Wrapped stETH
WSTETHA wrapped token, backed 1 to 1 by Lido Staked Ether.
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About Wrapped stETH
Analysis of 4 Feb 2026wstETH (Wrapped stETH) is Lido's non-rebasing wrapper for stETH, designed for DeFi composability where rebasing tokens are incompatible. Unlike stETH which automatically updates balances daily to reflect staking rewards, wstETH maintains a constant token balance while the value per token increases through accumulated staking yield at a 1.22x conversion ratio as of February 2026.
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As of February 4, 2026, wstETH has a market cap of $10.43 billion with 3.59 million tokens in circulation trading at $2,903, representing a share in Lido's $41 billion TVL (largest DeFi project on Ethereum maintaining 24-25% liquid staking market share). The token solves a critical DeFi integration problem: protocols like Aave, Uniswap, Curve, and most bridges cannot properly handle rebasing tokens. wstETH is fully backed 1:1 by stETH and can be unwrapped at any time, with staking rewards accruing at 2.84-3.5% APR (Ethereum staking yield increased as 30%+ of ETH supply now staked as of February 2026).
Following November 2025 Chainlink CCIP integration, wstETH is progressively deploying across 16+ chains, with major DeFi adoption validated by third-largest collateral position on Aave V3 accounting for two-thirds of liquid staking lending deposits.