Puffer Offers Liquid Restaking, a New Trend in the Crypto World

Check the Crypto Market Today:

Bittime - Liquid restaking is a new phenomenon in the crypto world that offers an opportunity for investors to earn high returns on their assets. Liquid restaking leverages the EigenLayer protocol, which allows the restaking of ether (ETH) on networks other than Ethereum.

Puffer Finance Steals the Attention of the Crypto Community

One liquid restaking project that stole the spotlight was Puffer, which just launched its platform on February 1. In less than a month, Puffer managed to collect deposits of more than $1 billion (Rp 15.7 trillion) from users, according to data from DefiLlama.

Puffer is one of the few platforms following the trend of liquid restaking, which is one of the driving factors for the rise of decentralized finance (DeFi) on Ethereum. Liquid restaking is the process by which users can deposit liquid staking tokens (ESG) into the EigenLayer protocol, and receive liquid restaking tokens (LRT) in exchange.

Also Read How to Buy Crypto:

Liquid Staking Tokens

Liquid staking tokens are tokens that represent assets staked on a Proof-of-Stake (PoS) network, such as ETH. Liquid restaking tokens are tokens that represent assets restaked on another network called "actively validated services" (AVS). AVS is a protocol that leverages staked ETH to secure third-party networks.

With liquid restaking, users can maintain the liquidity and flexibility of their assets, while earning interest from restaking. In addition, users can also earn additional incentives in the form of "points", which can be exchanged for tokens in the future.

Puffer offers an LRT called pufETH, which can be reused in other DeFi protocols. PufETH will earn interest at 5% per annum once the EigenLayer AVS is active, which is expected to occur in the second quarter of this year. Puffer also claims that its platform is "slash resistant", meaning users don't have to worry about losing their assets in case of a breach of network rules.

"I believe restaking, like anything else, has its own risks," Puffer Finance CEO Amir Forouzani told CoinDesk. "It could be bad for the industry, or it could also play a very good role."

"I think it's important to review AVS," he continued, "to allow only AVSs that don't have exogenous risk."

Conclusion

Liquid restaking is a new trend in the crypto world that is attracting the interest of many investors. With liquid restaking, users can increase their earning potential from their assets, while contributing to the security of the broader crypto ecosystem.

Check Crypto Price Today:

Cara Beli Crypto di Bittime

Kamu bisa beli dan jual aset crypto dengan cara yang mudah dan aman melalui Bittime. Bittime adalah satu aplikasi kripto terbaik di Indonesia yang sudah resmi terdaftar Bappebti. 

Untuk bisa beli aset crypto di Bittime, pastikan kamu telah melakukan registrasi dan menyelesaikan verifikasi identitas. Selain itu, pastikan juga kalau kamu punya saldo yang cukup dengan melakukan deposit sejumlah dana ke wallet. Sekadar informasi, minimal pembelian aset di Bittime adalah Rp10.000. Setelah itu, barulah kamu bisa melakukan pembelian aset crypto di aplikasi. Belajar Panduan Lengkap Cara Beli Crypto di Bittime. 

Pantau pergerakan grafik harga Bitcoin (BTC), Ethereum (ETH), Solana (SOL) dan kripto lainnya untuk mengetahui tren crypto market hari ini secara real-time di Bittime.

Baca Juga:

Airdrop Chapter 1 of Puffer Finance (PUFFER), How to Claim It?

Puffer Airdrop: Mechanism and Guide How to Get It

What is Puffer Finance? Best Liquid Staking Solution for Ethereum

DISCLAIMER: This article is informational in nature and does not constitute an offer or solicitation to sell and buy any crypto asset. Trading crypto assets is a high-risk activity. Crypto asset prices are volatile, where prices may change significantly from time to time and Bittime is not responsible for fluctuations in crypto asset exchange rates.