StakeWise Staked ETH
Crypto Overview
Purpose and Utility
StakeWise's osETH (Optimistically Staked ETH) is a liquid staking token that represents staked ETH on the Ethereum network. When users stake their ETH through StakeWise, they receive osETH tokens representing their staked position. The primary utility is to allow users to maintain liquidity while participating in Ethereum staking.
Business Model
The protocol operates by allowing users to stake ETH and receive osETH tokens that can be used in DeFi applications while their original ETH is being staked. StakeWise earns revenue through a percentage of staking rewards. The business model is transparent and documented in their technical documentation.
Real-World Adoption
StakeWise has gained significant adoption in the Ethereum staking ecosystem. As of 2024, the protocol has over $100 million in Total Value Locked (TVL) and has integrated with various DeFi protocols.
Platform Development
The project maintains active development with regular updates to their smart contracts and infrastructure. The team consistently releases updates and improvements to the protocol's security and efficiency.
Token Distribution and Vesting
The osETH token is minted based on actual ETH deposits, maintaining a 1:1 relationship with staked ETH. There is no pre-mine or founder allocation for osETH tokens specifically, as they are purely representative of staked ETH.
Additional Considerations
The staking mechanism involves providing security to the Ethereum network through Proof of Stake, which is a legitimate technological utility. While staking generates rewards, these come from network security provision rather than interest-bearing loans.
Crypto Impact
To assign a comfort level investing in StakeWise Staked ETH from a halal perspective we need to determine whether it has a net positive or negative impact.
Towards this end, the table below is used to tally all the positive and negative considerations our members can think of related to StakeWise Staked ETH.
If you don’t see something that should be listed, positive or negative, feel free to submit your own contribution using the button “Contribute”.
We will review your contribution for accuracy before publication.
Importantly, you can review listed contributions and vote on which one you think has the greatest impact, positive or negative.
You only have one vote per asset so use it wisely.
You can change your vote if you change your mind.