Stader is coming with Liquid Staking on Fantom — Everything You Need to Know

Dear Fantom Fam,

Thank you for such mad support on our journey to bring Liquid Staking with infinite DeFi opportunities on Fantom. It’s time to reveal the upcoming launch details:

• Launch Date and Specifics
• What is sFTMX and where can you use it?
• Staking
• Unstaking
• Stader Fees
• Audits

Launch Date and Specifics

At Stader, we are thrilled to introduce our Liquid Staking solution for all Fantom users. Our capped launch will be happening on April 21st, 2022. This capped mode will last 3 to 7 days and is put in place as an additional measure of prudence as we go live. During the capped launch, each transaction will be limited to a maximum of 1000 FTM. There will be no limits on the number of transactions.

After a short period of time (3–7 days) in capped mode, we will be opening the doors to unlimited staking and introducing multiple use cases for our liquid token - sFTMX. This token represents your staked FTM assets. sFTMX will have wide acceptance in DeFi and hence allow you to participate in both securing the network via staking and pursue DeFi at the same time.

What is sFTMX and where can you use it?

sFTMX is a liquid token that you get when you stake your FTM with Stader. The sFTMX tokens represents your staked FTM. They allow you to swap them at a later date for your staked FTM and accrued rewards with Stader. Meanwhile, you will be able to use it on multiple protocols on Fantom to further enjoy infinite DeFi possibilities.

sFTMX will be available to be minted directly on the Stader dAPP. The dApp will support Metamask, Coinbase wallet, and Wallet connect at launch.

We have worked on an extensive list of partnerships which will support sFTMX. Most of them will become available at the time of uncapped launch. The spectrum of partners will include DEXs, yield farming, lending/borrowing protocols and more.

The following list of partners will go live for the uncapped launch (3–7 days after capped launch):

• sFTMX liquidity pools on Spookyswap, Beethoven X and Spiritswap
• sFTMX yield farming on Liquid Driver, Reaper Farm, Tarot
• sFTMX lending/borrowing on Market.xyz, Creditum
• Many more to come!

Staking

Starting with the capped launch, you will be able to stake with Stader and immediately mint our liquid token sFTMX.

All FTM staked with Stader will be locked in for 12 months and rolled over for the next 12 months upon maturity. This will allow us to maximize your rewards while still providing opportunities to exit the position if you choose to. We will also auto-compound all rewards every ~5 days on average to maximize APY.

This creates an effective APY of ~13,5%, while allowing you to enjoy multiple DeFi streams on top.

Unstaking

You can instantly unlock your sFTMX on multiple DEXs by swapping your sFTMX for FTM. Spookyswap, Spiritswap and BeethovenX LPs will be available for you on uncapped launch.

Also you can choose to unlock on the Stader dApp:

• Unstake request within “Free pool”: While we lock-in FTM deposits and maturing flows to 12 month lock-in to maximize yield for our users, we have designed a mechanism to allow for a pool from which users can unstake for free. To do this, we will hold new deposits and maturing funds (after lock-in expiry) for ~5 days before staking and locking them. This dynamic reserve will constitute the “Free pool”. When withdrawal requests are within this limit, users will get FTM as per the prevailing sFTMx <> FTM exchange rate while the sFTMx will be burned.
• Unstake request beyond “Free pool”: In this case, FTM is given back to user, while sFTMx gets burned, after deducting a penalty on the prevailing sFTMx <> FTM exchange rate as we unstake prematurely and lose accrued rewards due to early unlock in line with Fantom’s native staking.

All unstaking will be followed by a mandatory 7 day unbounding period before being available for withdrawal in line with the underlying native staking contracts.

Stader Fees

Please note that the rewards APY of ~13.5% is what will be received by you already accounts for Stader’s protocol fees. Stader charges a 10% commission on staking rewards earned as protocol fees. This commission is never applied to your staked FTM and is only applicable on earned staking rewards.

Audits

At Stader, the security of your assets is our top priority. In fact, we’ve undergone a total of 10+ audits across all the chains we’re currently deployed on. As a result, over 30k stakers trust us a total of ~$850M worth of value locked on our platform.

For Fantom specifically, we’ve already received our final audit report from Peckshield, the industry leading blockchain security firm, and got a clean bill. You can check the audit report here. In parallel, we are undergoing another additional audit with a top security firm which is near completion.