Ankr offers liquid staking. With liquid staking, you immediately get access to liquid tokens when you stake assets. The liquid tokens are a 1:1 ratio of the underlying network token/coin. That means if you stake any of the supporting assets into liquid staking, you will get an equivalent amount of liquid tokens. The Ankr platform currently allows you to stake ETH, AVAX, FTM, and BNB. Users can further trade these liquid tokens on supporting Defi platforms.
PoS networks allow the users to stake network coins/tokens. This process offers benefits to both the users and the network. Users receive rewards on their staked coins that were lying unused on their accounts. The support from stakeholders strengthens the network security and helps in smooth functioning. However, when you stake, your tokens/coins are locked for a period. You can get your tokens (original + reward) back only after the staking period is over (case when early unstake is not available). Ankr aims to resolve this issue by immediately offering you access to liquid tokens when you stake certain supporting assets.
So, in this article, we will explain how you can stake your assets in Ankr and get the liquid token. And, further, trade it on the Defi platform.
Table of Contents
Access The Ankr Stake Platform
To stake your tokens, visit the Ankr staking page
To work with the platform, users need to connect their wallets first.
The platform supports the following wallet types:
- Huobi Wallet
- Math Wallet
You can use any of the above wallets to connect and access the platform.
How To Stake Assets Into Liquid Staking
Once the wallet is connected, the application will show you the list of stakable assets along with your asset balance on the dashboard.
You can hover over each of the assets to check the return APY.
We have some AVAX coins in our wallet that we will use to deposit into liquid staking.
Once you have finalized, click on the asset, and you can see the Stake AVAX button.
Click on it. A window will pop up where you can enter the amount of AVAX that you wish to deposit. The application will show you the amount of an aAVAXb token (liquid token) that you will get in return.
Confirm the process by clicking on the Get aAVAXb button. This will trigger a Metamask transaction. Confirm the transaction, and you can see a success message on your screen (see the below screenshot).
Add Resultant aAVAXb Token In Metamask
To add the aAVAXb token to your wallet, you can click on the Add aAVAXb to wallet button (see the above screenshot), and confirm the process to add the token.
The desired token will be added, and you can see the token balance.
Ankr Staking Dashboard
Users can check the liquid token balance in the staking dashboard once the transaction is successful.
You can perform three different operations on your staked tokens:
- Stake (+) – Follow the same process to stake more AVAX coins
- Unstake (-)
We will discuss the other two operations in detail.
As explained earlier, users can trade the liquid tokens in various supporting Defi platforms.
Click on the Trade button against aAVAXb tokens in your dashboard to check the list of Defi platforms where we can trade our aAVAXb tokens.
The below platforms support to trading of aAVAXb tokens with AVAX coins.
You can click on the drop-down arrow on AVAX to check the list of other assets that you can trade with aAVAXb.
Note that, if you change either of the tokens (source or destination), the supporting platforms will also change.
Finalize your input and output assets. The platform will show you the list of all Defi platforms along with a few mandatory details.
Now, one of the most important things to note here is the exchange rate. Or, simply you can check the You’ll Get field to know the amount of AVAX coin you will get in exchange for 1 aAVAXb token (i.e aAVAXb to AVAX ratio).
So, though you can exchange, you will not get back your original AVAX amount if you trade it on Defi platforms.
However, if you wish to trade, you can select your preferred platform, and click on Trade against it.
We have selected OpenOcean as it has a higher exchange rate compared to the other platforms. The application re-directed us to the platform’s Swap page.
Here, you can select both the input and the output. Users can swap aAVAXb with any of the supporting assets. Now, enter the amount of the aAVAXb token that you wish to trade with the output coin (we now want to swap it with USDC).
Users need to follow the same process as with any other swap activity. You have to first unlock the aAVAXb token before performing the swap activity.
Unlock and approve the swap process. And, you can get the resultant token in your wallet.
Users can unstake their AVAX coin at any time. There is no locking period. However, the platform imposes a cooldown period of 8 days. So, users will receive their coins back after that period
To unstake, just enter the amount of an aAVAXb token that you wish to redeem. The application will show you the amount of AVAX coin you will get after redemption. The redemption ratio of AVAX: aAVAXb is 1:1.
Confirm the process, and you can see a reverse timer has started on your screen.
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