Liquid Staking Derivatives
As of 02/01/2025
Last updated
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As of 02/01/2025
Last updated
Was this helpful?
Liquid Staking Derivatives (LSD) or Liquid Staking Tokens (LST), are the tokens users receive when they stake their assets in the . These tokens represent the user’s initial stake and the staking interest that accumulates over time.
In the Hatom Ecosystem, you will interact with the following :
sEGLD is the token users receive when they stake their EGLD through the Protocol. It represents a tokenized version of their staked EGLD position and accumulates interest through staking rewards, mirroring the staking process within the EGLD ecosystem.
Users can exchange sEGLD for EGLD + staking rewards through the Unstake tab in the
swTAO is the receipt token users receive when they stake their wTAO through . It functions similarly to sEGLD, as the staking rewards are compounded into the token's price.
Users participate in wTAO Liquid Staking directly on , where tokens are transferred to a validator via the . A snapshot of wTAO holdings is taken to calculate rewards, and based on this snapshot, rewards are calculated and bridged the following day. The backend system automates all reward calculations and liquid staking activities, ensuring a seamless and efficient staking process.