Liquid Staking


Liquid staking is a process in decentralized finance (DeFi) where users stake their cryptocurrency tokens in a protocol to earn staking rewards, while still maintaining liquidity through tradeable derivative tokens.


This process allows stakers to participate in network security and consensus while also being able to use their staked assets for other investment opportunities. It addresses the liquidity issue typically associated with traditional staking in PoS (Proof of Stake) networks.