By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
CoinworldstoryCoinworldstoryCoinworldstory
  • HOME
  • CRYPTO
    • AI
    • BOTS
    • ICO
    • AIRDROP
      • Featured Airdrops
    • Price Prediction
    • EXCHANGE
      • Best Centralized Exchange List 2025
      • Best Decentralized Exchange List 2025
    • ALTCOIN
    • Alt Coin Signal
    • Crypto Analysis
    • Bitcoin Loan
    • Bitcoin Mining
    • WALLETPRO
  • PR
    PR
    If You Looking For Submit Cryptocurrency Press Releases Than Coinworldstory Is Best Choice For Crypto Press Release Submission
    Show More
    Top News
    fanchain
    SportsCastr Announces Private Token Sale for FanChain
    2 years ago
    Nodis, The Gamified Platform For Online Marketing And Influencers
    Nodis, The Gamified Platform For Online Marketing And Influencers
    2 years ago
    Mt. Perelin Chooses Tezos for Tokenized Securities
    3 years ago
    Latest News
    Codego Launches Whitelabel Devices Bringing Tokens Into Daily Life
    2 hours ago
    Solo Leveling Levels Up: Korean Billion-Dollar Megafranchise Goes Onchain with Story
    15 hours ago
    SimpleFX Relaunches First Deposit Bonus
    20 hours ago
    TokenFi and New to The Street Announce National Media Partnership to Reach 219M+ Households
    21 hours ago
  • NEWS
    • Mining
    • Altcoins
    • Ban
    • BANKING/FINANCE NEWS
    • Bitcoin
    • Blockchain
    • CRYPTO CRIME
    • Ethereum
    • Exchange News
    • Government News
    NEWSShow More
    Why Shiba Inu Large Transaction Volume Is Dropping Fast
    Why Shiba Inu Large Transaction Volume Is Dropping Fast
    3 weeks ago
    Crypto Tax Rules In Russia – What You Should Know
    Crypto Tax Rules In Russia – What You Should Know
    1 month ago
    Elon Musk Considering Blockchain To Bolster us Government Efficiency
    Elon Musk Considering Blockchain To Bolster us Government Efficiency
    1 month ago
    10 Next Big Meme Coin To Explode
    10 Next Big Meme Coin To Explode
    1 month ago
    9 Best AI-Powered Websites That Save You Hours of Work
    9 Best AI-Powered Websites That Save You Hours of Work
    2 months ago
  • GAMBLE
    • Certified Casinos
    • Bitcoin Casino
    GAMBLE
    If You Looking For Casino Review . Than we Write Many Article About Casino Please Look This Page . We Update This Page On Daily…
    Show More
    Top News
    Pulsz.com Casino Review: Is Pulsz A Legit Casino?
    Pulsz.com Casino Review: Is Pulsz A Legit Casino?
    2 weeks ago
    Bit4win Casino Review : Latest 2023 Review
    Bit4win Casino Review: Latest 2023 Review
    2 years ago
    Yukon Gold Casino Rewards
    Yukon Gold Casino Rewards – Read Everything About This
    2 years ago
    Latest News
    Unlim Casino 2025 – Games, Bonuses & Crypto Payments
    4 weeks ago
    1win Casino Games – Exciting Slots, Crash Games & Bonuses
    4 weeks ago
    Pinco Casino Review: Games, Bonuses & Features
    4 weeks ago
    r7 Casino Review: Login, Sign Up, Bonuses & Promotions
    3 weeks ago
  • MORE
    • Guide
    • Only Best
    • Off Topic
    • Web Hosting
    • Ad Posting Jobs
    • Best Affiliate Marketing
    • Best Affiliate Programs
    • BOTS
    • Trusted Currency Exchanger Platform
    • Blockchain Games
    • Metaverse Review : Best Metaverse Program Review
    • Online Survey
    • Payment Platform
  • VPN
  • Contact Us
Reading: 10 Best LSDfi Projects – To Maximize ETH Yield In 2025
Share
Notification Show More
Font ResizerAa
CoinworldstoryCoinworldstory
Font ResizerAa
  • ADVERTISEMENT
  • SUBMIT PR
  • CONTACT
  • GUEST POST
  • ABOUT US
  • DMCA
  • SITEMAP
  • DISCLAIMER
  • PRIVACY POLICY
Search
  • HOME
  • CRYPTO
    • AI
    • BOTS
    • ICO
    • AIRDROP
    • Price Prediction
    • EXCHANGE
    • ALTCOIN
    • Alt Coin Signal
    • Crypto Analysis
    • Bitcoin Loan
    • Bitcoin Mining
    • WALLETPRO
  • PR
  • NEWS
    • Mining
    • Altcoins
    • Ban
    • BANKING/FINANCE NEWS
    • Bitcoin
    • Blockchain
    • CRYPTO CRIME
    • Ethereum
    • Exchange News
    • Government News
  • GAMBLE
    • Certified Casinos
    • Bitcoin Casino
  • MORE
    • Guide
    • Only Best
    • Off Topic
    • Web Hosting
    • Ad Posting Jobs
    • Best Affiliate Marketing
    • Best Affiliate Programs
    • BOTS
    • Trusted Currency Exchanger Platform
    • Blockchain Games
    • Metaverse Review : Best Metaverse Program Review
    • Online Survey
    • Payment Platform
  • VPN
  • Contact Us
Have an existing account? Sign In
Follow US
© 2022 Foxiz News Network. Ruby Design Company. All Rights Reserved.
Home » Blog » 10 Best LSDfi Projects – To Maximize ETH Yield In 2025
Guide & Crypto Education

10 Best LSDfi Projects – To Maximize ETH Yield In 2025

Frank Hamilton
Last updated: 22/09/2025 10:30 PM
Frank Hamilton
3 months ago
Share
Disclosure: We are not a registered broker-dealer or an investment advisor. The services and information we offer are for sophisticated investors, and do not constitute personal investment advice, which of necessity must be tailored to your particular means and needs. !
10 Best LSDfi Projects - To Maximize ETH Yield In 2025
SHARE

In this article , I will focus on the Best LSDfi Projects that are changing the landscape of DeFi with liquid staking innovations.

Contents
  • Key Points & Best LSDfi Projects List
  • 10 Best LSDfi Projects
    • 1.Pendle Finance
    • 2.Lybra Finance
    • 3.Gravita Protocol
    • 4.Origin Ether (OETH)
    • 5.Ether.fi
    • 6.UnshETH
    • 7.Instadapp Lite
    • 8.Raft
    • 9.Kelp DAO
    • 10.Sommelier
  • Conclusion
  • FAQ
    • What is LSDfi?
    • Why are LSDfi projects important?
    • Are LSDfi projects safe?

These protocols provide users with opportunities to derive yields, unlock liquidity, and optimize capital efficiency without the need to lock up their ETH.

From minting stablecoins to advanced restaking methods, these projects are defining what decentralized finance will look like in the Ethereum ecosystem.

Key Points & Best LSDfi Projects List

LSDfi ProjectKey Points
Pendle FinanceTokenizes yield, enabling fixed yield trading on LSD assets like stETH, rETH.
Lybra FinanceIssues eUSD, a stablecoin backed by LSDs, offering yield-bearing stability.
Gravita ProtocolBorrow GRAI stablecoin against LSDs like wstETH with zero interest.
Origin Ether (OETH)Auto-compounds LSD yields into one liquid, interest-bearing token.
Ether.fiNon-custodial liquid staking platform that boosts DeFi yield opportunities.
UnshETHEnables diversified LSD exposure through a basket of LSDs.
Instadapp LiteSimplifies leveraged LSD yield farming with automation and risk management.
RaftMint R stablecoin using LSDs, optimized for capital efficiency.
Kelp DAORestakes ETH LSDs for extra rewards via EigenLayer integrations.
SommelierActive yield strategies for LSD assets via vaults managed by off-chain logic.

10 Best LSDfi Projects

1.Pendle Finance

Considered one of the best projects in the field of Liquid Staking Derivatives Finance (LSDfi), Pendle Finance is transforming the future of DeFi with the ability to trade future yield.

- Advertisement -

Users can now separate assets that generate yield such as stETH and rETH into two constituents: the principal and the yield.

Pendle Finance

This creates a novel DeFi primitive where users can speculate, hedge, lock, or even fix returns on future yield. Farm and risk management achieved near seamless Pendle integration with leading LSDs due to its innovative yield tokenization and decentralized finance platform.

Pendle remains the easiest to use in the space and with an expanding ecosystem, stands out in LSDfi ranking.

FeatureDescription
Yield TokenizationSplits assets into principal (OT) and yield (YT) components.
Fixed Yield TradingAllows users to lock in guaranteed yields via PT (Principal Tokens).
LSD IntegrationSupports LSDs like stETH, rETH, and wstETH.
Pendle AMMCustom AMM for trading yield-bearing assets.
DeFi ComposabilityDeep integration with protocols like Aave, Lido, and EigenLayer.
Visit Now

2.Lybra Finance

Lybra Finance is one of the leaders in LSDfi having its own LSD stablecoin, eUSD, which provides stability in the liquid staking ecosystem. Lybra Finance eUSD is a overcollateralized stablecoin which is backed by LSD assets such as stETH and earns yield passively for its holders.

Users are able to mint eUSD with the help of LSDs, which provides liquidity while maintaining the ability to earn staking rewards. No other entity in the DeFi space offers such great combination of yield and stability that Lybra does.

- Advertisement -
Lybra Finance

Offering unmatched solutions for users that wish to maximize or optimize their staking rewards within a stable and secure ecosystem puts Lybra Finance ahead of its competitors. Lybra Finance has great focus on sustainability, decentralization and capital efficiency.

FeatureDescription
eUSD StablecoinOvercollateralized stablecoin backed by LSDs like stETH.
Passive YieldeUSD holders earn yield passively from LSD backing.
Zero Interest LoansBorrow eUSD without ongoing interest charges.
Dual UtilityCombines yield generation and price stability.
Governance Token (LBR)Used for protocol governance and staking.
Visit Now

3.Gravita Protocol

Gravita Protocol has emerged as a leading LSDfi solution on Ethereum with the ability to offer interest-free stablecoin loans by minting GRAI against liquid staking assets like wstETH, rETH, WETH, swETH, and bLUSD.

Most impressive on Gravita is the Stability Pool—users deposit GRAI to liquidate underwater positions and in return, receive discounted collateral . Borrowers are subject to a one-time fee which averages between 0.5-0.9%.

- Advertisement -
Gravita Protocol

This fee is refundable in portions if paid back within six months with no ongoing interest accrual. Gravita’s advanced risk management enables Borrowers to Access Non-Custodial Loans with LTV ratios of 90-99% at Dedaub and Omniscia audited Ethereum firm, maintaining high decentralization standards.

FeatureDescription
GRAI StablecoinSoft-pegged stablecoin backed by LSDs like wstETH, rETH.
Zero Interest BorrowingOnly one-time mint fee; no ongoing interest.
High LTV (up to 99%)Extremely capital-efficient borrowing.
Stability PoolGRAI holders can earn discounted collateral through liquidations.
No Governance TokenOperates without a native token, focusing on protocol simplicity.
Visit Now

4.Origin Ether (OETH)

Origin Ether (OETH) is one of the new improvements to the LSDfi ecosystem that aggregates staked liquid tokens such as stETH, rETH, frxETH, and wETH into one rebasing token that is redeemable 1:1 with ETH.

OETH improves security, decentralization, and risk-adjusted return on investment using SSV-styled DVT with accompanying staking rewards, AMM liquidity provision, and Curve incentives .

Origin Ether (OETH)

OETH’s auto-compounding feature pays out yield daily to holder’s wallets. Dominating the market with over $100M TVL and ample interconnectedness with DeFi protocols EigenLayer, Pendle, Curve, and TAI.money, OETH offers a liquid staking solution that is versatile, efficient, and transparent.

FeatureDescription
Rebasing TokenAutomatically distributes yield to holders via rebasing.
Diversified LSD BackingBacked by stETH, rETH, sfrxETH, and wETH.
Auto CompoundingEarns yield from staking, LP fees, and Curve rewards.
Fully LiquidCan be freely traded or used across DeFi protocols.
Transparent Yield SourcesUsers can track yield sources via Origin’s dashboard.
Visit Now

5.Ether.fi

Ether.fi is one of the most advanced restaking protocols that is both liquid and decentralized, allowing users to stake any number of ETHs and receive eETH, a token that restakes automatically.

eETH earns rewards from Ethereum staking, EigenLayer restaking yields, and loyalty incentives from both EigenLayer and Ether.fi points .

It uses Distributed Validator Technology and non-custodial key control (“your keys, your ETH”) which enhances DVT decentralization and counterparty risk.

Ether.fi

It has over $8 billion TVL and automation of “Liquid Vaults” that provide advanced yield optimization across DeFi (AAVE, Pendle, Uniswap). Ether.fi offers flexibility and high APYs.

Reddit users comment saying it “leads the liquid staking sector,” controlling billions while enabling vault farming and cross-protocol utility.

FeatureDescription
Non-Custodial StakingUsers retain control of keys—“your keys, your ETH.”
eETH TokenLiquid restaking token earning ETH + EigenLayer rewards.
DVT SupportUses Distributed Validator Technology for decentralization.
Points IncentivesOffers both Ether.fi and EigenLayer points.
Vault IntegrationeETH can be used in DeFi vaults for higher leveraged yield.
Visit Now

6.UnshETH

The UnshETH protocol offers a novel approach to LSDfi by providing a liquid-staked ETH (LSDs) collection comprising wstETH, cbETH, rETH, sfrxETH, and others—all wrapped in a single ERC-20 token.

UnshETH automates the accumulation of staking rewards, swap fees, liquidity mining returns in USH, its native token. And omnichain compatibility (Ethereum, BNB, Arbitrum, etc.) is achieved through LayerZero.

UnshETH

With over $30M in TVL, participants benefit from diversified yield generation, low-slippage swapping, and governance using USH and locked vdUSH.

Its description as a yield-optimizing “router” for staked ETH by some Reddit users highlights the growing competition among LSDs and underscores the protocol’s contribution to validator decentralization in incentive architecture design.

FeatureDescription
LSD Basket TokenDiversified exposure to multiple LSDs in one token.
Validator IncentivizationEncourages decentralization through validator diversity.
Yield OptimizationCombines staking yield + AMM swap fees + liquidity mining.
vdAMM MechanismNovel AMM tailored for LSD trades.
Multichain DeploymentAvailable on Ethereum, Arbitrum, BNB, and more.

7.Instadapp Lite

Instadapp Lite or Fluid Lite is a simplified version of a vault-based DeFi tool that auto-leverages stETH to amplify staking yields with Aave, Compound, Morpho, and Spark.

Depositors are issued ERC-4626 iTokens which signify their proportionate investment in the vault’s yield share, and earnings are distributed daily.

It reduces the user’s workload by condensing complex multi-protocol strategies into one-click deposit options and streamlining gas fees and overhead costs.

Instadapp Lite

With over $300 million TVL, Vault V2 supports recursive leverage: borrowing ETH against stETH to redeposit to earn more in rewards.

As one Redditor highlighted, depositing 1 ETH translates to almost 9% APR from Lido’s ~5% yield capped with leverage.

FeatureDescription
Leverage-as-a-ServiceEnables one-click leveraged staking with stETH.
iTokensERC-4626 vault tokens representing interest-bearing positions.
Gas EfficientAggregates complex strategies into one transaction.
Vault FlexibilityUsers can enter or exit leveraged strategies anytime.
Multi-Protocol SupportIntegrates Aave, Morpho, Compound, Spark, etc.
Visit Now

8.Raft

Raft is an innovative LSDfi protocol which allows its users to mint the stablecoin “R,” a USD-pegged stablecoin whose only collateral is liquid-staked ETH like stETH and rETH, needing no fiat collateral. Borrowers must possess at least 3000 R and must maintain collateral ratios above 120%.

Raft’s “One-Step Leverage” feature is unique as it lets users access up to 6× (or even 11× in future upgrades) leverage in a single transaction.

Raft

With TVL over $55–60 million and growing, Raft emphasizes decentralization – supporting community frontends and governance-lite structures alongside multi-collateral support.

Smart design paired with high capital efficiency and excellent user experience place Raft among the top LSDfi projects in 2025.

FeatureDescription
R StablecoinOvercollateralized, ETH-backed USD-pegged stablecoin.
LSD-only CollateralAccepts only stETH and rETH as collateral.
One-Step LeverageLeverage LSDs up to 6x in a single transaction.
Low Borrowing ThresholdMinimum borrow amount is 3,000 R.
Governance-LitePrioritizes decentralization without complex tokenomics.

9.Kelp DAO

Kelp DAO is innovating in the field of LSDfi with liquid restaking token rsETH, which allows users to earn Ethereum staking rewards and EigenLayer yields simultaneously while maintaining liquidity.

Stader Labs developed the DAO and it accepts ETHx, sfrxETH , stETH and order deposits that mint rsETH then used in DeFi.

Kelp DAO

Minting rsETH allows users to leverage it in DeFi protocols. Users now earn “Kelp Miles” which are similar to EigenLayer points with rewards in the form of tokens expected Kelp now allows staking with double rewards and with rsETH and minting it charges a minimal fee of 10% on ETH rewards.

FeatureDescription
rsETH TokenLiquid restaking token backed by LSDs.
Dual YieldEarn staking rewards + EigenLayer restaking yields.
LSD CompatibilityAccepts stETH, sfrxETH, ETHx, and others.
Kelp Miles ProgramPoints-based loyalty system with token rewards expected.
Low Fee StructureOnly 10% fee on staking rewards; no lock-ins.

10.Sommelier

Sommelier is a LSDfi and DeFi asset-management protocol innovatively created on an app-chain based on Cosmos.

Its flagship offering, Real Yield ETH vault, an ERC-4626 compliant vault, dynamically reallocates stETH/ETH to various DeFi platforms, eg.

Aave, Curve, and Uniswap V3, optimizing return on investment with leveraged returns and integration at the protocol level.

Sommelier

Off-chain data models implementing validator consensus allow real time market adaptation of the vault, delivering approximately 300% yields on stETH over 90 days.

Sommelier multichain Cellars enable active non-custodial gas-efficient strategy management beyond auto-compounders. One Reddit commenter best described the situation: “automated vaults find best-in-class yields while mitigating risk.”

FeatureDescription
Real Yield ETH VaultActive yield farming vault using stETH and ETH.
Off-Chain AutomationStrategies are updated via off-chain computation with validator approval.
Leverage OptimizationDynamically adjusts leverage across Curve, Aave, Uniswap.
Cosmos-Based ChainUses its own app-chain for strategy governance and execution.
ERC-4626 CompliantNon-custodial vault tokens that auto-compound rewards.

Conclusion

To sum up, leading LSDfi projects such as Pendle, Lybra, Ether.fi, among others, are changing the DeFi landscape by providing liquidations, increasing yield, and improving overall capital efficiency.

These protocols give innovative methods to earn on staked ETH while allowing for flexibility and a decentralized structure.

With the expansion of the LSDfi ecosystem, these projects stand to significantly impact the broader Ethereum economy.

FAQ

What is LSDfi?

LSDfi stands for Liquid Staking Derivatives Finance. It’s a DeFi sector built on top of liquid staking tokens (LSTs) like stETH, rETH, or frxETH. LSDfi protocols enhance the utility of staked assets by enabling borrowing, lending, yield farming, and stablecoin minting.

Why are LSDfi projects important?

LSDfi projects unlock the liquidity of staked ETH, allowing users to earn multiple layers of yield and use their assets across DeFi without sacrificing staking rewards. They make Ethereum staking more accessible, composable, and capital-efficient.

Are LSDfi projects safe?

While many LSDfi projects are audited and have strong communities, risks remain, including smart contract bugs, depegging of assets, or liquidation risks. Always DYOR (do your own research) and consider risks before depositing.
How To Buy Hey Anon: Step-by-Step Guide for Beginners
How To Buy Gaia: Step-by-Step Guide for Beginners
Ethereum Pectra Upgrade & EIPs: Key Changes Explained
How To Add Somnia To MetaMask Wallet Easily
Coinbase vs Coinbase Wallet: Key Differences Explained
Share This Article
Facebook Email Print
ByFrank Hamilton
Follow:
Frank Hamilton has been working as an editor at essay review service Best Writers Online. He is a professional writing expert in such topics as blogging, digital marketing and self-education. He also loves traveling and speaks Spanish, French, German and English.
Previous Article 10 Best Bulk Email Validation Services 10 Best Bulk Email Validation Services
Next Article Why Some Stablecoins Go Off-Peg Occasionally Why Some Stablecoins Go Off-Peg Occasionally
10 Best Crypto Exchanges for Easy Recurring Buys 2025
10 Best Crypto Exchanges for Easy Recurring Buys 2025
Best Centralized Exchange List 2025
10 Best Prop Firms in South Africa for Funded Traders
10 Best Prop Firms in South Africa for Funded Traders
Prop Firm
Codego Launches Whitelabel Devices Bringing Tokens Into Daily Life
Press Releases
Solo Leveling Levels Up: Korean Billion-Dollar Megafranchise Goes Onchain with Story
Press Releases

Latest Published

How To Buy XPIN Network: Step-by-Step Crypto Guide

How To Buy XPIN Network: Step-by-Step Crypto Guide

5 days ago
Why Crypto Accounting Needs Audit Logs & Immutable Records

Why Crypto Accounting Needs Audit Logs & Immutable Records

6 days ago
How Much Elon Musk Makes Daily, Weekly, Monthly & Yearly

How Much Elon Musk Makes Daily, Weekly, Monthly & Yearly

7 days ago
Why Gamers Are Paying to Play as Background Characters

Why Gamers Are Paying to Play as Background Characters

2 weeks ago
  • ADVERTISEMENT
  • SUBMIT PR
  • CONTACT
  • GUEST POST
  • ABOUT US
  • DMCA
  • SITEMAP
  • DISCLAIMER
  • PRIVACY POLICY
What Is Solana? A Complete Guide to the Fast and Scalable Blockchain
What Is Solana? A Complete Guide to the Fast and Scalable Blockchain
Trending
10 Best Shoes For Bunions – Comfort, Support & Pain Relief
10 Best Shoes For Bunions – Comfort, Support & Pain Relief
Trending
10 Best Macroeconomics Books-for Students and Professionals
10 Best Macroeconomics Books-for Students and Professionals
Trending
CoinworldstoryCoinworldstory
Follow US
© Coinworldstory News Network. Cws Design Company. All Rights Reserved.
  • ADVERTISEMENT
  • SUBMIT PR
  • CONTACT
  • GUEST POST
  • ABOUT US
  • DMCA
  • SITEMAP
  • DISCLAIMER
  • PRIVACY POLICY
Join Us!
Subscribe to our newsletter and never miss our latest news, podcasts etc..
[mc4wp_form]
Zero spam, Unsubscribe at any time.
Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?