What is Stader? Liquid Staking with High Profit Opportunity
2025-07-24
Stader Labs has emerged as a prominent player, aiming to revolutionize how users engage with staking.
With an ambitious "1 Billion Mission," Stader is committed to making staking both highly rewarding and exceptionally convenient, while simultaneously unlocking new avenues for participation within the broader DeFi ecosystem.
Stader Focus on Liquid Staking Tokens (LSTs)
Stader innovative approach, centered around Liquid Staking Tokens (LSTs), allows users to earn staking rewards without sacrificing the liquidity of their digital assets, presenting a significant "high profit opportunity."
Traditionally, staking involved locking up cryptocurrencies for a specified period, making them inaccessible for other financial activities. This created an "opportunity cost" for stakers. Stader's solution addresses this by issuing LSTs, which are tokenized representations of staked assets.
These LSTs can then be used across various DeFi protocols, enabling users to generate additional yields on top of their base staking rewards. This dual utility is central to Stader's value proposition and its goal of bringing a massive influx of users into the staking and DeFi world.
Read also : How to Buy Stader (SD)
Stader's Journey and Multi-Chain Expansion
Stader's journey began in November 2021 on the Terra blockchain, quickly achieving a peak Total Value Locked (TVL) of over $1 billion with more than 40,000 staking wallets. This early success laid the groundwork for its significant expansion across multiple leading blockchain networks.
Since its inception, Stader has strategically broadened its reach, recognizing the multi-chain nature of the crypto ecosystem:
January - March 2022: Expanded liquid staking offerings to Hedera, Fantom, and Polygon.
July - September 2022: Launched liquid staking on BNB Chain and NEAR Protocol.
October - December 2022: Introduced community governance and snapshot voting, empowering its user base.
Today, Stader boasts over 50 DeFi integrations across six different blockchain networks, enabling users to maximize their staking rewards through diverse DeFi opportunities like yield farming on decentralized exchanges (DEXs) and lending platforms.
Their key LSTs include ETHx (for Ethereum), MaticX (for Polygon), BNBx (for BNB Chain), and HBARx (for Hedera). This widespread integration highlights Stader's commitment to providing seamless and accessible staking solutions.
Read also : What is Swell Protocol? The Future of Liquid Staking and Passive Income on Ethereum
How Stader Works: Unlocking Liquidity and Maximizing Profits
The core mechanism of Stader's platform is designed for simplicity and efficiency, allowing users to participate in staking while simultaneously engaging with DeFi opportunities:
Stake Tokens: Users stake any amount of supported native blockchain tokens (e.g., ETH, MATIC, BNB, HBAR) on the Stader platform.
Receive Liquid Tokens (LSTs): In return for their staked tokens, users instantly receive equivalent Liquid Staking Tokens (LSTs), such as ETHx, MaticX, BNBx, or HBARx. These LSTs are yield-bearing, meaning their value grows over time as staking rewards accrue.
Participate in DeFi: The received LSTs can then be freely used across over 40 integrated DeFi protocols. This includes:
Providing liquidity: LSTs can be paired with other tokens in liquidity pools on DEXs to earn trading fees and liquidity mining rewards.
Lending/Borrowing: LSTs can be supplied to money markets to earn interest or used as collateral to borrow other assets.
Yield Aggregators: LSTs can be deposited into yield aggregators like Yearn Finance to automate and optimize yield farming strategies.
Structured Products: Opportunities like those on Pendle allow users to separate the yield component from the principal, offering fixed or leveraged yield strategies.
This innovative model effectively eliminates the opportunity cost associated with traditional staking, allowing users to earn multiple layers of yield, from base staking rewards to additional DeFi profits.
Read also : Sanctum: Revolutionizing Liquid Staking on Solana
Stader Security and Future Roadmap
Security is paramount in the DeFi space, and Stader prioritizes the safety of user assets. Their smart contracts undergo rigorous audits by leading blockchain security experts, including Certik, Peckshield, and Halborn.
This proactive approach to security ensures that the platform's code is robust and resilient against potential vulnerabilities.
Additionally, Stader's tokenomics, particularly for ETHx, involves permissionless node operators bonding a minimum amount of SD tokens (Stader's native token) as an additional protection for user funds against poor performance or slashing events.
Stader's future roadmap outlines ambitious plans to further expand its ecosystem and utility:
"Stripe for Crypto Rewards": Stader aims to offer Rewards APIs (Application Programming Interfaces) to crypto exchanges and institutions. This initiative would enable these platforms to power "Earn" programs for their users in a secure, decentralized manner, without counterparty risk, effectively bringing liquid staking to a broader institutional audience.
Blockchain Expansion: Continued expansion of liquid staking solutions to new and emerging blockchains, including a strong focus on Ethereum (ETHx is already a significant product) and Aptos.
Vaults: Development of "Smart Vaults" designed to expand and automate reward strategies that utilize liquid-staked tokens across multiple chains. These vaults could help users optimize their yield-generating activities with minimal manual intervention.
Read also : What is the Magma Airdrop? The First Liquid Staking Protocol on Monad
Stader Strong Backing and Price Analysis
Stader's vision is supported by an impressive roster of investors, showcasing strong confidence from major players in the crypto and venture capital space. Their partners include:
Pantera Capital: A leading blockchain investment firm.
Coinbase Ventures: The venture arm of the prominent cryptocurrency exchange Coinbase.
Jump Crypto: A major player in crypto trading and infrastructure.
Blockchain.com: A well-known crypto financial services company.
True Ventures: A venture capital firm with a focus on early-stage technology companies.
Stader Labs has successfully raised $39.5 million across three funding rounds, with an estimated valuation of $450 million as of January 2022.
The project's native token, SD, plays a crucial role in its ecosystem, offering utility for governance (SD stakers receive xSD for voting rights), preferential delegations for validators, and participation in liquidity pools.
A portion of protocol fees generated by Stader is also redirected to SD token stakers.
SD Tokens on Stader
As of July 24, 2025, the SD token has a circulating supply of approximately 60.67 million out of a total supply capped at 150 million. Its market capitalization stands around $66.41 million. While the SD token's all-time high was $30.17, its current price of approximately $1.09 reflects market volatility and the broader crypto cycles.
Price predictions for SD in 2025 average around $1.07, with a potential swing between $0.9362 and $1.28, and a long-term outlook suggesting a potential reach to $4.27 by 2035.
Investors should always conduct their own research and consider market dynamics when evaluating token performance.
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Conclusion: A Future of Accessible and Profitable Staking
Stader Labs is actively pursuing its mission to make staking and DeFi accessible to a billion people by offering a superior and more flexible way to earn rewards.
Through its Liquid Staking solutions, robust multi-chain expansion, and strategic DeFi integrations, Stader empowers users to unlock the full profit potential of their staked assets.
Backed by prominent investors and committed to top-tier security, Stader is building the foundational infrastructure for a future where earning passive income in crypto is not only profitable but also seamlessly integrated into a thriving Decentralized Finance ecosystem.
As the AI and crypto landscapes continue to merge, platforms like Stader will play an increasingly vital role in democratizing access to complex financial instruments for a global audience.
FAQ
What is Liquid Staking with Stader?
Liquid Staking with Stader allows you to stake your crypto assets (like ETH, BNB, MATIC) to earn staking rewards, and in return, you receive Liquid Staking Tokens (LSTs) that can be used in other DeFi protocols for additional yields.
Which blockchains does Stader support for liquid staking?
Stader supports multiple major blockchains, including Ethereum (ETHx), Polygon (MaticX), BNB Chain (BNBx), Hedera (HBARx), NEAR, and Fantom, with plans for further expansion.
How does Stader ensure the security of my staked assets?
Stader prioritizes security through rigorous smart contract audits by leading blockchain experts (like Certik and Peckshield) and uses mechanisms like SD token bonding by node operators to protect user funds.
What are "Prisma Points" mentioned in some discussions about similar projects?
While not directly related to Stader, "Prisma Points" are specific to the PrismaX project, a different AI/Web3 startup, and serve as engagement rewards for their community, potentially leading to future token allocations. They are not part of Stader's ecosystem.
What are the main ways to earn profits with Stader's LSTs?
You earn base staking rewards, and then you can use your LSTs in DeFi for additional profits through activities like providing liquidity on DEXs, lending/borrowing on money markets, or using yield aggregators.
Disclaimer: The content of this article does not constitute financial or investment advice.
