Ether.fi: The Underdog That Refuses to Die! 🐶💰

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What to know:

  • Ether.fi has emerged as the dominant protocol in restaking, scooping 2.6 million ETH in deposits. 🏆
  • The company plans to become a neobank to rival the likes of Revolut, eventually offering services in the U.S. 🇺🇸
  • Ether.fi CEO Silagadze attributes negative Ethereum sentiment to a continued attack by people at Solana. 😏

Once upon a time, restaking was the hottest ticket in the crypto carnival, with EigenLayer strutting around like a peacock. 🦚

Fast forward to mid-2025, and the total value locked (TVL) has plummeted like a lead balloon, leaving the hype of point farms gasping for air. 🎈

Yet, through the storm, Ether.fi, the steadfast captain of this ship, has kept its course, helping users rake in yields through liquid staking tokens (LSTs) that can be staked across the decentralized finance (DeFi) ocean. 🌊

Now, Ether.fi is setting its sights on becoming a neobank for crypto enthusiasts and companies alike. 🚀

Ether.fi’s dominance

Ah, Ether.fi, nestled in the Cayman Islands, was one of the first to dip its toes into the liquid restaking waters, launching a points farm that had early users dancing with joy as they earned points that could be transformed into a token airdrop. 🎉

In a mere 10 weeks at the dawn of 2024, staked ETH skyrocketed from 45,000 ETH to a staggering 808,000 ETH. Now, a whopping 2.58 million staked ETH rests in Ether.fi’s embrace, while its closest rival, Renzo, is left in the dust with a mere 380,000 ETH. 🥇

In dollar terms, Ether.fi boasts a TVL of around $5 billion. Sure, it’s a drop from December’s high of $9.4 billion, but that’s just the fickle nature of ETH’s price, not a mass exodus of users. 💸

Ether.fi is all about keeping its users close, like a warm blanket on a cold night. 🥰

“We know probably half the TVL,” Silagadze quipped. “As in, we know who they are and we talk to them and have ongoing conversations.” 📞

In stark contrast, Renzo has seen over 60% of ETH vanish from its platform since last July, with TVL nosediving from 1 million ETH to a paltry 378,000 ETH, according to DefiLlama. 📉

From restaking protocol to Neobank

For Silagadze, the restaking product is merely a stepping stone to lure in users and capital, while the grand vision is to become a neobank that can tango with the likes of Revolut. 💃

“Staking for us was really just a way of building TVL and getting a user base,” Silagadze told CoinDesk. “The ultimate goal is to create an integrated product suite that allows users to fully off ramp from their traditional banking institutions and operate on a crypto native platform.” 🏦

Ether.fi rolled out a “Cash” Visa card on the Scroll network in September, and Silagadze believes this will become the golden goose for the company. 🥚

Neobank has become the latest buzzword in the crypto realm. Lending platform Nexo rebranded last year as a neobank, and Dakota stealthily launched a crypto app to provide banking services to crypto depositors. Even EOS, once a celebrated smart contract platform, has shifted its gaze to Web3 banking. 🏦

For Ether.fi, the plan is to weave three products into one soon-to-be-released mobile app. 📱

The app will feature three integrated products: Ether.fi stake, the staking protocol; Ether.fi liquid, an automated DeFi strategy manager that uses AI to find the best yield; and the Ether.fi

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2025-03-20 20:47