rsETH

The liquid restaking token issued by Kelp DAO when users deposit ETH or liquid staking tokens into the protocol, representing a multi-AVS restaked position managed by Kelp across EigenLayer's ecosystem of Actively Validated Services. Kelp DAO differentiates itself from single-operator restaking protocols by focusing on building a portfolio approach to AVS selection, aiming to maximize risk-adjusted restaking yield by distributing exposure across multiple AVS rather than concentrating in a single one. rsETH appreciates in ETH terms as restaking rewards accumulate in the underlying position, rather than rebasing the token balance. Kelp DAO's rsETH is supported across multiple networks including Ethereum mainnet, Arbitrum, and various other L2s, and is integrated into lending protocols and DEX pools as collateral and liquidity, enabling the composability layer that makes liquid restaking tokens practically useful beyond simple yield accumulation. Example: Kelp DAO emerged as one of the top liquid restaking protocols by TVL in 2024, accumulating several billion dollars in restaked ETH through rsETH. Its multi-AVS approach attracted users who wanted restaking yield diversification rather than concentration in a single AVS, and its cross-chain availability of rsETH made it accessible to users operating primarily on L2s rather than Ethereum mainnet. Why it matters for Web3: rsETH and Kelp DAO represent the diversified portfolio approach to liquid restaking, applying familiar investment principles (don't concentrate in a single position) to the novel restaking yield space. As the EigenLayer AVS ecosystem matures and risk profiles of different AVS become better understood, multi-AVS liquid restaking protocols like Kelp may be better positioned to manage the risk-return tradeoff of restaking exposure than single-AVS alternatives.

Category: mining staking

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