When users stake their tokens to secure a proof of stake network, their assets are usually locked up and cannot be used for other purposes. Liquid staking has emerged as a solution to this problem by providing users with a representative token in exchange for their staked assets. This representative token maintains the value of the original asset plus the accumulated rewards, and it can be used freely in other decentralized finance protocols. This means a user can earn staking rewards for securing the network while simultaneously using their liquid tokens as collateral for a loan or to provide liquidity in a trading pool. This effectively doubles the utility of the capital, making the entire financial system more efficient and attractive to investors. Liquid staking has quickly become one of the largest sectors in the crypto economy, as it removes the opportunity cost of staking and allows for more complex and profitable investment strategies.