Thor Hartvigsen
Thor Hartvigsen

@ThorHartvigsen

9 Tweets Dec 22, 2022
$BNB has been one of the strongest performers of this bear market🚀. "Only" down 59% compared to:
BTC -73%
ETH -72%
Now what if I told you it's possible to earn 20% staking BNB?
Let's dive into how this is possible through liquid staking & no IL LP's on @staderlabs 🧵 1/9
2/ Stader Labs is a multi chain liquid staking protocol on BSC, Polygon, Fantom, Near & more.
On @stader_bnb you can deposit your $BNB and receive $BNBx in return.
3/ BNBx is the token that represents the liquid staked BNB.
The APY currently by staking BNB here is > 14%. You don't need to claim these rewards anywhere as the yield is accrued through price appreciation of BNBx relative to BNB.
4/ Let's say that for a year the average staking APY is 14%. After a year the BNBx token will be 14% higher in price than BNB.
So when unstaking (swapping BNBx to BNB) your BNB bag will have grown. The 14% APY comes from:
4.5% base staking yield
10% Rewards APY from Stader
5/ How does the price of BNBx work specifically?
BNBx exchange rate = (Total BNB in stake pool)/(BNBx in circulation).
Staking rewards are added to the BNB stake pool over time -> BNBx appreciates relative to BNB.
6/ With BNBx you're able to use this in defi which can also be accessed on @staderlabs. These include:
BNB/BNBx 11% APR on Apeswap
7% on Elipsis
10% on Wombat
These are nearly without impermanent loss and can be auto compounded on @beefyfinance for ~13% APY.
7/ By combining the liquid staking strategy with a farm like Beefy you're able to generate roughly 20% APY on BNB staking.
This allows you earn actual real yield by offsetting the yearly inflation of BNB token.
8/ What about safety?
@staderlabs is audited by Halborn & Peckshield and has an overall TVL of ~$100m ($13.5m on BNB staking).
With liquid staking additional smart contract risk is present as more protocols are utilized.
9/ If you want to check out @stader_bnb you can access the protocol here:
bit.ly
If you liked the thread I'd very much appreciate a like and rt of the first post:)

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