StakeHound, a platform self-described as one that “creates stake-backed tokens so that cryptocurrency users can have the best of both worlds: liquidity and yield,” has unlocked $20 billion in liquidity for the Ethereum platform as well as the Radix layer-one protocol for DeFi, according to a press release.
“StakeHound issues stake-backed tokens for both the Ethereum and Radix DeFi ecosystems,” the release continues.
Thanks to this, users can now stake tokens while still having instant liquidity on those same assets, the release notes.
On top of this, StakeHound supports a ton of major proof-of-stake assets.
The release details how StakeHound works:
“Users send their chosen Proof of Stake tokens, such as RADIX, XZC, XTZ, ATOM, ALGO, ADA or DOT, to one of StakeHound’s institutional-grade custodian partners. StakeHound then instantly generates and sends the user a one-to-one representation of their original token on their chosen DeFi ledger (Ethereum now, Radix once launched next year).”
Speaking on the matter is Albert Castellana, the CEO of StakeHound, who said:
“Staking is a critical part of network security, but it currently creates illiquid positions. On some networks, there are also large minimum stake requirements, putting it out of reach for many small holders. StakeHound removes both of these problems for the user, allowing anyone to support the security of the networks they care about, while giving them liquid access to the best DeFi products the market can offer. It allows even the smallest token holder to earn staking rewards.”