content of this article is only for information sharing, and does not promote or endorse any operation and investment behavior. Participate in any illegal financial practice
