Tangle Liquid Stake Concepts

Liquid Staking Tokens (LSTs)

Tokens minted when users stake their assets in Tangle's liquid staking protocol. They represent the staked assets and can be used in DeFi applications while earning staking rewards.

Operation Specific Liquid Staking

A method allowing users to create LSTs for specific staking operations. Users can define their own pools and mint LSTs for each unique staking operation, offering flexibility and customization.

Validator and Operator Participation

Validators and operators can stake on their own operations to receive liquid assets. These assets can be used in other DeFi or restaking protocols, providing new yield opportunities.

Customizability and Control

Users have full control over their staking operations, allowing for finer-grained control and the creation of liquid assets tailored to specific needs.

Restaking Collateral

LSTs can be used as collateral in Tangle's restaking protocols. Users can re-lock their LSTs in new service offerings, enhancing security and slashing mechanisms.

Reward Distribution

Tangle's reward system deducts a fee from the underlying staking rewards to support the protocol. The remaining rewards are distributed proportionally to liquid stakers.

Liquidity Challenges

Operation-specific LSTs may face liquidity issues in the DeFi ecosystem. Tangle addresses this by encouraging integrations that support trading between LSTs from the same underlying protocol.

Security and Slashing

LSTs serve as collateral for outsourced security and slashing. This ensures network security while enabling innovative staking and restaking solutions.

Multi-Chain Support

Tangle's liquid staking protocol supports multiple blockchains, including Ethereum and Polkadot, allowing users to stake assets across different networks.

Governance and Community Involvement

Governance systems within Tangle can participate in liquid staking, enabling community-driven decisions and improvements, ensuring the protocol benefits all stakeholders.