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Ether.Fi Liquid ETH
Ether.Fi Liquid ETH
Ether.Fi Liquid ETH is a liquid staking token that represents Ethereum (ETH) staked through the Ether.fi protocol. The token, which trades under the ticker LIQUIDETH, is designed to provide holders with ETH staking rewards while maintaining a liquid, tradable asset that can be utilized across the decentralized finance (DeFi) ecosystem. [1]
Overview
Ether.Fi Liquid ETH (LIQUIDETH) functions as a receipt token for ETH deposited into the Ether.fi staking protocol. Its primary purpose is to solve the liquidity problem associated with traditional staking, where assets are typically locked and inaccessible for a period. By holding LIQUIDETH, users can continue to earn staking rewards generated by the underlying ETH validators while simultaneously using the token in other DeFi applications, such as lending, borrowing, or providing liquidity on decentralized exchanges. The token is designed to accrue the value of staking rewards, meaning its value relative to ETH is expected to increase over time. [1]
The token is a component of the broader Ether.fi ecosystem, which also includes a yield aggregator product known as Ether.fi Liquid. This platform uses automated "strategy vaults" to deploy user-deposited assets, including ETH, stablecoins, and Bitcoin-based assets, across a curated selection of DeFi protocols to optimize for yield. The system is designed to automate complex DeFi strategies, handling asset balancing and the auto-compounding of rewards on behalf of the user. This structure provides a way for users to earn yield without needing to actively manage their positions. [2]
Technology
Core Mechanism
LIQUIDETH operates on the Ethereum blockchain as an ERC-20 token. The process begins when a user deposits ETH into the Ether.fi protocol. In return, the protocol mints a corresponding amount of LIQUIDETH, which is sent to the user's wallet. The deposited ETH is then staked to help secure the Ethereum network, generating rewards. These rewards are automatically compounded back into the protocol, causing the value of LIQUIDETH to appreciate against ETH over time. [1]
The parent protocol, Ether.fi, utilizes smart contracts to manage its strategy vaults. These vaults automatically deploy assets into various DeFi protocols according to pre-defined strategies. This automated system is designed to optimize earnings and other rewards for depositors. Users retain the ability to withdraw their funds at any time, providing flexibility and control over their assets. The platform also allows for transfers between its different asset vaults. [2]
Blockchain and Contract
LIQUIDETH is native to the Ethereum blockchain. Its official smart contract address is 0xf0bb20865277abd641a307ece5ee04e79073416c. As an ERC-20 token, it is compatible with a wide range of Ethereum-based wallets, decentralized applications, and exchanges, facilitating its use throughout the DeFi ecosystem. [1]
Tokenomics
The tokenomics of LIQUIDETH are directly tied to the amount of ETH staked within the Ether.fi protocol. The total supply of LIQUIDETH mirrors its circulating supply, as new tokens are only minted upon the deposit of ETH and burned upon withdrawal. This creates an elastic supply model that expands and contracts based on user activity. The maximum supply is listed as infinite, reflecting that there is no hard cap on the amount of ETH that can be staked through the protocol. [1]
As of November 9, 2025, market data for LIQUIDETH included the following metrics:
- Market Capitalization: Approximately $518.9 million [1] and $516.9 million [3].
- Circulating and Total Supply: 144,348 LIQUIDETH [1].
- 24-Hour Trading Volume: Approximately $2,900 [1] [3].
- CoinGecko Rank: #164 [1].
The token's all-time high price was recorded at $4,507.99 on October 27, 2025, and its all-time low was $3,277.14 on November 4, 2025. These figures reflect the market performance of the token. [1]
Security
The Ether.fi protocol emphasizes a "security-first" architecture with several layers of protection for user funds. The smart contracts that manage the protocol's operations have undergone independent third-party audits from security firms Nethermind and Macro. These audits are intended to identify and address potential vulnerabilities in the code. [2]
The protocol operates on a non-custodial basis, meaning only the user has the authority to deposit or withdraw funds from their position. To further enhance security, the strategists who manage the yield vaults are restricted by the smart contracts to moving assets only among a pre-approved list of protocols and positions. Ether.fi also maintains an active bug bounty program on the Immunefi platform, which incentivizes security researchers to discover and responsibly disclose potential security flaws. For additional risk mitigation, users have the option to purchase insurance coverage for their deposited assets through a partnership with Nexus Mutual. [2]
Ecosystem and Integrations
DeFi Integrations
The Ether.fi protocol integrates with a wide range of established DeFi protocols to execute its yield-generating strategies. By deploying assets across these platforms, it can access diverse sources of return for its users. Some of the protocols integrated with Ether.fi include:
These integrations allow the protocol to engage in activities such as lending, borrowing, and liquidity provision to generate yield. [2]
Market Availability
LIQUIDETH is available for trading on both decentralized and centralized exchanges. Its most active market is on Uniswap V4, where it is commonly traded in a LIQUIDETH/ETH pair. The token is also listed on centralized exchanges, including Binance, HitBTC, and Coinbase, making it accessible to a broader range of traders and investors. [1] [3]
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