LidoStrategy

Git Source

Inherits: BaseYieldSkimmingStrategy

Title: LidoStrategy

Author: Golem Foundation

Yield skimming strategy for Lido wstETH (wrapped staked ETH)

Captures yield from stETH appreciation by tracking wstETH exchange rate LIDO MECHANISM:

• wstETH is a wrapper around rebasing stETH
• Exchange rate: wstETH → stETH increases as staking rewards accrue
• 1 wstETH = stEthPerToken() stETH
• Rate increases ~3-5% annually from ETH staking rewards YIELD CAPTURE:
• User deposits 100 wstETH at rate 1.0
• Rate increases to 1.05 (5% staking rewards)
• Vault value: 105 stETH
• Profit: Strategy shares worth 5 stETH value minted to dragon router EXCHANGE RATE SOURCE:
• Calls wstETH.stEthPerToken()
• Oracle-free (uses Lido's accounting)
• Cannot be manipulated
• 18 decimal precision

Notes:

• security-contact: [email protected]

• security: Exchange rate from Lido wstETH (trusted source)

• security: Slashing risk: ETH validators can be slashed, reducing rate

Functions

constructor

constructor(
    address _asset,
    string memory _name,
    string memory _symbol,
    address _management,
    address _keeper,
    address _emergencyAdmin,
    address _donationAddress,
    bool _enableBurning,
    address _tokenizedStrategyAddress
)
    BaseYieldSkimmingStrategy(
        _asset, // shares address
        _name,
        _symbol,
        _management,
        _keeper,
        _emergencyAdmin,
        _donationAddress,
        _enableBurning,
        _tokenizedStrategyAddress
    );

Parameters

Name	Type	Description
_asset	address	Address of the underlying asset (wstETH)
_name	string	Strategy name
_symbol	string	Strategy symbol
_management	address	Address with management role
_keeper	address	Address with keeper role
_emergencyAdmin	address	Address with emergency admin role
_donationAddress	address	Address that receives donated/minted yield
_enableBurning	bool	Whether loss-protection burning from donation address is enabled
_tokenizedStrategyAddress	address	Address of TokenizedStrategy implementation

decimalsOfExchangeRate

Returns exchange rate precision (18 decimals)

wstETH uses 18 decimal precision for stEthPerToken()

function decimalsOfExchangeRate() public pure override returns (uint256);

Returns

Name	Type	Description
<none>	uint256	decimals Always returns 18

_getCurrentExchangeRate

Returns current wstETH → stETH exchange rate

Queries Lido's wstETH contract for current rate Rate increases as staking rewards accrue to stETH

Note: security: Rate from Lido protocol (manipulation-resistant)

function _getCurrentExchangeRate() internal view override returns (uint256);

Returns

Name	Type	Description
<none>	uint256	rate Amount of stETH per 1 wstETH (18 decimal precision)