Bifrost is a web3 derivatives protocol that provides decentralized cross-chain liquidity for staked assets. It leverages cross-consensus message (XCM) to provide cross-chain liquid staking services for multiple chains. With the release of 420,000 KSM from the third batch of Parachain auctions, Bifrost’s SLP lets users maximize rewards through cross-chain staking.
Bifrost is a derivatives protocol that offers cross-chain liquid staking through Polkadot’s XCM. For more info on Polkadot’s architecture, read this article. Users can earn staking rewards without locking their assets. With the help of cross-chain messaging scheme (XCM), users can transfer assets between parachains without the risks of using a bridge.
While staking is fraught with locked capital, liquid staking provides users access to the locked funds via their liquid derivative coins.
The lockdown period for staking Kusama is 7 days. However, Bifrost offers liquid staking for investors without losing access to the liquidity of their assets through Staked Liquidity Protocols or liquid staking (SLP). SLP is facilitated by minting derivative tokens on-chain that are liquid representations of staked assets. The liquid derivative token can be utilized as KSM for DeFi and on all Dotsama. Essentially, Bifrost provides investors with a lucrative investment opportunity by removing the opportunity cost associated with staking KSM.
The third batch of Kusama crowdloan, constituting 420,000 KSM, was unlocked on the 31st of Oct. And in today’s guide, we shall cross-in KSM through XCM on Bifrost, stake KSM for vKSM, or redeem vsKSM for vKSM and, as a bonus, deposit vKSM into the single token farming pool.
Still not sure? The attached image outlines the benefits of minting vKSM with your KSM.
Additionally, over 227,000$KSM has been staked and minted so far on the Bifrost app.
Staking & Farming Guide
Step 1 - Stake KSM by minting vKSM
There are two ways to Mint vKSM
- Log onto Bifrost and connect your wallet. (Still waiting for an option to switch to dark mode)
- Click on vCrowdloans
- Select Redeem vsToken
- Select the network & input the vsKSM to redeem and mint vKSM (earn 37.73% APY)
- Input the amount and click on Redeem
- Confirm the processing and sign the transaction. And with that, you have successfully redeemed vsKSM & minted vKSM.
Option 2 - Cross-In Kusama to Bifrost
- Click on Cross-in.
- Enter the amount of KSM and click on confirm.
- Click on confirm once again for settlement confirmation of KSM from Kusama relaychain to Bifrost and sign the transaction in your wallet.
If you’ve chosen option 2, then you need to swap the crossed-in KSM for vKSM to start earning the staking rewards.
- Enter the amount of KSM that you want to swap and click on Mint.
- Click on confirm under settlement confirmation and sign the transaction in your wallet. Once confirmed, you will see your staked balance at the top.
Step 2 - Stake vKSM for Farming Rewards
vKSM offers a farming APY of 27.35% offered in BNC.
- Click on the Farm option to navigate to the farming section.
- Select vKSM farm.
- Enter the amount of vKSM that you want to deposit and click on deposit.
- Click on confirm under settlement confirmation and sign the transaction in your wallet.
With this, we have successfully deposited vKSM into the farming pool.
In other news,
Bifrost has introduced two new Farming Pools 🔥🔥
🚨 The $BNC / $USDT
🚨 $vDOT / $DOT
Want in on the high yields?
➡️ Click on the link http://bifrost.app/farming
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