Swell Network and swETH: A Detailed Look

March 07, 2024
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Swell Network offers a permissionless, non-custodial liquid staking protocol designed to simplify and enhance the staking experience for Ethereum holders. With a focus on accessibility, Swell is the 8th largest liquid staking protocol with a TVL (Total Value Locked) of roughly $950 million.

TL;DR:

  • Swell Network is a non-custodial liquid staking protocol that enables investors to stake ETH without the need to run operators or lock their assets.
  • The liquid staking token of Swell, swETH, represents the staked ETH plus accruing rewards.
  • Built with decentralization and community ownership in mind, the Swell Network is governed by token holders through a DAO.
  • InceptionLRT users can restake swETH and, in exchange, mint inswETH, our counterpart LRT.

Liquid Staking with swETH

At the heart of Swell Network's offering is swETH, a liquid staking token representing the user's staked Ethereum plus accruing rewards. By staking Ethereum with Swell, users receive swETH, which can be used within the DeFi ecosystem to generate additional yield.

Users can deposit their swETH into Swell’s vaults, earning additional yield through liquidity mining, or provide liquidity in external DeFi platforms, engaging as liquidity providers to gain from trading fees and liquidity mining rewards. Furthermore, swETH can be supplied to lending and borrowing protocols, enabling users to generate rewards on the lent-out assets or use swETH as collateral for borrowing other assets.

Today, with swETH integration onto InceptionLRT, users can accrue a second layer of yield on their liquid staking tokens (LSTs) by restaking them on our platform.

All of these possibilities provide flexibility by allowing users to stake any amount of ETH and foster liquidity, making Swell a standout choice for those looking to maximize their Ethereum holdings​​​​.

unnamed.png [1] - swETH on Inceptions Restaking Dashboard (Source)

Easy Staking

Swell boasts an intuitive platform that facilitates easy staking of ETH. Through initiatives like Liquis, Sommelier, and more, Swell extends the utility and earning potential of swETH token, making it an attractive choice for stakers​​.

Community-Driven Governance and Security

Governance in Swell's ecosystem is community-driven, ensuring that users have a say in key protocol decisions through the Swell DAO.

This emphasis on decentralization and user empowerment is coupled with a rigorous security framework, including collaborations with leading auditors and bug bounty programs to safeguard user assets and ensure the integrity of the protocol​​.

Strategic Collaborations and Expansion

Swell's strategy includes forming collaborations to enhance its service offering, such as the collaboration with InfStones, which broadens the options available to stakers for node selection.

Furthermore, Swell's commitment to growth is evident in its plans to expand its liquid staking solution to other blockchains, including Avalanche and Polygon, promising to deliver its innovative staking solutions to a wider audience​​.

InceptionLRT's Collaboration with Swell

We are excited to strengthen the staking ecosystem further through this new collaboration with Swell Network.

By integrating Swell’s LST, swETH, into our protocol, we are diversifying our staking services, optimizing yield rewards, and offering greater versatility to our user base.

The continuous expansion through strategic collaborations gets us closer to our goal of simplifying staking for users and expanding their opportunities within the broader DeFi ecosystem.

As InceptionLRT continues to evolve and collaborate with platforms like Swell Network, it is poised to play a crucial role in the evolution of staking solutions in the Ethereum space. We invite everyone to explore our protocol and take advantage of our expanding list of staking services.

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