Changing the liquid staking landscape with Tenderize by Nico from @tenderize_me

Transcript

uh hello everyone my name is Nico I'm the founder of tenderize uh before that I used to work as a smart contract engineer at lifebeer for over three years um and I want to talk to you today about how we are revolutionizing liquid staking um the ID I will present today is not live yet it was conceived at East Dubai last year we finished up most of the research and are now developing this and I'm really excited to present this to you so if we look at the current liquid staking landscape it's actually highly fragmented you have steak teeth you have flaxseed you have rocket pulleys

coinbase eats and who knows what else and they all stake to their own little subset of validators like you see coinbase if at the bottom staking to one validator on the left you have staked staking to three and you also see that the liquidity for each of these assets is fragmented as well um we think this is maybe not a workable model if we want to grow the staking landscape and we also think that existing solutions could potentially be a centralizing factor we've seen this in the community happen that concerns are sprouted around Lido and its dominance

in each staking where 30 validators it might be more today it's been a while since I checked the actual numbers they control around one third of all the staked eth and we think that protocols like ethereum or other protocols that you staking need an actual decentralized liquid staking solution we also think that most of the solutions today are not really helping validators and their Capital efficiency but you could say that validators are the most important stakeholders of some of these networks because they provide the security if you look at the liquid staking landscape today only 10 percent of the staked assets are actually through

liquid staking what we see is that validators are not really putting their own money into liquid staking protocols because it would get shared in often cases with other validators and rewards and losses would also be socialized we saw this happen with rocketpool a few weeks ago whereby one of the big validators was actually dragging down profitability for everyone holding our eth um and we think that there should be a way possible that validators could also use Liquid staking protocols while fostering decentralization and not working against it so this is what we think liquid staking should actually look like on the left

you have the validators this time we chose the graph Network and validators that are actually called indexers they index data they don't produce blocks but the principle Remains the Same we think each validator on the network should have its own liquid stake token its own erc20 its own Vault it wouldn't share Rewards or losses in case of slashing if you don't perform well hopefully not with other validators on the network and we also think that all of these individual liquid staking tokens should share liquidity with one big pool of underlying assets and what you essentially create is fungibility from validator to validator

through liquidity something that is really not possible today like I mentioned we think your stake means also your reward as a validator or as a delegator putting your stake towards the elevator so we think that if you are highly performant you should not be sharing your over performance with others that are performing more performing worse than you or more poorly we also don't want that if someone else performs poorly that you basically have to carry the weight of that um so what we're actually creating and what we think is pretty exciting is a white label liquid staking solution as a

decentralized protocol and with white label it basically means any validator like I said will have its own liquid staking token so if you for example have anchor who's also sponsoring this event you would have something like tgrt anchor here an erc20 liquid stake token Titus specifically to the Anchor node on a specific network and to its Rewards and that will unlock tremendous new possibilities for some of these validator businesses they will actually be able to unlock their their cash flows of which most of it is actually locked today and we can actually grow web tree infrastructure together exponentially

while fostering more decentralization we also think that the time is right now to do this like I said concerns are sprouted in the community around centralization factors in existing protocols and you don't have to take my word for it just look at this tweet few months ago by one of the polygon co-founders who basically says this protocol level liquid staking the way to go or as we call it almost native liquid staking um we've also learned a lot from having an existing product life talking to our users talking to validators and we have a growing ecosystem that we listen to and part of that feedback has was is

what led to this new idea of native liquid staking or almost native liquid staking and our values are that it should be fully decentralized it should be fully neutral in that we don't have opinions on where your assets should be allocated as a user you're entirely entitled to that yourself and of course we think any liquid staking protocol should be fully non-custodial that speaks for itself especially after recent events and like I said we've been building this for a long time we're already live we have existing users we learned a lot um from what we've did so far we started doing this in 2020 and I would say we

are actually one of the Pioneers when it comes to liquid staking um this is a kind of a history but we have a long road map ahead of us and we are planning to ship a testnet for what I talked about by the end of or by the beginning of April rather and put it live by uh June hopefully um we are currently providing liquid staking for four assets that's life peer the graph polygon and audius but we are planning to add ethereum and basically providing a more decentralized staking solution for ethereum as well and we hope that benefits everyone in the community so yeah we're heavily involved

and focused on creating the future of staking not just liquid staking our vision is that each asset that is staked on a network will go through tenderize because it's the most Capital efficient way for anyone to do so and we're a protocol built by several web 3 natives we're a growing team um and ready to to expand to build a future and that's about it for this presentation we have a booth here as well if you have any questions feel free to drop by we have a couple of team members here happy to answer any questions you might have at technical or otherwise so yeah feel free to Jump by and thank

you everyone I hope you have a great time at e Dubai and Dubai itself