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The Flavors of ETH: From Wrapped to Liquid Staked Tokens
As a Layer-1 blockchain, Ethereum’s value proposition extends beyond being a digital currency. Its programmability allows assets to be used in productive ways, such as securing the network, serving as a yield bearing and collateral asset within its on-chain ecosystem. To make ETH more usable and composable across these contexts, a variety of “flavors” or tokenized versions of ETH have emerged. From wrapped ETH, which provides ERC-20 compatibility, to liquid staking tokens (LSTs) that provide staking yield while being transferable, and other variants that layer on additional yield and utility. These tokenized ... (full story)