stBGT

The operations of the stBGT Liquid Staking Token was acquired by BakerDAO from Stride

Mechanics

Overview

• Unlike other LSTs, stBGT will not have staking. Withdrawal from legacy staking will be available, but no new staking will be enabled and there will be no staking APR.

• Redemptions are live. Minting and redemption fees are both 5%.

• Protocol revenue from boosting, minting, redemptions, and BREAD usage will be focused on placing bribes for the stBGT-BERA Reward Vault, and the BakerDAO Debt Reward Vault.

  • In addition, stBGT may only be minted via these Reward Vaults to make it a scarce asset

Minting

stBGT may only be minted via:

1) Having active and eligible debt on BakerDAO

2) LPing the stBGT-BERA Kodiak island, and staking on the stBGT app.

Underlying protocol BGT is strategically delegated to validators to optimize Boost APR.

Redemption

stBGT may be redeemed at any time for the underlying BGT, which is burned for BERA and awarded to the user. Redemption carries a 5% fee.

Relationship with Incentivized Borrowing

BGT awarded to eligible users with BakerDAO debt, as outlined in stBGT-Incentivized Debt will be used to mint stBGT, and will be delivered as such. Merkl will be used as a means of distribution fo rewards to eligible users.