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Liquid Staked SWTH
Unlock the liquidity of your staked SWTH tokens
On Carbon, stakers receive a portion of block rewards in return for helping to secure the blockchain.
One drawback of staking, however, is that SWTH are locked up for a period of time, which can limit liquidity and prevent stakers from using their funds for other purposes.
A liquid staked version of SWTH allows users to utilize their staked SWTH assets for other DeFi activities whilst earning staking rewards. With a staggering 70% of all SWTH currently staked, this can potentially unlock a significant amount of liquidity for the Carbon ecosystem.
rSWTH unlocks the value of the staker’s SWTH assets without having to unstake them, allowing stakers to retain the benefits of staking (i.e. continue earning staking APY) while maintaining the liquidity of their staked SWTH assets. Learn more about rSWTH here.
Carbon could potentially collaborate with other liquid staking protocols in the future to develop additional types of LSDs for the SWTH token.