LST as Collateral

stZBU is a Liquid Staking Token (LST) that represents staked ZBU on the Zeebu Protocol. When a user stakes ZBU on Zeebu, they provide security and validation services for the network, earning staking rewards in the process. In return, they receive stZBU tokens, which reflect both the initially staked ZBU and any accrued staking rewards over time.

Nexus Money Market allows users to further leverage their staked assets by depositing stZBU as collateral. This lets users earn staking rewards and, at the same time, unlock additional lending and borrowing possibilities within the protocol.

Benefits

Continuous Staking Rewards
- By holding stZBU, you are automatically entitled to the staking rewards generated on Zeebu. There is no need to manually claim or re-stake; the value of stZBU will reflect the accumulated yield.
Enhanced Capital Efficiency
- Instead of leaving your staked ZBU idle, you can deposit stZBU into Nexus to unlock liquidity. Borrow stablecoins or other crypto assets against your stZBU collateral without stopping your staking rewards.
Flexibility & Liquidity
- stZBU can be transferred or traded if desired, offering more flexibility compared to traditional locked staking methods. With Nexus, users retain exposure to ZBU price movements and staking yields while having the option to borrow against their collateral.

Use Cases

Boosted Yield Opportunities
- Earn staking rewards on Zeebu while also gaining lending APYs on Nexus (if you supply stZBU to the market). This two-tiered approach can significantly improve your overall APY.
Borrowing Against stZBU
- Use stZBU as collateral to borrow stablecoins (e.g., USDC) or other tokens. This borrowed capital can be reinvested to further enhance your DeFi strategies, such as adding more liquidity to DEX pools or acquiring additional ZBU for staking.
Portfolio Diversification
- Maintain your exposure to ZBU’s staking yield while using borrowed assets to explore new market opportunities, hedge risk, or simply hold stablecoins.

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Last updated 1 month ago

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Benefits

Continuous Staking Rewards

By holding stZBU, you are automatically entitled to the staking rewards generated on Zeebu. There is no need to manually claim or re-stake; the value of stZBU will reflect the accumulated yield.

Enhanced Capital Efficiency

Instead of leaving your staked ZBU idle, you can deposit stZBU into Nexus to unlock liquidity. Borrow stablecoins or other crypto assets against your stZBU collateral without stopping your staking rewards.

Flexibility & Liquidity

stZBU can be transferred or traded if desired, offering more flexibility compared to traditional locked staking methods. With Nexus, users retain exposure to ZBU price movements and staking yields while having the option to borrow against their collateral.

Use Cases

Boosted Yield Opportunities

Earn staking rewards on Zeebu while also gaining lending APYs on Nexus (if you supply stZBU to the market). This two-tiered approach can significantly improve your overall APY.

Borrowing Against stZBU

Use stZBU as collateral to borrow stablecoins (e.g., USDC) or other tokens. This borrowed capital can be reinvested to further enhance your DeFi strategies, such as adding more liquidity to DEX pools or acquiring additional ZBU for staking.

Portfolio Diversification

Maintain your exposure to ZBU’s staking yield while using borrowed assets to explore new market opportunities, hedge risk, or simply hold stablecoins.