The Knowledge Hub
Demystifying the complex world of decentralized finance, stablecoins, and next-generation banking so you can invest with confidence.
You Asked About: Liquid Restaking
Scroll down to find this specific term in the glossary below. We highlight the most important aspects for you to look out for when using yields that rely on it.
Glossary of Terms
APY (Annual Percentage Yield)
BasicsThe real rate of return earned on an investment, taking into account the effect of compounding interest. Unlike APR, APY reflects how much your money grows over a year, assuming you reinvest the interest.
Stablecoins
AssetsCryptocurrencies designed to minimize the volatility of the price, relative to some 'stable' asset or basket of assets. Most are pegged to the US Dollar (e.g., USDC, USDT), offering the benefits of crypto without the wild price swings.
DeFi Yield Vaults
DeFiSmart contracts that automatically execute a specific financial strategy to generate yield on deposited assets. For example, some vaults might lend your stablecoins out to borrowers, while others might provide liquidity to a decentralized exchange.
ERC-4626
TechnologyA standard API for tokenized yield-bearing vaults. It provides a standard way to interact with vaults, making it easier for developers to integrate yield generation into their applications, and easier for users to track their holdings.
Self-Custody
SecurityThe practice of holding and controlling your own cryptocurrency private keys. When you use self-custody, you have absolute control over your funds, but you are also solely responsible for their security.
Total Value Locked (TVL)
MetricsThe overall value of crypto assets deposited in a decentralized finance (DeFi) protocol. High TVL generally indicates a healthier, more trusted protocol with more liquidity.