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Diversify Your Portfolio. Decentralize The Network. | 1/25 Newsletter
Diversify Your Portfolio. Decentralize The Network. | 1/25 Newsletter
Read on for more information about how to buy dsETH.
1/25/2023
Index Coop
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Diversify Your Portfolio. Decentralize The Network.
We’re thrilled to announce the launch of our next index token: the Diversified Staked ETH Index (dsETH)!
dsETH is an index of the leading Ethereum liquid staking tokens. Holders of dsETH earn staking yield while incentivizing liquid staking protocols to be more efficient and decentralized.
At launch, dsETH is composed of rETH (Rocket Pool), wrapped stETH (Lido), and sETH2 (StakeWise).
Read on for more information on dsETH, including:
How to buy dsETH
Upcoming events where we’ll discuss dsETH
A deep-dive into dsETH methodology
— The Index Coop team
The Right Purchase Path For Your dsETH Buy
Depending on how much dsETH you intend to purchase and whether you want to purchase dsETH on-chain or off, dsETH is available on various platforms.
Here are some basic instructions on where and how to buy dsETH. If you need additional help, don’t hesitate to reach out to our team via Discord.
For trade sizes less than 35 dsETH:
Ethereum
DEX:
DEX aggregator -
zkSync
Wallet -
(currently found in the Swap crypto section)
Layer 2 DEX -
For trade sizes larger than 35 dsETH:
Purchase is available via Flash Mint on the Index Coop app.
Learn More About How To Buy dsETH
Gain A Better Understanding of dsETH Methodology
The objective of dsETH is to give token holders diversified exposure to liquid staking tokens with weightings that favor decentralized liquid staking protocols.
To be eligible for inclusion, liquid staking tokens must meet all inclusion criteria, which center around security, transparency, liquidity, and client diversity.
Tokens that meet these criteria are assigned equal weights before applying two factors:
the number of node operators supporting a protocol
the distribution of stake across those node operators
The Node Operator Factor represents the number of node operators supporting a protocol. It takes the square root of active node operators supporting a protocol and divides it by the sum of square roots for all protocols represented in the index.
As a result, protocols with more node operators receive a greater weight in the index, while protocols with fewer nodes receive a lesser weight.
Join Us As We Discuss dsETH and Liquid Staking Tokens
We have two events coming up, where we’ll talk about the strategy behind dsETH and answer any questions from our community.
Index Insiders Community Call
On January 26th, join our Index Insiders community call at 11 am Eastern/4 pm UTC. RSVP here
Members of the Index Coop product team will be there to provide a behind-the-scenes look at the development of dsETH and how this index of liquid staking tokens generates sustainable yield while helping decentralize the network.
Liquid Staking Webinar
Then on February 2nd at 3 pm Eastern/12 pm Pacific, join leaders from Lido, Rocket Pool, StakeWise, and the Index Coop as we discuss the state of the liquid ETH staking sector.
By attending, you’ll learn the following:
How liquid staking works
The benefits of liquid staking
What’s unique about dsETH’s index strategy and how it benefits the Ethereum network
To get analysis & updates from Index Coop delivered to your inbox, subscribe to the Index Insights newsletter.
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FAQs
Index Coop yield tokens simplify earning yield in DeFi by automating complex strategies and diversifying across protocols. They are user-friendly and cost-efficient, appealing to both new and seasoned DeFi users.
Leverage tokens automate a leveraged position by utilizing onchain money markets like Aave or Morpho to borrow funds, amplifying a user's exposure to an asset without requiring manual management. The token's smart contracts autonomously handle the borrowing, lending, and rebalancing of assets, maintaining a consistent leverage ratio despite market fluctuations. This automation eliminates the complexities of collateral management and liquidation risks, while also charging low, transparent fees that avoid expensive funding rates often charged by perps.
Index Coop is a decentralized autonomous organization (DAO) that specializes in creating and maintaining onchain structured products. Index Coop aims to democratize access to the crypto market, empowering everyone to participate in the growing digital asset ecosystem with ease.
No, yield automatically compounds and accrues to the token price. The value of the tokens you hold in your wallet will simply go up over time without the need to claim or compound rewards.
Index Coop products protect you from liquidation with automated risk management that rebalances assets to maintain a target leverage ratio that avoids liquidation.
INDEX is the ERC-20 governance token on Ethereum for Index Coop. INDEX empowers its holders to participate in decision-making processes that shape the future of Index Coop.
Yes, all Index Coop products are instantly redeemable for their underlying value at all times.
Yes, all Index Coop smart contracts have been audited by leading independent security firms such as OpenZeppelin, ABDK, Isosiro, & more. There is also an active bug bounty program through ImmuneFi. Audit information is published in the docs here.
Streaming fees (an annual fee paid continuously block-by-block), mint and redeem fees (only on leverage tokens), and borrow costs (interest paid to borrow funds from onchain markets when using leverage).