Dec. 1, 2023, 3:30 a.m. |

IACR News www.iacr.org

ePrint Report: Leverage Staking with Liquid Staking Derivatives (LSDs): Opportunities and Risks

Xihan Xiong, Zhipeng Wang, Xi Chen, William Knottenbelt, Michael Huth


Lido, the leading Liquidity Staking Derivative (LSD) provider on Ethereum, allows users to stake an arbitrary amount of ETH to receive stETH, which can be integrated with Decentralized Finance (DeFi) protocols such as Aave. The composability between Lido and Aave enables a novel strategy called “leverage staking”, where users stake ETH on Lido to acquire stETH, utilize stETH …

chen decentralized derivatives eprint report eth ethereum liquid liquidity michael opportunities report risks stake staking wang

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