# $ETH Liquid Staked Lending&#x20;

This strategy is designed to help you get the most out of your ETH by combining liquid staking with lending. It’s a simple way to earn more yield from your ETH while still keeping it liquid.\
\
With an estimated annual yield of about 10% (simulated), this strategy offers a great way to grow your ETH without locking it up. The best part is that everything—deposits, withdrawals, and yield harvesting—is handled for you through the Dexponent Protocol’s Farm interface, so it’s easy to manage and track your rewards.

*This section will walk you through the necessary steps to participate in the Liquid Staking Boost strategy, ensuring a smooth and rewarding experience.*

### Technical Flow

1. **Deposit & Staking**

   To begin, deposit ETH into the Farm. When you do this, the Farm will automatically call the <mark style="color:green;">deployLiquidity</mark> function on the strategy contract.

   * If your deposit includes WETH, the strategy will unwrap it to ETH.
   * The ETH is then staked via a Lido-like protocol using the <mark style="color:green;">submit(address)</mark> function. You will receive stETH in return.
   * This stETH is then deposited into Aave v3 LendingPool to start generating additional yield.

   The strategy keeps track of how much stETH has been deposited and sets a yield checkpoint to estimate future returns.
2. **Simulated Yield & Harvesting**

   On testnet, stETH doesn’t auto-rebase, so the strategy simulates yield using a fixed APY of 10%.

   * To claim this yield, trigger the <mark style="color:green;">harvestRewards</mark> function from the Farm.
   * This will calculate how much simulated yield you’ve earned based on your net stETH deposit.

   The simulated stETH yield will be treated as equivalent to ETH and sent back to the Farm.
3. **Withdrawing Funds**

   To withdraw your liquidity, call the <mark style="color:green;">withdrawLiquidity</mark> function via the Farm.

   * The strategy will pull the needed amount of stETH from Aave.
   * It will then convert the stETH to ETH (1:1 for demo purposes) and return it to the Farm.
4. &#x20;**Emergency Withdrawals**

   If needed, trigger an emergency withdrawal.

   * This pulls all stETH from Aave, converts it to ETH, and sends it to the Farm.
   * Use this only if normal operations are disrupted.
5. &#x20;**ETH Transfers & Fallback Handling**

   The contract includes a fallback function to ensure it can receive ETH anytime — during withdrawals, WETH unwrapping, or other operations. No manual action is needed here, but it ensures uninterrupted flow of ETH.

### Technical Benefits

1. **Dual Yield Streams**

   By staking ETH to get stETH, and then lending that stETH on Aave, you’ll earn from two different sources:

   * Staking rewards from holding stETH.
   * Lending interest from Aave when others borrow your stETH.
2. **Capital Efficiency**\
   The strategy is built to make sure your ETH doesn’t sit idle. Once you deposit, your ETH is:
   * Staked for rewards.
   * Then used as a lending asset on Aave.&#x20;
3. **Yield Simulation for Testnet**\
   When testing on a testnet, there might not be real rewards. So we simulate a fixed 10% APY on your stETH deposit to help you:
   * See how the strategy performs.
   * Test your integrations with real-looking returns.
4. **Seamless Dexponent Integration**

   This strategy is fully integrated with the Dexponent Protocol. That means:

   * You can deposit, withdraw, and harvest rewards without issues.&#x20;
   * It follows the standard <mark style="color:green;">FarmStrategy</mark> interface, so everything works smoothly with the rest of the platform.
5. **Robust Risk Management**

   To keep your funds safe, the strategy includes:

   * Emergency withdrawal options you can use if something goes wrong.
   * Yield checkpoints that let you clearly track how much you’ve earned.<br>
