> For the complete documentation index, see [llms.txt](https://docs.alcor.exchange/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.alcor.exchange/lsw-liquid-staked-wax.md).

# LSW- Liquid Staked WAX

**Liquid Staking**

<figure><img src="/files/9bKkNtfw6IVElUj4BtPY" alt=""><figcaption></figcaption></figure>

Liquid staking empowers users to stake native tokens without locking them, providing a liquid token for use in various DeFi applications. This paper introduces $LSW, aiming to revolutionize staking on the WAX blockchain.

**Benefits**

1. Liquidity and Flexibility: $LSW allows users to earn staking rewards while retaining the flexibility to trade or use staked assets instantly, eliminating the trade-off between staking for APR and engaging in DeFi activities.
2. Improved Network Security: Encouraging more token holders to stake enhances overall blockchain network security.
3. Capital Efficiency: $LSW provides a more capital-efficient solution for blockchain projects and DeFi applications, avoiding having to constantly claim WAX tokens and vote for a set of proxies or validators.

**$LSW Use Cases**

1. DEX LiquiditY: The WAX/LSW facilitates liquid staking and immediate access to locked fund from staking contracts.&#x20;
2. Lending: LSW as collateral in lending protocols “cough cough”
3. Staking Derivatives: Creation of staking derivatives such as stakers’ baskets and leveraged staking positions.


---

# Agent Instructions
This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com.

## Querying This Documentation
If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question.

Perform an HTTP GET request on the current page URL with the `ask` query parameter, and the optional `goal` query parameter:

```
GET https://docs.alcor.exchange/lsw-liquid-staked-wax.md?ask=<question>&goal=<endgoal>
```

`ask` is the immediate question: it should be specific, self-contained, and written in natural language.
`goal` is optional and describes the broader end goal you are ultimately trying to accomplish on behalf of the user. GitBook uses it to tailor the answer towards what is most useful for that goal.

The response will contain a direct answer to the question and relevant excerpts and sources from the documentation.

Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.