Understanding liquid staking: what it is, why it exists, and how to expand staking gameplay



Tezos has always regarded staking as a core function - it's simple to operate, you have control over your assets, and it's directly written into the protocol. However, as the ecosystem has grown, more and more operations are completed through smart contracts, wallets, and now Etherlink, a practical problem has emerged:

Do you want to participate in staking your tez? Then you have to honestly keep it in your wallet.

Liquid staking was created to address this pain point—this model has already been implemented on other chains. It allows your tokens to participate in staking to earn returns while maintaining liquidity for other purposes. For Tezos, this means that staking is no longer a choice between "locking up assets" and "flexible use," but rather a way to achieve both.
XTZ-1,78%
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • 6
  • Repost
  • Share
Comment
Add a comment
Add a comment
TokenStormvip
· 2025-11-28 09:01
On-chain data shows that this trap logic has actually been verified by Ethereum long ago, and the risk factor is controllable. However, the ecosystem on the Tezos side is too small; it's surprising if the liquidity pool can hold up... But anyway, we are all betting that the last one to leave is ourselves.
View OriginalReply0
ApeWithNoChainvip
· 2025-11-27 16:20
Speaking of which, the liquid staking system should have appeared long ago; the logic of locking up assets for staking is indeed outdated.
View OriginalReply0
ProbablyNothingvip
· 2025-11-25 21:45
Well, liquid staking is indeed brilliant; we no longer have to struggle between "earning yields" and "engaging in the ecosystem."
View OriginalReply0
RugDocScientistvip
· 2025-11-25 21:41
Well, now Tez can finally get moving. Before, it really felt like it was locked up.
View OriginalReply0
InfraVibesvip
· 2025-11-25 21:40
Tezos's implementation of liquid staking is really timely; before, staking felt like being locked up, but now you can earn yields while doing other operations. This is what a protocol should look like.
View OriginalReply0
ChainWallflowervip
· 2025-11-25 21:29
Finally, someone has said this, it's really uncomfortable to have tez locked in the Wallet, liquid staking has come just in time.
View OriginalReply0
  • Pin