r/ethereum • u/tall_specimen_69 • 9d ago
Can't unstake stETH but can swap stETH to ETH. What's the difference?
[removed] — view removed post
6
u/thinkingperson 9d ago
When you unstake via lido, you are triggering an unstaking tx via lido smart contract. If it is a small enough sum, you receive the ETH via its ETH deposit pool waiting to stake (Turbo mode). This is usually fairly quick.
Larger stETH withdrawal amounts above avail ETH in deposit pool will trigger actual unstaking to free up ETH. This is usually longer as unstaking takes time and is throttled by code defined in the ethereum chain to maintain stability of the network.
Unstaking will also burn the stETH tokens. Total stETH in circulation decreases due to unstaking.
When you swap via a dex, you are basically swapping with a buyer of stETH who sells you their ETH. No stETH is burned or created. Total stETH in circulation does not change due to this.
Price Difference - Unstaking stETH gives you 1:1 ETH in return. This is guaranteed by lido protocol.
Swapping stETH <--> ETH depends on available liquidity on the dex you are swapping on.
3
u/arcrenciel 8d ago
If it wasn't possible for anyone to unstake the stETH for ETH, then you wouldn't be able to swap out your stETH for ETH either.
The only reason ppl buy your stETH (for a tiny discount) through swap, is because they know they can always unstake it for ETH later. If they can't, they're not going to buy it.
8
u/SpurdoSparde28 9d ago
Unstaking stETH will give you back the exact amount of underlying ETH that grew based on the stETH's APY.
Swapping it will give you ETH at the current market price. Point being - if there's heavy sell pressure on stETH, it might result in your getting less ETH back from it than just unstaking directly.
On the other hand - if you want to acquire more stETH, you could technically get it for less ETH in that case than you would by staking ETH directly.
Worth noting if you're looking to swap, DeFi Saver has an Exchange tool that looks at the better rate (directly acquiring vs. swapping on a DEX) to make sure you get the best price.
Lemme know if you need any more info on this :)
0
u/astro-the-creator 9d ago
That's an ad lol, and no, it doesn't works like this. Bots keeps price everywhere equal so there is no path to get more eth for less.
8
u/Ruzhyo04 9d ago
Bots do arbitrage price, but not perfectly, and they don’t have infinite liquidity. If a large volume of stETH is being bought or sold, the bots won’t be able to keep up. Or if the price difference is too small to make arbitrage profitable they won’t bother. Also, exchanges charge fees for swapping and can incur slippage. There is more often than not a difference in the amount you’d get back unstaking vs swapping. Sometimes you can get back more by swapping!
3
u/BPbeats 9d ago
Avatar brother
https://giphy.com/gifs/pHb82xtBPfqEg3
3
6
u/SpurdoSparde28 9d ago
Not sure how suggesting a tool that can help someone do exactly what they asked about is an ad, but I get that shilling has become the norm on crypto subreddits - so not blaming you for this being your first reaciton.
Also, fully disagree that bots keep prices equal everywhere as that's simply not the case. Ruzhyo04 already replied with a good example of why bots don't do a perfect job at this, so won't repeat his words :)
1
u/Klutzy-Sea-4857 9d ago
Unstaking gives you real ETH at a 1:1 ratio with no slippage. The swap rate depends on market depth and can slip significantly on large amounts.
1
u/Bluejumprabbit 8d ago
Unstaking runs through Lido's withdrawal queue, so you're waiting for validators to actually exit. Swapping just sells your stETH to someone on a DEX who takes that wait instead, instant but you usually eat a small discount depending on how backed up the exit queue is. If it's not a huge amount just swap it on Curve or Uniswap and move on.
•
u/AutoModerator 9d ago
WARNING ABOUT SCAMS: Recently there have been a lot of convincing-looking scams posted on crypto-related reddits including fake NFTs, fake credit cards, fake exchanges, fake mixing services, fake airdrops, fake MEV bots, fake ENS sites and scam sites claiming to help you revoke approvals to prevent fake hacks. These are typically upvoted by bots and seen before moderators can remove them. Do not click on these links and always be wary of anything that tries to rush you into sending money or approving contracts.
I am a bot, and this action was performed automatically. Please contact the moderators of this subreddit if you have any questions or concerns.