Puffer Finance is a liquid staking protocol built on EigenLayer. It is an infrastructure layer that allows integration between various blockchain networks.
The protocol operates through a well-structured process, which enhances Ethereum's liquid staking landscape. You can find out about Puffer Finance in this article.
What is Ethereum?
Ethereum is one of the most popular blockchain platforms that supports a variety of decentralized applications ( dApps ), including gaming, DeFi, NFTs, and more. To run the Ethereum network, a transaction validation process called Proof of Stake (PoS) is required.
PoS is a consensus mechanism that requires validators to deposit a certain amount of ETH as collateral to maintain the security and integrity of the network. Validators who successfully carry out validation will receive rewards in the form of ETH tokens .
However, there are several challenges faced by Ethereum validators, such as:
Large capital
To become a validator, you must deposit a minimum of 32 ETH, which is equivalent to around IDR 1.5 billion today.
Risk of slashing
If validators make mistakes or behave badly, they could lose some or all of the ETH they deposited.
Lack of liquidity
Deposited ETH cannot be withdrawn until phase 2 of Ethereum 2.0 is launched, which is still several years away.
To overcome these challenges, there is a solution called liquid staking. Liquid staking is a process where validators receive tokens representing the ETH they deposit, which can be traded or used on other platforms.
Thus, validators can gain liquidity and flexibility, without sacrificing PoS rewards.
What is Puffer Finance?
Puffer Finance is a liquid staking protocol built on EigenLayer, an infrastructure layer that enables integration between various blockchain networks. Puffer Finance is designed to increase Ethereum PoS rewards for its users, in a secure and innovative way.
Using Puffer Finance, you can deposit ETH and receive pufETH, a liquid restaking token that is part of the Puffer ecosystem. pufETH allows you to earn Ethereum PoS rewards, plus restaking rewards via EigenLayer. You can also use pufETH on other DeFi platforms, to increase your earnings.
Puffer Finance also offers advanced and efficient anti-slashing technology, which is supported by a grant from the Ethereum Foundation. This technology protects validators from the risk of losing ETH due to errors or attacks.
Additionally, Puffer Finance also has a permission-free framework, allowing anyone to run a validator with less than 2 ETH. This not only broadens participation, but also increases the protocol's growth potential.
How Does Puffer Finance Work?
Puffer Finance operates through a well-structured process, which enhances Ethereum's liquid staking landscape. Here are the steps:
Stake ETH
You deposit Ethereum to get pufETH, Puffer's liquid restaking token, which gives you access to PoS rewards.
Get Rewards
You earn rewards through two main methods: secure PoS rewards, which are enhanced by anti-slashing technology, and additional rewards through EigenLayer integration , which improves overall yield.
Scale up with DeFi
You can utilize the DeFi platform to increase your income, by taking advantage of pufETH's liquidity.
Validator Ticket
Facilitates NoOps to operate validators with minimal capital of ETH, which aligns incentives and increases protocol growth.
Liquid Rewards
The implementation of AVS on EigenLayer by restaking operators increases the value of pufETH, provides instant rewards and reflects a commitment to user benefits.
With this structured approach, Puffer Finance not only simplifies the process of staking and restaking on Ethereum, but also opens up new opportunities for earning, making it an attractive option for a wide range of participants in the crypto space.
How to Participate in Puffer Finance Airdrop?
Puffer Finance recently launched an exciting airdrop campaign, which gives users the opportunity to earn free pufETH tokens.
This airdrop aims to increase user awareness and interest in the Puffer protocol, as well as provide incentives and rewards to loyal users.
To take part in the Puffer Finance airdrop, you must meet several conditions, such as:
- Have an existing crypto wallet — new wallets are not eligible
- Visit the Puffer airdrop page and press “Claim Airdrop”
- Verify your registration in your wallet
- You will be redirected to the secret airdrop page
- Confirm receipt of coins in your wallet
- Tokens are instantly distributed to your wallet — you're done!
To get the most out of the airdrop, you can also do the following:
- Actively participate in the crypto community
- Stay abreast of new projects and opportunities
- Make sure you comply with all regulations
Don't miss the opportunity to get free tokens from the Puffer Finance Airdrop. Who knows, you could be one of the lucky users and benefit from the best liquid staking protocol for Ethereum. Good luck and good luck!
How to Buy Crypto on Bittime
You can buy and sell crypto assets in an easy and safe way through Bittime. Bittime is one of the best crypto applications in Indonesia which is officially registered with Bappbeti.
To be able to buy crypto assets on Bittime, make sure you have registered and completed identity verification. Apart from that, also make sure that you have sufficient balance by depositing some funds into your wallet.
For your information, the minimum purchase of Bittime assets is IDR 10,000. After that, you can make crypto purchases in the application.
Monitor price chart movements of Bitcoin (BTC), Ethereum (ETH), Solana (SOL) and other cryptos to find out today's crypto market trends in real-time on Bittime.
Also read:
Puffer Finance Explodes to Become the Second Largest Liquid Retaking Protocol on Ethereum
Airdrop Chapter 1 from Puffer Finance (PUFFER), How to Claim it?
What is a Liquidity Provider Token (LP Token)?
The Important Role of the Ethereum Virtual Machine (EVM) in the Ethereum Ecosystem
DISCLAIMER : This article is informational in nature and is not an offer or invitation to sell or buy any crypto assets. Trading crypto assets is a high-risk activity. Crypto asset prices are volatile, where prices can change significantly from time to time and Bittime is not responsible for changes in fluctuations in crypto asset exchange rates.
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