DATs Need Liquid Staking to Outperform ETH Staking ETFs: Lido Exec
Lido exec states Ether treasuries need liquid staking to offer returns beyond ETF yields.Summary
Ether treasury companies must leverage liquid staking and active yield strategies to provide investors with returns superior to those offered by existing staked Ether ETFs, according to Kean Gilbert, head of institutional relations at Lido. Liquid staking allows ETH holders to stake their tokens and receive a transferable token for use in DeFi. Gilbert suggests strategies like using ETH as collateral for borrowing could generate higher returns than passive staking. While several US-listed staked ETH products exist, yield comparisons are complex due to varying staking economics. Jimmy Xue, COO of Axis, argues that Ether treasury companies don't necessarily need to beat staked ETH ETFs on headline yield, as treasuries can offer active deployment of assets, which investors pay a premium for. Basis trading is also a significant yield source for these companies. Public filings indicate some Ether treasury firms are adopting staking or liquid-staking strategies; for instance, Sharplink Gaming derived 33% of its staking rewards from liquid staking, and BTCS Inc. has liquid staked a portion of its ETH holdings through Rocket Pool.
(Source：Cointelegraph)