Apr 01 2024
To support the adoption of the Liquid Collective protocol, the LsETH Protocol Service Fee is now significantly reduced from 15% to 10% of ETH network rewards received. This strategic update aims to make Liquid Staked ETH (LsETH) more accessible and competitive across the diverse Platforms where it is supported.
While Liquid Collective’s efficient staking design means that it can now offer a service fee below the liquid staking landscape’s average,* its position as the only ETH liquid staking token (LST) focused on providing a diversified, enterprise-grade staking ecosystem remains a core differentiator for LsETH. Liquid Collective’s commitment to providing a liquid staking solution focused on risk mitigation remains unchanged, as does the Slashing Coverage Program provided to all LsETH holders.
LsETH is already supported on users’ preferred staking and custody venues, including Coinbase, Figment, Bitcoin Suisse, Anchorage Digital, BitGo, Fireblocks, Copper, and more. This fee reduction emphasizes Liquid Collective’s commitment to expanding access to LsETH so that the protocol is widely available across the staking ecosystem.
Liquid Collective's service fee is split amongst Node Operators, Platforms, Service Providers, and the protocol's Slashing Coverage Treasury. The Protocol Service Fee is programmatically deducted from ETH network rewards received and is distributed in LsETH.
The 10% Protocol Service Fee structure has been implemented at the code level and will be effective for all ETH network rewards received at the time of the protocol’s next Oracle report, at which time ETH network rewards are calculated. Please note that Platforms or Service Providers providing access to LsETH may price their services above or below the Liquid Collective protocol’s base Protocol Service Fee.
To learn more about Liquid Collective and its benefits for stakers, view Liquid Collective’s site here.
*According to DefiLlama data as of March 21 2024, the average fee across the top ten ETH liquid staking protocols by TVL is 10.4%. For all LSTs tracked with a protocol fee, the average fee across LSTs is 10.73%.
