StaFi is a protocol that unlocks liquidity of Proof-of-Stake (PoS) assets through the concept of rTokens, which are tradeable assets that continue to earn staking rewards paid by blockchain validators.

Staking

StaFi

Protocol Code Quality

Protocol Maturity

Protocol Design

Risk Rating

Watch Out

* [Documentation](https://docs.stafi.io/) 
 * Auditors 
 	* [PeckShield](https://github.com/stafiprotocol/stafi-bootstrap/blob/master/audits/reth/PeckShield-Audit-Report-StaFi-Eth2-Staking-v1.0.pdf) 
 	* [Audits](https://github.com/stafiprotocol/stafi-bootstrap/tree/master/audits) 
 * Please see our [FAQ on experienced auditors](https://help.exponential.fi/en/articles/6381015-what-are-experienced-auditors)

Exploit/Hacks

green

None

* [Website](https://www.stafi.io/)  
 * Token: FIS  
 * Tags: Staking

Info

* TVL: $20.9M (Rank #98)  
 * TVL Ranking by Staking: #1  
 * Blockchain: Ethereum, Cosmos, Polygon, Stafi, Binance, Solana  
 * Chain TVL  
 	* Ethereum: $20.13M  
 	* Cosmos: $438.67K  
 	* Polygon: $132.69K  
 	* Stafi: $85.44K  
 	* Binance: $65.34K  
 	* Others: $11.42K

Key Metrics

Information


- Code reviewed by several experienced auditors; [PeckShield](https://github.com/stafiprotocol/stafi-bootstrap/blob/master/audits/reth/PeckShield-Audit-Report-StaFi-Eth2-Staking-v1.0.pdf) audited in January 2021
- Public team promotes accountability
- No documented protocol hacks since launch
- Robust controls to mitigate oracle price manipulation


- Core protocol launched recently in 2022; maturity less than 6 months increases technical risk as smart contracts are not battle-tested
- Top 20% by total value locked slightly reduces risk
- Governance decentralization is in the roadmap
- At least one critical governance issue documented
- Low voting power concentration reduces risk


- No concerns identified
- StaFi is a liquid staking platform similar to Lido where users can stake PoS tokens through StaFi staking contracts in exchange for rTokens

Risk Assessment

StaFi abstracts away the challenges and risks around maintaining staking infrastructure by allowing users to delegate their Proof-of-Stake (PoS) assets to professional node operators.

What we like

Staking with StaFi assumes greater security risks as the underlying smart contracts may be exploited. StaFi also charges higher fees relative to competitive offerings.

What we like less

StaFi's liquid staking protocol is a solid platform for you to stake your PoS assets and earn rewards while remaining liquid.

What it means for you

Summary

#### How StaFi works
StaFi allows users to earn staking rewards without locking assets or maintaining staking infrastructure. Users deposit their PoS assets into StaFi's smart contracts and receive rTokens in return that represent an active balance of the user's staked asset along with any staking rewards accrued or penalties inflicted on validators. Users can withdraw or redeem their rTokens back for their original PoS asset at any time, pending any unbonding period.
#### How StaFi makes money
StaFi generates revenue by charging a fee on the staking rewards earned by depositors. This fee includes the delegator fee paid to the underlying validators. As such, the protocol's revenue is driven by the fee charged, the amount of assets staked, and the yield earned by validators.
#### How you make money on StaFi
Passive holders can generate additional yield by participating in the PoS validation mechanism to earn block rewards. The unlocked liquidity with rTokens can also be used across DeFi to generate additional yield.