FPROTOCOLOPEN CRYPTO ALLOCATION INFRA
← Back to Strategy Hub
YIELD+LOW-MIDETH+5%· Stable fundSemi✓ Verified

Staking & MEV

STAKING & MEV

Institutional ETH staking + LST liquidity arbitrage + cross-domain MEV — push ETH base yield (~3.5%) toward ETH + 5% via LST arb and MEV harvesting.

Target APY
ETH + 5%
ETH-denominated
Max drawdown
<5%
Excluding slashing black swans
Strategy capacity
20M+ USDC eq.
LST liquidity bound
Unbonding
~7 days
EIP-7251
POLICY FIT:KellyPolicyThreePoolPolicy

Transparency

SELF-REPORTED BY INTEGRATOR
SEMI-ON-CHAIN

Some execution / positions are on-chain (verifiable); the rest is handled by off-chain systems (signalled only via the reporter).

COMMUNITY VERIFICATION
✓ Verified

The F* protocol community has reviewed and confirmed the integrator's transparency claim.

LST balances (stETH/wstETH/weETH) are on-chain verifiable; MEV take-out requires an off-chain reporter.

2026-05-27

Rating

QUANTITATIVE METRICS

Sharpe
1.25
Sortino
1.32
Calmar
1.16
Max drawdown
-10.9%
Annual return
12.6%

HUMAN REVIEW (1-5)

Growth
★★★★★
Risk control
★★★★★
Transparency
★★★★★
Reviewers: K. Chen

Steady ETH-denominated yield with low maintenance overhead.

Last updated: May 31, 2026, 12:13 AM

ETH staking's base yield has slid from 4% in 2024 to ~3.5% in 2026 — but LST liquidity arb, cross-domain MEV, and re-staking (EigenLayer / Symbiotic) compress that loss back. Staking & MEV is a yield-enhancement sleeve for funds that hold ETH, without changing the directional exposure.

Base staking

ETH STAKING

Institutional validators (Coinbase / Figment / Kiln) · 0% commission baseline · slashing insurance

LST arb

LST ARB

stETH/wstETH ↔ spot ETH spread · weETH / re-staking layered yield · Curve / Balancer depth

MEV

MEV

MEV-Boost relay selection · MEV smoothing pool · Flashbots Protect RPC to avoid sandwich attacks

ETH+5%
Target APY
ETH-denominated
<5%
Max DD
Ex slashing
20M+
USDC-eq capacity
LST liquidity
7d
Unbonding
EIP-7251
POLICYFITSUGGESTED WEIGHT (BPS)NOTES
ThreePoolPolicy★ Recommended2000–3000B-pool ETH exposure + A-pool reuse
KellyPolicy★ Recommended1500–2500Stable-growth sleeve
Vendor Policy○ MountableCustomSuits ETH-native funds
Mapping to fund-vault modules

Staking & MEV is a low-turnover Allocation Engine adapter. totalAssets() includes LST balance + validator accrued rewards — reported daily by a keeper. The Risk Layer's EmergencyController can pause new staking immediately on a slashing event, pending governance review.

On-chain skeleton (developer reference)

StakingMevStrategy.sol is the only one of the 6 with baseAsset = WETH (not USDC). Deep-forking requires either cross-asset configuration on AllocationManager or extending Vault to support multiple baseAssets. The current fund-vault MVP supports single-USDC baseAsset only — that extension is on the roadmap.

For funds in setup: if LPs accept ETH exposure, Staking & MEV is a low-maintenance high-certainty yield sleeve (15–25% weight). If your fund is strictly USDC-denominated, this strategy currently requires bridging USDC to ETH externally — that adds non-conservative directional risk and should be evaluated carefully.

Backtest

Synthetic backtest · not historical · for path-shape demonstration only

NAV trajectory (1 year)

2025-06-01 → 2026-06-01
0.9631.0391.1151.1901.266max DD -10.9%2025-06-012025-11-302026-06-01
ANNUAL RETURN
12.6%
ANNUAL VOL
10.1%
SHARPE
1.25
SORTINO
1.32
MAX DD
-10.9%
CALMAR
1.16

Drawdown

0.0%-2.7%-5.4%-8.2%-10.9%

Simulator

100,000
Final NAV
1.2135
Final value
121,349USDC
Cumulative dividend
2,466USDC
Max drawdown
-3.9%

This simulator uses synthetic backtest data and is not investment advice; actual performance may differ materially.

ON-CHAIN SKELETON CONTRACT
fund-vault/src/strategies/StakingMevStrategy.sol ↗

Skeleton contract · undeployed · demonstrates the LST + MEV adapter integration surface

← Back to Strategy Hub