ETHPlus (ETH+)
ETH+ is a diversified liquid staking derivative (LSD) index designed to serve as Ethereum's safety yield index. It is built on the Reserve Protocol, aiming to provide users with a reliable and diversified method of earning yields from Ethereum-based collateral. The index is crafted to offer exposure to a basket of staked assets, leveraging the strengths of different Ethereum staking platforms.
The Reserve Protocol
The Reserve Protocol is a decentralized platform that facilitates the creation and management of stable cryptocurrencies and other financial products. It aims to provide a stable, decentralized, and scalable ecosystem for financial transactions. Within this framework, ETH+ is positioned as a product that combines the benefits of multiple Ethereum staking solutions into a single, cohesive offering.
| Ticker | ETH+ |
| Category | Arbitrum Ecosystem |
| Website | https://app.reserve.org/ethereum/token/0xe72b141df173b999ae7c1adcbf60cc9833ce56a8/overview |
| Contract Addresses | |
|---|---|
| ethereum | 0xe7...a8 Copied! |
| arbitrum-one | 0x18...23Copied! |
The components of ETH+
ETH+ is comprised of a collateral basket made up of three primary components: Lido, Rocket Pool, and staked Frax ETH. These components represent some of the leading Ethereum staking solutions available, each contributing its unique advantages to the ETH+ index.
Lido
Lido is a liquid staking solution for Ethereum that allows users to stake their ETH without locking it up. In return for staking, users receive stETH, a token that represents their staked ETH plus rewards. This system provides liquidity to stakers and enables them to utilize their stETH in various decentralized finance (DeFi) applications while earning staking rewards.
Rocket Pool
Rocket Pool is a decentralized Ethereum staking protocol that offers a flexible and secure staking experience. It allows users to stake their ETH with the network and receive rETH in return. Rocket Pool is known for its decentralized node operator network, which enhances security and reliability. Through Rocket Pool, users can participate in Ethereum staking with lower minimum deposit requirements and maintain control over their funds.
Staked Frax ETH
Staked Frax ETH is part of the Frax ecosystem, which is known for its fractional-algorithmic stablecoin, FRAX. Frax ETH combines the principles of stablecoin economics with Ethereum staking, allowing users to earn yields from their staked ETH. This innovative approach integrates the stability features of the Frax protocol with the yield-generating potential of Ethereum staking.
How ETH+ works
ETH+ functions by pooling investments into the diversified collateral basket of Lido, Rocket Pool, and staked Frax ETH. This pooling mechanism allows investors to gain exposure to multiple staking strategies without the need to manage each individually. The Reserve Protocol facilitates the seamless integration of these components, ensuring that the ETH+ index maintains its diversified and yield-generating nature.
Benefits of ETH+
ETH+ offers several benefits to its users, including diversification, liquidity, and yield optimization. By diversifying across different staking platforms, ETH+ reduces the risk associated with relying on a single protocol. Additionally, the liquid staking nature of its components ensures that investors can access their funds without the traditional lock-up periods associated with staking. This liquidity, combined with the yield-generating potential of the underlying assets, makes ETH+ an attractive option for those seeking to earn returns on their Ethereum holdings.