Liquid Staking
Liquid staking on Opera allows users to unlock liquidity from staked assets, opening new opportunities within DeFi. Traditionally, if you stake FTM, you lock your tokens to support the network's operation and security in exchange for rewards. However, doing this makes your FTM illiquid, meaning they cannot be used for other DeFi opportunities until they’re unstaked.
On Opera, two protocols aim to fix this limitation: Beethoven X and Ankr Protocol. Learn about them below.
What is Liquid Staking?
Liquid staking addresses the limitations of traditional staking by delegating your tokens to a validator and then minting synthetic tokens that represent the staked assets on a 1:1 basis. These tokens can then be freely traded and used in DeFi protocols for lending, borrowing, or earning additional yield while the original assets remain staked and continue earning staking rewards.
For example, suppose you stake 100 FTM through one of the liquid staking providers below. In that case, you receive the equivalent value in their FTM liquid staking tokens, which you can use in any DeFi application that supports them.
Liquid staking on Opera enhances the utility of its native token and enriches its DeFi ecosystem, making it more attractive to users seeking to maximize the productivity of their assets. This mechanism fosters greater capital efficiency within the network, allowing users to participate in securing Opera while also engaging in other DeFi activities without having to choose one over the other.
Beethoven X
Beethoven X is a DeFi platform on Opera that offers liquid staking through its sFTMx token. Follow these steps to liquid stake using Beethoven X:
Head to Beethoven X’s sFTMx page
Select how many FTM you wish to stake
Click Stake and confirm in your wallet
You have now staked your FTM through Beethoven X and received an equivalent value in sFTMx tokens! These tokens are reward-bearing, meaning their quantity is stable, but they gain in value such that their redemption ratio grows daily to reflect Opera staking rewards. The tokens can now also be used across various DeFi applications while they continue to earn staking rewards from the Opera chain.
To unstake your FTM, head to the Unstake tab. However, please note that any FTM tokens you unstake will only be available for withdrawal after 7 days, identical to the waiting period required for unstaking native FTM. As an alternative to unstaking, you can swap from sFTMx to FTM using Beethoven X’s DEX on the Swap page.
15% of the staking rewards that you earn are given to the validator on which your underlying FTM is staked, and then Beethoven X takes a 10% protocol fee from the remaining rewards that you receive. Learn more here about liquid staking on Beethoven X.
Ankr Protocol
Ankr offers liquid staking on Opera through its ankrFTM token. Follow these steps to liquid stake using Ankr:
Select how many FTM you wish to stake
Click Get ankrFTM and confirm in your wallet
You have now staked your FTM through Ankr and received an equivalent value in ankrFTM tokens! These tokens are reward-bearing, meaning their quantity is stable, but they gain in value such that their redemption ratio grows daily to reflect Opera staking rewards. The tokens can now also be used across various DeFi applications while they continue to earn staking rewards from the Opera chain.
To unstake your FTM, head to the Ankr Staking dashboard, scroll to the Liquid staking section, and click the minus symbol next to the ankrFTM token. Note the unstaking period given above the Unstake button. As an alternative to unstaking, you can swap from ankrFTM to FTM on various DEXs.
15% of the staking rewards that you earn are given to the validator on which your underlying FTM is staked, and then Ankr takes a 15% technical service fee from the remaining rewards that you receive. Learn more here about liquid staking on Ankr.
Last updated