L2 Native Restaking

Overview

Renzo's integration with Everclear (previously known as Connext), Hyperlane, and Chainlink's Cross-Chain Interoperability Protocol (CCIP) facilitates true cross-chain Native Restaking, ensuring a seamless user experience. This collaboration brings Renzo cross-chain Native Restaking to layer 2 networks. Renzo uses the industry-standard decentralized oracle Chainlink as its primary oracle, which provides highly secure and reliable, tamper-resistant data feeds. Chainlink oracles are used across various networks, including Ethereum, Linea, Base, Arbitrum, and OP Mainnet, to price stETH on deposits and to feed prices to all our L2 deployments.

ETH/wETH holders can now restake on leading layer 2 chains partnered with Renzo, enhancing liquidity and accessibility, while mitigating the complexities associated with traditional restaking methods. In the future, Renzo with Connext will also support LST restaking on layer 2s.

Here's how it works:

• User Interaction: Initiate the process by sending ETH/wETH into the xRenzoDeposit contract on L2

• Minting $ezETH: The xRenzoDeposit contract mints $ezETH tokens and converts ETH/wETH deposits into nextETH.

• Distribution to User: The minted $ezETH tokens are sent back to the user.

• Bridge Trigger: Periodically, the xRenzoDeposit contract triggers a bridge transaction through Connext. This action sends all deposited ETH/wETH to the xRenzoBridge contract on Ethereum mainnet.

• Bridge Deposit: The xRenzoBridge contract's bridgeDeposit() function unwraps the received nextWETH to ETH and deposits it into the RestakeManager.

• Wrapping $ezETH: The RestakeManager then sends the minted $ezETH tokens to the Lockbox contract to be wrapped.

• Minting $ezETH: The Lockbox contract mints $ezETH tokens on the layer 2 in exchange for $ezETH on the layer 1.

• Burning $ezETH: The xRenzoBridge contract receives the $ezETH tokens and burns them.

• CCIP Integration: Periodically, the xRenzoBridge sends the current price of $ezETH to ETH using Chainlink's CCIP. This ensures up-to-date pricing information for the $ezETH token.

Cost Breakdown for Cross-Chain Native Restaking with Everclear (Connext)

Gas to Run Tx	Bridge Fee	Bridge Gas Fee	Slippage to Convert
Variable	5 basis points	5 basis points	Variable %

Example: User deposits 1 ETH, slippage is incurred to convert the ETH/wETH to nextWETH. A fee of 0.0005 ETH (5 basis points) is deducted to pay bridge fee. An additional 5 basis points bridge gas fee or .0005 ETH will be deducted, this fee is used to pay the bridging gas fees to deposit on the L1.

Deposits may experience slippage, calculated based on the quantity of ETH or wETH deposited into the bridge deposit contract. Gas savings may cover the entirety of the slippage amount, depending on the deposit amount.

Native Restaking Benefits:

• Simplified User Experience: Native restaking eliminates the complexities associated with managing bridge transactions and fees, offering users a streamlined and user-friendly staking experience.

• Lower Transaction Costs: By restaking directly from layer 2 networks or EVM-compatible layer 1 chains, users benefit from significantly lower transaction costs compared to traditional Ethereum mainnet transactions, enhancing accessibility and participation.

Restake Now!

Experience cost-efficient native cross-chain restaking on Renzo.

Chain	Bridge Link	Smart Contracts
Arbitrum	https://app.renzoprotocol.com/bridge	Arbitrum
Base	https://app.renzoprotocol.com/bridge	Base
Blast	https://app.renzoprotocol.com/bridge	Blast
BNB Chain	https://app.renzoprotocol.com/bridge	BNB Chain
Mode	https://app.renzoprotocol.com/bridge	Mode
Linea	https://app.renzoprotocol.com/bridge	Linea
Fraxtal	https://app.renzoprotocol.com/bridge	Fraxtal
Zircuit L2	https://app.renzoprotocol.com/bridge	Zircuit L2
Swellchain	https://app.renzoprotocol.com/bridge	Swellchain
Berachain	https://app.renzoprotocol.com/bridge	Berachain
Unichain	https://app.renzoprotocol.com/bridge	Unichain