The LSD and LSD-Fi narrative is starting to gain steam again. However, if you only focus on top tokens such as LDO, RPL, FXS, etc., it may be difficult to earn high returns. Therefore, smart investors always seek undervalued projects. This article introduces 10 potential LSD-Fi projects. (PANews note, this article is intended to provide market information and does not represent investment and usage opinions)

1.Lybra Finance

Lybra mints interest-bearing stablecoin eUSD by pledging interest-bearing assets stETH, and captures the income from Ethereum staking through the stablecoin eUSD.

Features:

  • Powered by LSD

  • 1:1 Hook

  • Minting/borrowing fee is 0

  • About 8% basic yield

TVL: $24.2 million

Market value: $4.3 million

There are about 144,000 stETH deposits

2.Zero Liquid

Zero Liquid (token: ZERO) automatically repays debts using the returns generated by users’ deposited collateral.

Features:

  • Zero interest

  • No liquidation risk

Key points of the mechanism:

  • Deposit LSD tokens, such as stETH

  • Take a loan with it as collateral

  • When LSD tokens generate income, the loan will be repaid

3.unshETH

One of the goals of unshETH (token is USH) is to decentralize through incentives. In simple terms:

unshETH provides higher yields for smaller validators. Stakers get higher yields and ETH is more decentralized. Think of it as a yield aggregator that prioritizes decentralization.

4.0x Acid

0x Acid (token is ACID) aims to optimize the benefits of LSD, such as:

  • stETH

  • ABOUT

  • frxETH

0x Acid offers a higher yield than traditional LSD assets, which usually only have an annual interest rate of 4-5%. ACID holds LSD assets and earns income from ETH nodes.

5.Flashstake

Flashstake (token is FLASH) can earn immediate upfront income. It usually takes 1 year to get 4-5% of ETH staking income. However, FLASH can earn income immediately and in advance by locking the principal.

Currently supported:

  • stETH

  • sUSD

  • GLP

  • rETH (coming soon)

6.Agility

Agility (token AGI) is:

  • aUSD Trading Platform

  • LSD Liquidity Distribution Platform

Agility Protocol aims to help the LSD project improve initial liquidity: LSD/ETH. There are different strategy vaults for different yield strategies.

7.LSDx Finance

LSDx Finance (token is LSD) currently offers two products:

  • ETHx: A basket of LSD that can be quickly switched

  • UM: A sovereign bond-backed stablecoin based on ETH staking rewards

LSDx Finance is the ultra-liquidity protocol for all LSDs.

8.SharedStake

SharedStake (token: SGT) is a decentralized staking solution that allows users to stake ETH and earn additional returns on top of their staking rewards.

They are the first LSD to offer increased APR if you hold their NFTs.

  • TVL: $29 million

  • Market value: $2 million

9.Parallax Finance

Parallax Finance (token: PLX) is a liquidity layer infrastructure that supports DeFi, DAOs, and protocols.

There are 4 main components:

  • Orbital: Yield Optimizer (Orbital optimizes the yield generation process by pooling all deposited assets and co-investing them in their respective LPs. LP participants can earn higher fees compared to individual staking.)

  • Andromeda: Multivariate Returns

  • Supernova: Powering LSDfi (An LSD strategy consisting of multiple strategies in a vault. Think of it as an index approach to a basket of strategies, each with a customizable portfolio allocation percentage.)

  • Black Hole - Liquid Market

10.Origin DeFi

New project in the LSD track. Origin DeFi has launched a stablecoin that generates yield, OUSD. In addition, the yield aggregator OETH has just been launched. Support:

  • LDO

  • FRAX

  • RPL

  • CRV

  • CVX