Liquid Staking Token

The Proof-of-Stake mechanism in modern blockchain systems locks the liquidity of staked tokens to ensure the security of the chain. Stakers cannot use the staked tokens for transferring or for other DeFi activities. To address this limitation, projects such as Lido [15] and RocketPool [11] have introduced liquid staking tokens (LST), providing stakers with an equivalent amount of liquid tokens (e.g., stEth) to represent their staked positions. LSTs can be freely traded and utilized for yield farming, much like native protocol tokens. The unlocking of liquidity from staked tokens has paved the way for the introduction of secondary staking instruments, allowing stakers to restake their tokens to additional services. Exocore supports the restaking of LSTs from any blockchain to back off-chain AVSs of various types.