Ether.fi: The Best Yield Place for ETH

Ether.fi is a decentralized staking protocol based on the Ethereum blockchain. Ether.fi offers native restaking, where staking rewards are automatically compounded to generate higher returns. This feature helps users maximize their returns without manual intervention. Ether.fi aims to make staking in the Ethereum ecosystem more accessible, efficient, and decentralized.

Despite ETH's recent poor performance, there's a way to steadily increase its value for loyal holders who still own ETH.

First, considering security and liquidity, the best opportunity for increasing ETH's ultra-low-risk currency standard should be Ether.fi. The actual rate of return of Ether.fi is 5.8%, which is significantly higher than other similar protocols.

According to Pendle's calculations, tETH is a new protocol that has not been tested by the market, and BearChain requires a certain lock-up period. Therefore, Ether.fi's Symbiotic pool is the protocol with the highest yield besides the above two protocols.

Let's dive in:

About Ether.fi

Ether.fi is a decentralized staking protocol based on the Ethereum blockchain. Ether.fi offers native restaking, where staking rewards are automatically compounded to generate higher returns. This feature helps users maximize their returns without manual intervention. Ether.fi aims to make staking in the Ethereum ecosystem more accessible, efficient, and decentralized.

Key functions and features

One of the main features of Ether.fi is the liquidity staking feature. Instead of locking up ETH for a long time, users can obtain liquidity tokens such as eETH (ETH staked on ether.fi) by staking ETH. These tokens represent the staked ETH, and users can trade or use them in various DeFi applications, providing greater flexibility and liquidity.

How it works

Seamless staking, earning returns: Users can stake their ETH through the Ether.fi protocol. When users stake their ETH on the Ether.fi protocol, they receive an equal amount of liquidity tokens (eETH). eETH is a native re-staking liquid staking token that entitles holders to staking rewards generated by the underlying staked ETH while maintaining liquidity and participating in various DeFi.

These rewards automatically compound within the Ether.fi protocol, maximizing the earning potential for eETH holders.

Ether.fi adopts a liquid staking mechanism that allows users to stake their ETH without locking it for a long time. Compared with traditional staking methods, this feature provides users with greater flexibility and liquidity.

Governance Token: ETHFI is the governance token that drives the ether.fi network. By holding ETHFI tokens, users can vote on proposals, upgrades, or parameter changes, thereby ensuring a decentralized and community-driven governance model and ensuring a more inclusive and democratic approach to protocol management.

Why choose Ether.fi?

Ether.fi offers several key advantages to users looking to participate in decentralized staking on the Ethereum blockchain, including:

(1) Strong liquidity

It allows users to pledge less than 32 ETH to Ether.fi and automatically receive an equal amount of eETH or weETH minted by the protocol. These tokens can be traded freely and can be quickly exchanged back to ETH or other crypto assets when liquidity is needed.

(2) Multi-scenario application

eETH and weETH have the attributes of ERC-20 tokens. In addition to holding them to obtain liquidity pool returns, they can also be used in various DeFi platforms, such as lending, liquidity provision, or as a medium of exchange, expanding the user's operating scope and potential benefits in the Ethereum ecosystem.

(3) Staking Rewards + Restaking Income

Users can stake their ETH to re-staking protocols such as EigenLayer, Symbiotic, and Karak through Ether.fi, and these ETH can obtain corresponding staking rewards. These rewards will automatically accumulate and compound, bringing more benefits to users over time.

Through the above advantages, Ether.fi aims to make staking more convenient, efficient, and decentralized for users in the Ethereum ecosystem, and maximize staking returns.

Solid growth trajectory

Explosive growth of TVL: As of January 14, 2025, EtherFi's TVL (total locked value) has reached ~$8.5 billion, making it the 4th largest project in the entire ETH network including L2, with excellent security. It has the highest adoption rate and the fastest growth rate among all liquidity staking projects.

Reliable team background

Ether.fi completed a $5.3 million financing on February 2, 2023, led by North Island Ventures, Chapter One and Node Capital, and participated by BitMex founder Arthur Hayes. On February 27, 2024, Ether.fi completed a $27 million Series A financing, led by Bullish and CoinFund, demonstrating the rapid expansion trend of the protocol and the confidence of investors.

Currently, Ether.fi has published information on five team members in official documents, among which founder Mike Silagadze is currently the CEO of DeFi fund company Gadze Finance and the founder of Canadian higher education platform Top Hat (US$130 million in Series E financing in 20