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osETH

Get started with osETH using our how-to guides
osETH is a liquid staking token of StakeWise that enables you to use staked ETH in DeFi.
No matter if you are staking in a Solo Vault or in a Vault Marketplace, you can mint osETH to make your stake liquid. You can also convert ETH for osETH to start staking with one click.
How to get osETH
Benefits
Convert ETH into osETH
Simplicity and protection from all slashing
Mint osETH for your stake in a Vault
Custom staking terms, protection from slashing in other Vaults
Explore the guides for osETH minting, burning, and DeFi use below.
Converting ETH into osETH
It is possible to simply convert ETH into osETH to start staking in seconds. You will accrue ETH staking rewards by holding osETH in a wallet or in a smart contract.
osETH can be converted back into ETH at any time to receive the initial deposit and accumulated rewards.
Conversion of osETH back to ETH will utilize either exchanges where osETH is being traded or the osETH redemption mechanism, whichever has the more accurate value of osETH.

How to convert ETH into osETH (coming soon)

  1. 1.
    Head to the Stake page in the StakeWise dApp and connect your wallet.
  2. 2.
    Enter the amount of ETH you would like to stake. The interface will show the amount of osETH tokens you will receive in return.
  3. 3.
    Note that the conversion ratio between osETH and ETH is >1 because osETH continuously accumulates staking rewards.
  4. 4.
    Press Stake and confirm the transaction in your wallet.
  5. 5.
    Once the transaction is confirmed on the blockchain, you will receive osETH in your wallet and begin staking.
Minting osETH from Vaults to start liquid staking
Your stake in a Solo Vault or in a Vault Marketplace can be made liquid by minting osETH, a liquid staking token.
No matter how much osETH you mint, you will continue to earn the full ETH rewards on your stake in the Vault.

How to mint osETH for your stake

  1. 1.
    Head to the Vault page and connect your wallet.
  2. 2.
    Press the Mint button.
  3. 3.
    Enter the amount of osETH you want to mint or use the slider to choose the proportion of your stake that will be made liquid.
  4. 4.
    Note that the maximum value of osETH you can mint is set to 90% of your stake in the Vault. The profitability of your stake in the Vault is not reduced to the proportion you choose and remains fully intact.
  5. 5.
    Press the Mint button and confirm the transaction in your wallet.
  6. 6.
    Once the transaction is confirmed on the blockchain, you will start liquid staking.
Maintaining a healthy osETH position
Your stake in any Vault can be made liquid by minting osETH for up to 90% of your stake.
This limit is set to ensure that penalties or slashing in your Vault do not affect other osETH holders. Conversely, you will not be affected by the penalties and slashing in other Vaults.
If your liquid stake does not exceed 90% of the staked ETH value, your position is Healthy.
At times, your liquid stake value may exceed the 90% limit and reach up to 92% due to the difference between your Vault's APY and osETH APY. Exceeding 90% but remaining below 91% is considered Moderate, and exceeding 91% but remaining below 92% is Risky.
Exceeding 92% of your stake value in osETH is considered Unhealthy, and will lead to a forced return of your osETH position to a level below 90% through a process called liquidation. Liquidation incurs a 1% penalty on your stake.
Note that osETH not acquired by minting from a Vault does not require any maintenance and does not impact osETH position health.

How to maintain your osETH position

  1. 1.
    Head to the Vault page and connect your wallet.
  2. 2.
    Check the position status in the Mint osETH section: it should be either Healthy, Moderate, Risky, or Unhealthy. Unhealthy positions are subject to liquidation.
  3. 3.
    It is recommended to keep a Healthy or Moderate position status.
  4. 4.
    You should consider switching to a different Vault if your position status becomes Risky because it indicates significant underperformance of the Vault relative to the average and puts you at risk of liquidation.
  5. 5.
    To improve your osETH position health, burn some osETH or stake more ETH into the Vault. However, it is not recommended to stake more ETH in a Vault where your position status deteriorated from Healthy to Risky.
  6. 6.
    The impact of burning osETH and staking more ETH will be reflected in the position status change in the left-hand side menu.
  7. 7.
    Press the Burn or Stake button and confirm the transaction in your wallet.
  8. 8.
    Once the transaction is confirmed on the blockchain, your position status will change.
Burning osETH to stop liquid staking
All your minted osETH must be burned before you can fully unstake ETH from a Vault.
The StakeWise DAO staking fee is included in the balance of osETH that must be burned before you can unstake.

How to burn osETH

  1. 1.
    Head to the Vault page and connect your wallet.
  2. 2.
    Press the Burn button.
  3. 3.
    Enter the amount of osETH you want to burn or use the slider to choose the proportion of osETH that will be burned. The profitability of your stake in the Vault is not reduced to the proportion you choose and remains fully intact.
  4. 4.
    Press the Burn button and confirm the transaction in your wallet.
  5. 5.
    Once the transaction is confirmed on the blockchain, you will have burned osETH.