Last updated: 14 May 2024
There are multiple ways to earn with WBETH. Here are some examples:
Spot trading
You can trade WBETH/USDT and WBETH/ETH pairs on the Binance spot market. By simply buying and holding WBETH, you can earn ETH Staking rewards. The daily staking rewards won’t be distributed to your Binance Spot Wallet. Instead, the rewards will accumulate and auto-compound at the token's conversion rate until the WBETH are unwrapped to ETH.
Check out How to Buy Wrapped Beacon ETH (WBETH) Guide.
Earn ETH staking rewards by minting WBETH on chain
WBETH is available from Binance ETH Staking. WBETH can be minted on DeFi platforms (like PancakeSwap) or via on-chain smart contracts (BNB Smart Chain or Ethereum). When your daily ETH staking rewards accrue, the value of your WBETH consequently increases. You can [Redeem] your yield by converting WBETH to ETH via Binance ETH Staking or swapping WBETH to ETH via on-chain smart contracts (BNB Smart Chain or Ethereum).
Liquidity farming
Liquidity farming is a popular earning mechanic in DeFi. It involves providing liquidity to decentralized exchanges (DEXs) and earning rewards for doing so.
To start liquidity farming, you’ll need to provide a pair of tokens to a liquidity pool. For example, you can pair WBETH with another token supported by the pool, such as ETH or USDT. Users who swap between the pairs in the pool pay a fee to you as a liquidity provider. However, please take note of the risk of impermanent loss when entering liquidity pools.
Some examples that allow users to farm yields with WBETH by forming liquidity pool tokens include DEXes, such as PancakeSwap (Ethereum and BSC), Curve, Balancer, and Maverick (Ethereum and BSC).
Lending and borrowing protocols
WBETH can be leveraged within lending and borrowing protocols to earn yields or enhance capital efficiency. For example, you can use WBETH as collateral to borrow other assets to enhance capital efficiency on Binance Loans and VIP Loan. You may check the borrow limit and the loan-to-value (LTV) on the respective pages.
Structured products and yield aggregators
Structured products and yield aggregators offer advanced DeFi opportunities for optimizing returns on your crypto assets.
WBETH can be utilized to access these structured yield tokens, allowing you to participate in more complex DeFi strategies. For example, Pendle.
Restaking protocols
Restaking means utilizing ETH that has already been staked for additional rewards. In most cases, users can restake natively-staked ETH and liquid-staked tokens, such as WBETH, on certain restaking protocols’ smart contracts (such as EigenLayer). This allows WBETH to be applied to more applications on the Ethereum network, while also offering WBETH holders the opportunity to earn additional rewards.
Diverse earning opportunities
If you’re looking for simple yields, there’s plenty to find on Binance. You can also head into the decentralized world for more structured products and offerings. As always, make sure to do your own research before investing in a project or product.
For more information about WBETH, please refer to What is Wrapped Beacon ETH (WBETH)?.
Risk Warning: Digital asset prices can be volatile. The value of your investment may go down or up and you may not get back the amount invested. You are solely responsible for your investment decisions and Binance is not liable for any losses you may incur. APR is an estimate of rewards you will earn in cryptocurrency over the selected timeframe. It does not display the actual or predicted returns/yield in any fiat currency. APR is adjusted daily and the estimated rewards may differ from the actual rewards generated. Not financial advice. For more information, see our Terms of Use and Risk Warning.
