Staked LINKPrice

(STLINK)

stLINK is a liquid staking receipt token issued to users who stake their LINK tokens with stake.link. It represents the user's staked LINK plus any accrued rewards. Its main purpose is to enable LINK holders to earn staking rewards by contributing to the security of the Chainlink network while maintaining asset liquidity. This unique feature allows users to deploy their stLINK across various DeFi protocols for lending, collateralization, or liquidity provision, thereby avoiding the illiquidity typically associated with traditional Proof-of-Stake staking.

Users can acquire stLINK primarily through two methods. First, they can directly stake their LINK tokens into the stake.link staking pool, which then issues stLINK in return. Second, stLINK can be obtained by swapping for it on decentralized exchanges (DEXs). These platforms facilitate the exchange of stLINK for LINK or other cryptocurrencies, offering an alternative avenue for acquisition without directly participating in the staking process.

stLINK operates as a rebasing token, meaning your stLINK balance automatically increases over time as staking rewards are earned. Approximately every two days, the total staking rewards accumulated by the protocol are calculated. Following this, the supply of stLINK is proportionally increased across all holders' wallets, directly reflecting these earnings in a higher stLINK balance. The underlying LINK tokens continue to earn rewards from Chainlink's official staking pools, which are then passed on to stLINK holders.

Key advantages include immediate liquidity, as stLINK tokens are not locked like in native staking, enabling their use across various DeFi applications. Users can often benefit from potentially higher blended reward rates due to stake.link pooling deposits across different Chainlink staking pools. The platform also offers "set-and-forget" staking through features that automate the staking process, simplifying participation. Furthermore, staking with stake.link is non-custodial, ensuring users always retain full ownership of their underlying assets via the stLINK token.

Yes, staking with stake.link is entirely non-custodial. This crucial aspect means that users retain full ownership and control over their LINK tokens throughout the entire staking process. The protocol's smart contracts manage the staking and delegation, ensuring that no central entity, including node operators or core contributors, ever gains direct custody of users' LINK. Users maintain possession of their assets through the stLINK token, providing enhanced security and trust.

While stake.link emphasizes security and has no reported exploits, all cryptocurrency investments carry inherent risks, primarily due to market volatility that can affect token values. Specific to the protocol, one identified risk is the current absence of a timelock for smart contract upgrades. This means that approved upgrades could be implemented without a delay period, which theoretically could be exploited by malicious actors if they gained control of the upgrade mechanism. Users should always be aware of these technical and market-related risks.