ybETH & vETH

What is ybETH?

ybETH is a yield bearing token powered by Veno Finance, backed by staked ETH. It increases in value as it accrues yield earned from ETH staking rewards. ybETH is deployed on Ethereum and can be bridged via any permissionless chain to other networks, including Cronos zkEVM.

Why ybETH

ybETH is an important building block of the elastic chain, as it embodies both the value of the staked ETH and the staking rewards earned. This enables seamless bridging of staked ETH across chains.

What is vETH?

vETH is a wrapper of ybETH on Cronos zkEVM. It splits the principle of ybETH from the yield, pegging its value 1:1 to ETH. This enables yield to be separately distributed to vETH holders. vETH can be used in place of ETH, where an ETH valued asset is desired, while continuing to earn ETH staking yield.

How to obtain vETH

Users can mint vETH directly from ETH on Ethereum using the Cronos zkEVM Bridge. This only requires a single transaction on Ethereum. Under the hood the ETH is deposited into ybETH, which is bridged to Cronos zkEVM and then wrapped into vETH.

How to obtain or redeem vETH

How to redeem vETH into ETH

Redeeming vETH back to the underlying ETH is a multistep process:

1. Redeem vETH for the underlying ybETH

2. Bridge ybETH to Ethereum

3. Withdraw ETH from ybETH

Note that ETH withdrawn from ybETH is unstaked and hence there is a waiting period. This waiting period can vary depending on the total demand for withdrawing staked ETH on Ethereum at that time. In most cases users should be able to claim their withdrawn ETH within a day or two, but we have observed periods in which withdrawals took up to 10 days. See the user guide for a step-by-step explanation (available soon).

How to get vETH rewards

Any address holding vETH earns yield in the form of additional vETH tokens. The yield earned can be viewed on the Missions page (available soon) . The yield will be made claimable some time after the public launch of the Cronos zkEVM network. Users will be allocated claimable yield on a weekly basis based on their average balance holdings. DeFi protocols that hold vETH can forward their yield to their users. If you are the developer of a DeFi protocol holding vETH please reach out if you need technical support for claiming yield.

How does ybETH & vETH earn yield

All ETH deposited into ybETH are staked within Kiln’s staking pool. Once a day the rewards earned from staked ETH are updated in the ybETH contract, increasing the exchange rate from ybETH:ETH. Whenever this exchange rate is updated, the vETH:ybETH rate is also updated accordingly on the vETH contract on Cronos zkEVM. Ensuring that vETH stays pegged 1:1 to ETH, while minting new vETH ready to be distributed as rewards.

Are there any fees on ybETH or vETH?

There are no fees on vETH. However, all staking yield earned from the ETH staked through ybETH is subject to a 12% commission, from which half given to the staking infrastructure provider Kiln and the other half to Veno.

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Contract addresses

• Cronos zkEVM Mainnet (Chain ID: 388) and Etherum Mainnet

Token Name	Symbol	Decimal	Contract Addresses
Veno ETH	vETH	18	Ethereum: n/a Cronos zkEVM: 0x271602A97027ee1dd03b1E6e5dB153eB659A80b1
Veno yield bearing ETH	ybETH	18	Ethereum: 0x76bf2D1e6dFda645c0c17440B17Eccc181dfC351 Cronos zkEVM: 0xf226a595b83056ff3D26b827e3d5b0896E4392a9

• Cronos zkEVM Sepolia testnet (Chain-id: 282) and Ethereum Sepolia Testnet

Token Name	Symbol	Decimal	Contract Addresses
Veno ETH	vETH	18	Ethereum Sepolia: n/a Cronos zkEVM Sepolia testnet: 0x8eb8f79CaB3A1c02F9A0Fc33A8E792625D6a240
Veno yield bearing ETH	ybETH	18	Ethereum Sepolia:0xF3DFc52db4604cbD6EdA747A70c82d7be122B545 Cronos zkEVM Sepolia testnet: 0xCb1f1cF58A8F6570933a8F3223208dF444127e71

For details of contracts and their interactions involved when bridging to and from Ethereum (L1 - $ETH) and Cronos zkEVM (L2 - $vETH ), visit this page.