L2 Native Restaking
Overview
Renzo now enables native restaking on leading Layer 2 networks, beginning with Arbitrum and Base, with further expansion planned. Users can seamlessly deposit ETH, wETH, and wstETH on these L2s and receive ezETH using Renzo’s custom canonical bridge. This streamlined approach enhances liquidity, improves accessibility, and removes the challenges of conventional restaking and bridging.
Renzo's integration with Hyperlane, and Chainlink 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.
Benefits
Simplified User Experience: Native restaking eliminates the complexities associated with managing bridge transactions and fees, offering users a streamlined and user-friendly restaking 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.
Technical Details
There is a 7-day canonical bridge proof wait to verify that the ETH was burned on the L2.
Renzo collects a bridge fee and a variable time discount fee to compensate for the lost interest during this period, as the deposited asset is not actively restaked.
Gas fees and bridge proof costs are generally high, but Renzo streamlines and optimizes this process by batching transactions every 12 hours or whenever total deposits on a given chain reach 32 ETH. Additionally, a verification check runs every hour on each chain.
Cost Breakdown
Variable
Up to 5 basis points
Variable%
Up to 5 basis points (bps) for the bridge fee and a variable time discount fee for lost interest during the bridge transaction.
The bridge fee is 5 bps for deposits up to 32 ETH, with a maximum cap at that amount. This fee structure applies to all deposit assets, and the rate decreases beyond the 32 ETH threshold. Examples:
1 ETH: 0.0005 ETH fee (5 bps)
32 ETH: 0.0016 fee (5 bps)
64 ETH: 0.0016 fee (capped at the 32 ETH threshold, effectively 2.5 bps for this deposit)
Additionally, a variable time discount fee accounts for lost interest during the bridge transaction. This fee is based on staking yields and varies by asset Currently set to:
9 bps for ETH and WETH
4 bps for wstETH
Renzo can adjust the discount fee/variable fee as needed.
Restake Now!
Experience seamless and cost-efficient native cross-chain restaking on Renzo: https://app.renzoprotocol.com/restaking
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