StaFi Officially Announces Liquid Staking Solution for BNB Staking
It has been a long time coming, but it’s finally happening. StaFi Protocol unveiled its liquid staking solution for BNB staking. This comes as the DeFi project continues to salvage PoS chains from an impending liquidity crisis.
Binance Smart Chain uses the Tendermint BFT consensus algorithm, which requires BNB holders to stake BNB through delegators and stack up rewards.
Despite tweaking the PoS chain, the BFT isn’t free of that consensus’ liquidity issues. 50% of stakers struggle to maximize reward through attempts at learning how the BFT consensus works. Add the 7-day unbonding timeline, and more than 80% of stakers are unhappy staking BNB through this route.
What Is rBNB?
This is yet another staking derivative from the stable of StaFi protocol. Like all the other synthetic staking derivatives, you get rBNB when you stake BNB through Staking Finance (StaFi) protocol rApp.
Until recently, StaFi’s rApp didn’t support BNB staking, so those holding that asset had to rely on either the centralized exchange or DeFi protocols on the BSC for staking. That has changed with the introduction of the rBNB rApp.
Valuation Of rBNB
Like any rToken, rBNB derives its value from the underlying asset value and the reward accrued through staking. The interest-bound token gets issued on staking BNB, but its value is higher than that of the Binance token. Interestingly, the value of rBNB continues to rise as the actual asset remains staked.
StaFi liberates PoS chains from the shackles of a liquidity crunch, making these blockchains more attractive to users. Yet, that’s not enough for the DeFi project as it proceeds to incentivize stakers that leverage this opportunity.
Through the various StakingDrop campaigns, all those that stake their BNB through the StaFi rBNB rApp will get their vested FIS tokens. For those not in the know, FIS is the native token of the StaFi protocol. And it’s currently trading on major exchanges like Binance and Huobi.
Participating in this StakingDrop has a specific timeline. You need to have staked your BNB through the rBNB app between September 27th, 2021, and March 17th, 2022. It’s such a long period for everyone to get FIS tokens, yet many will still miss it. About $1,000,000 worth of FIS will be shared among BNB stakers.
It’s worth emphasizing that FIS is based on the StaFi chain, so you would need the Polkadot JS wallet to claim your FIS staking drop reward.
What Next For rBNB?
On getting the rBNB, you can easily trade the synthetic staking derivative for other assets on PancakeSwap, the DEX on Binance Smart Chain. However, doing that means you can no longer claim your staked BNB asset.
Besides the opportunity to trade your rBNB easily — without the stress of unbonding the staked BNB — rBNB also has other potentials. StaFi plans to roll out the drums for these synthetic derivatives through collaborations with DeFi protocols on the BSC. Imagine staking your rBNB on PancakeSwap and earning rewards CAKE or lending your rBNB on a BSC-based lending protocol and getting interest on your asset. These are in addition to your BNB staking rewards that continue to increase the value of your rBNB.
rBNB joins a host of other asset-backed tokens in the StaFi rToken universe. Through this addition, StaFi makes BNB staking attractive to anyone holding BNB — the unbonding time and maximum reward calculation are no longer issues.
With liquid staking now a reality on BSC, the true potential of that blockchain will be realised. rBNB will bring renewed vigor to all the DeFi protocols that abound on that chain.
For more information, visit these websites below:
rToken App: https://app.stafi.io
Telegram Chat: https://t.me/stafi_protocol
Telegram Announcements: https://t.me/stafi_ann