Stader ETHx (ETHX)
Stader ETHx by Stader Labs is a liquid staking solution designed for Ethereum. It allows users to stake their ETH and receive a liquid staking token called stETHx. This mechanism provides the benefit of earning staking rewards while maintaining liquidity, enabling users to participate in decentralized finance (DeFi) activities without locking up their assets. Stader launched ETHx on July 10, 2023, with the aim of offering a unique value proposition to users and node operators, enhancing the diversity of liquid staking derivatives (LSDs) on the Ethereum network.
| Ticker | ETHX |
| Category | Liquid Staking Tokens |
| Website | https://staderlabs.com/ |
| @staderlabs | |
| Telegram | staderlabs |
| Contract Addresses | |
|---|---|
| ethereum | 0xa3...5b Copied! |
ETHx ensures the continuous growth of Ethereum holdings through staking rewards. It integrates with decentralized applications (dApps) to provide additional opportunities in yield farming and lending. The solution also supports Ethereum's decentralization, scalability, and resilience. On July 4, 2024, Stader Labs partnered with the SSV Network to enhance Ethereum's decentralization, with ETHx permissioned node operators now powered by SSV.
ETHx design
The ETHx architecture is designed for decentralization, scalability, and resilience. It features a multi-pool system that includes both permissionless and permissioned pools, allowing for diverse node operation and validator curation. As Distributed Validator Technology (DVT) becomes more developed, ETHx plans to incorporate DVT-based stake pools to adapt to the evolving Ethereum staking ecosystem.
ETHx governance
ETHx governance is managed by three entities: the Community multisig, the Manager multisig, and the Operator. These entities work together to ensure transparency and accountability in decision-making within the ETHx ecosystem. Stader plans to introduce on-chain governance in the future, enabling holders of the governance token, SD, and ETHx to propose and implement protocol changes. This will foster decentralized decision-making and enhance inclusivity.
ETHx staking
ETHx allows users to benefit from Ethereum staking while retaining asset liquidity. The process works as follows:
Deposit and token issuance
When users deposit Ethereum into ETHx staking contracts, they receive an equivalent number of ETHx tokens. These tokens represent the user's staked Ethereum, allowing them to retain asset control while earning staking rewards.
Multi-pool architecture
Deposited Ethereum is managed using a multi-pool architecture, involving both permissionless and permissioned node operator pools. This structure ensures scalability, decentralization, and optimized return potential for staked assets.
Node network and reward generation
The Ethereum from these pools is allocated to the ETHx Node Network, a decentralized collection of Ethereum nodes that execute critical validation tasks for the Ethereum Beacon Chain. These activities generate staking rewards.
Accrued rewards and value growth
As nodes generate rewards, the exchange rate of ETHx relative to Ethereum increases, reflecting the staking rewards earned. This mechanism ensures the growth in value of ETHx tokens over time.
Security measures
Stader ETHx prioritizes security through various measures, including audits by blockchain security firms and a comprehensive bug bounty program. The platform uses hardware wallets and secure software solutions to protect user assets. Features like MEVBoost and slashing protection further safeguard staked assets. Additionally, the open-source nature of Stader ETHx's code allows for community review and contributions to enhance security.