StakeWise

StakeWise V3 lets users stake into solo or curated vaults and mint osETH, an overcollateralized liquid staking token, keeping rewards within the vault.

Vault-based architecture where anyone can launch a staking vault; osETH is overcollateralized and protocol-insured.

- Vaults: Permissionless smart contracts that form StakeWise V3's staking marketplace. Each Vault is run by a chosen node operator with its own infrastructure, MEV strategy, fee/commission, and deposit cap. Stakers can deposit any amount of ETH (or GNO on Gnosis Chain), earn native staking rewards, and unstake without needing 32 ETH. - osETH (osToken): Overcollateralized, slashing-protected liquid staking token minted against ETH staked in a Vault. In standard 90% LTV Vaults, holders must keep >1 ETH backing every osETH (a 10% overcollateralization buffer), so slashing losses are absorbed by the buffer before osETH holders are affected. osGNO is the Gnosis Chain equivalent. - SWISE token & StakeWise DAO: SWISE is the native governance token. Holders form the StakeWise DAO, which governs protocol parameters and controls the DAO Treasury (a Gnosis Safe with a committee and SafeSnap module). DAO-approved Vaults can reach up to 99.99% LTV backed by a 5M SWISE operator bond. - StakeWise Boost: A leverage strategy that lets users borrow additional assets on Aave against osETH, stake them, and loop the position to amplify staking yield.

- SWISE (SWISE) — Token, Governance token - osETH (osETH) — Receipt, LiquidStaking

- Smart Contract: osETH minting, Vault accounting, redemption and liquidation logic all run in permissionless smart contracts; a bug or exploit in the V3 core contracts could impair stakers or osETH holders despite multiple audits. - Collateral: osETH is a collateralized position with an LTV cap (~90% mint, ~91.5% redeemable, ~92% liquidatable). If the Vault's ETH value falls relative to minted osETH, positions can be redeemed or liquidated with a 1% premium taken from the staker. - Counterparty: Vaults are run by independent, permissionless node operators who control validator keys and infrastructure. Poor operator performance, downtime, or malicious behavior directly affects stakers in that Vault. - Network: Validators are subject to Ethereum (and Gnosis Chain) consensus-layer risks including slashing and penalties; the overcollateralization buffer is designed to absorb these losses but is finite and could be exceeded in an extreme slashing event. - Governance: The StakeWise DAO controls protocol parameters (LTV thresholds, approved Vaults, treasury) and the Treasury is a Gnosis Safe governed by a committee; concentrated SWISE holdings or committee action could change protocol economics. - Oracle: osETH exchange-rate and position health depend on oracle-reported reward/exchange-rate data; faulty or manipulated oracle updates could misprice positions and trigger unwarranted redemptions or liquidations.

- Overcollateralized secured lending (e.g. a margin loan against pledged securities): similar — Minting osETH against staked ETH resembles borrowing against pledged collateral: you unlock liquidity while retaining the underlying yield-bearing asset, subject to an LTV cap.; differs — There is no lender charging interest and no counterparty bank; the position is enforced entirely by smart contracts. The overcollateralization exists to absorb slashing, and osETH itself continues to accrue staking rewards rather than being idle collateral.