# ether.fi Staked ETH (eETH)

> Ether.fi Staked ETH (eETH) is a rebasing ERC-20 token allowing users to stake Ethereum, automatically receive rewards, and reinvest in other protocols.

- Canonical URL: https://iq.wiki/wiki/etherfi-staked-eth-eeth
- Categories: Cryptoassets
- Created: 2024-04-25T18:21:43.943Z
- Last updated: 2024-05-30T04:49:01.048Z
- Source: IQ.wiki — the world's largest blockchain and crypto encyclopedia (https://iq.wiki)

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**ether.fi Staked (eETH)** is a rebasing [ERC-20](https://iq.wiki/wiki/erc-20) token introduced by [ether.fi](https://iq.wiki/wiki/etherfi), a non-custodial and decentralized [staking](https://iq.wiki/wiki/staking) protocol. It represents a claim on an equivalent amount of [ETH](https://iq.wiki/wiki/ethereum) held by the ether.fi [liquidity pool](https://iq.wiki/wiki/liquidity-pool) or staked in the [Ethereum](https://iq.wiki/wiki/ethereum) [Proof-of-Stake](https://iq.wiki/wiki/proof-of-stake) system. A rebasing mechanism automatically distributes [staking](https://iq.wiki/wiki/staking) rewards to eETH holders, updating their balances across all addresses. As a Liquid Restaking Token, eETH allows users to stake their [ETH](https://iq.wiki/wiki/ethereum) for rewards and reinvest seamlessly in [EigenLayer](https://iq.wiki/wiki/eigenlayer). [\[1\]](#cite-id-82akrepsv04)   
  
# Overview  
  
eETH is an [ERC-20](https://iq.wiki/wiki/erc-20) token representing an equivalent amount of [ETH](https://iq.wiki/wiki/ethereum) in the ether.fi liquidity pool or staked in Ethereum's Proof-of-Stake system. It utilizes a rebasing mechanism to distribute staking rewards to holders across all addresses automatically. As a Liquid Restaking Token, eETH enables users to stake their ETH for rewards and reinvest in [EigenLayer](https://iq.wiki/wiki/eigenlayer). It is the first native liquid restaking token on [Ethereum](https://iq.wiki/wiki/ethereum), allowing users to [mint](https://iq.wiki/wiki/minting) eETH on [ether.fi](https://iq.wiki/wiki/etherfi) to maximize rewards. [Minting](https://iq.wiki/wiki/minting) eETH provides exposure to [Ethereum](https://iq.wiki/wiki/ethereum) [staking](https://iq.wiki/wiki/staking) rewards, [ether.fi](https://iq.wiki/wiki/etherfi) Loyalty Points, restaking rewards (including [EigenLayer](https://iq.wiki/wiki/eigenlayer) points), and the ability to [provide liquidity](https://iq.wiki/wiki/liquidity-providers) to [DeFi](https://iq.wiki/wiki/defi) protocols. [Staking](https://iq.wiki/wiki/staking) [ETH](https://iq.wiki/wiki/ethereum) on [ether.fi](https://iq.wiki/wiki/etherfi) involves locking a specific amount of [Ether](https://iq.wiki/wiki/ethereum) in a [wallet](https://iq.wiki/wiki/cryptocurrency-wallet) to contribute to the network's operations, effectively becoming [validators](https://iq.wiki/wiki/validator). These [validators](https://iq.wiki/wiki/validator) secure and validate transactions, earning additional [Ether](https://iq.wiki/wiki/ethereum) rewards for their participation. [\[1\]](#cite-id-82akrepsv04)[\[2\]](#cite-id-7la9f2hdg0p)