Not long ago, Redacted launched a new partnership with our friends at Karak–an Ethereum restaking protocol. In this guide I’ll show you how to use Karak and of course, how to earn some extra yield with your apxETH.
Please note: This guide is not a recommendation and interacting with DeFi protocols can be risky. Please do your own research and use your best judgment. Best of luck out there!
Overviews
Before we start, let's go over all the details to make sure you're fully prepared.
What is apxETH?
Pirex ETH offers two tokens: pxETH, an ETH-pegged asset for users who want to pursue DeFi yield and apxETH (staked pxETH) for users who want to earn staking yield. pxETH is usually the asset integrated into various DeFi apps however, for leveraged looping it’s best to use a yield bearing asset like apxETH so users can amplify the underlying yield even further.
What is Karak?
Karak is an Ethereum restaking protocol that allows users to deposit Liquid Staking Tokens (LSTs), Liquid Restaking Tokens (LRTs), stablecoins, and even Pendle assets that can be used to provide security for other networks. In this tutorial, we’ll be restaking apxETH.
Obtaining apxETH
Before getting started, you’ll need to get your hands on apxETH. You can mint some here. The mint screen will provide you with two options:
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Mint pxETH with ETH
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Mint apxETH with ETH
As shown, select apxETH on the drop down menu. From there, simply input the amount of ETH you’d like to deposit and let the Dinero app guide you through the transaction process.
Earning with Karak
Karak makes restaking apxETH as easy as possible. To get started, navigate to the apxETH deposit page in the Karak dapp:
In the screenshot above, I’ve opted to deposit 0.024 apxETH. Click deposit, sign all the transactions, and you’re restaking!
Karak Rewards and BTRFLY Incentives
Over time you’ll begin earning Karak XP (to qualify for their airdrop) and BTRFLY incentives. The BTRFLY incentives will continue until 6/22 and at time of writing will give you an extra 20% APY on your ~10% apxETH staking yield – not bad at all.
The BTRFLY rewards are distributed at the end of every week within the Dinero dapp. Go to the claims page here, connect your wallet, and you’ll see your rewards once they’re distributed.
If you encounter any issues, open a support ticket in the Discord.