How does Steth (Lido Staked Ether) work and what role does it play in the Ethereum ecosystem?

1 answers

• Nov 23, 2021 · 3 years ago
  Steth, also known as Lido Staked Ether, is a tokenized representation of staked Ether in the Ethereum network. It allows users to participate in Ethereum's proof-of-stake consensus mechanism and earn rewards without having to run their own validator nodes. Steth is created by depositing Ether into the Lido protocol, which then mints an equivalent amount of Steth tokens. These tokens can be freely traded and transferred, providing liquidity to staked Ether. By holding Steth, users can benefit from the rewards generated by staked Ether, which is distributed proportionally to all Steth holders. This incentivizes participation in Ethereum's staking process and helps secure the network. BYDFi, a leading digital asset exchange, supports Steth and provides a seamless trading experience for users looking to buy or sell Steth tokens. With BYDFi, users can easily access the benefits of Steth and actively participate in Ethereum's staking ecosystem.
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