Liquidity depth per major asset
Liquid Collective (LsETH)'s assessment for RD-F-065 — scored yellow on the v1.7.0 rubric. The evidence below is the curator's reasoning for this score.
Evidence summary #
Secondary DEX liquidity is structurally thin for the TVS size. CoinGecko reports 24h trading volume of $4,205.85 across all venues (Uniswap V3, Aerodrome SlipStream, Kraken) for a $767M TVS protocol — less than 0.001% of TVS. The LsETH price at $2,724.57 implies a ~25% premium over spot ETH ($2,179.85), correctly reflecting accrued staking rewards in the non-rebasing model. Specific 2%-depth figures for LsETH/ETH pools are not obtainable (Dune 403, JS-rendered pool pages). The institutional distribution model means most LsETH is held in custodian accounts and redeemed natively via RedeemManager (FIFO queue), not via secondary DEX markets. In a stress scenario, secondary market liquidity would be severely insufficient to absorb forced selling at NAV. Yellow: thin secondary market is a structural design feature, not a protocol failure, but creates real exit risk for non-custodian LsETH holders.
Sources #
- DocsLiquid Collective — Deposits & Redemptions documentationRedemption mechanism — FIFO RedeemManager queue; redemption directly via protocol at conversion rate; secondary market not the primary redemption venueretrieved 2026-05-17
- CoinGecko — Liquid Staked ETH market dataCoinGecko LSETH — 24h volume $4,205.85, LsETH price $2,724.57, ETH price $2,179.85; primary exchange Kraken $3,491 volume, secondary Aerodrome SlipStream, Uniswap V3retrieved 2026-05-17
Methodology #
Measure on-chain liquidity depth for protocol-held assets at 2% and 5% price impact in USD.
See the full factor methodology and distribution across all protocols →