Puffer Finance launches the third phase of its marketing campaign, rewarding users for providing liquidity with pufETH.

LRT, a token project with liquidity mining, has become a focus in the market, with major projects launching marketing campaigns one after another. Meanwhile, Puffer Finance has entered the third phase of its marketing campaign, Crunchy Carrot Quest, where users can provide liquidity on third-party platforms like Curve with pufETH/wstETH to earn more points.

This article does not constitute investment advice.

Puffer Finance Phase 3 Marketing Campaign

The Puffer Finance protocol is still under development due to its significant differences in design architecture compared to competitors. However, in order to seize market share, a pre-marketing campaign has been launched, and today it was announced that the campaign has entered the third phase out of a total of five.

Campaign Details

The third phase of the Puffer Finance campaign encourages participants to provide liquidity in decentralized exchanges by staking their token pufETH, which includes platforms like Curve, Uniswap, and Pancakeswap.

For every pufETH/wstETH liquidity provided, users can earn 60 Puffer Points per hour.

On the other hand, users staking LRT tokens such as stETH will earn more points over time. For example, holding 1 pufETH allows users to earn 30 Puffer Points per hour.

Current Status of the Campaign

With the accumulation of over 350,000 ETH, approximately 1.1 billion USD, through the previous two stages of the marketing campaign, Puffer Finance now ranks as the second-largest protocol in the LRT sector.

Currently, around 200,000 wallet addresses are participating in the Puffer Finance campaign. Interestingly, the wallet with the highest points is owned by Sun Yuchen, the founder of Tron, who has staked over 250,000 stETH tokens.

LRT Projects Launch Marketing Campaigns to Attract Funds

In addition to the current Puffer Finance marketing campaign, competition in the field of liquidity staking has intensified. Ether.fi announced the upcoming launch of tokens, Kelp DAO offers additional points for staking the first 200,000 ETH, and Renzo introduces Binance investments and endorsements, using various marketing strategies to gain market share during this chaotic period.

Becoming a Recent Market Focus

The top ten liquidity staking projects include Ether.fi, Puffer Finance, Kelp DAO, Swell, among others. Recently, the Total Value Locked (TVL) has increased across the board, even during the period when EigenLayer closed the window for staking LST tokens, allowing only ETH deposits. This fervor indicates the market's enthusiasm for liquidity staking and related marketing activities.

Recommended Reading: Understanding the Opportunities and Risks of Liquidity Restaking Token (LRT) Projects
Reason for recommendation: This article provides a quick and comprehensive overview of what liquidity restaking projects are, their relationship with EigenLayer, and a list of the current mainstream staking projects in the market.

Market Risks Increase

However, it's important to note that due to the design of most LRT contracts, even staking during off-peak hours on Ethereum could cost around $25 to $40 in gas fees. Projects do not guarantee any returns, so users need to carefully assess their participation capabilities.

Additionally, most tokens staked in liquidity staking projects cannot currently be withdrawn and require waiting for further information and updates from the team and EigenLayer. As the protocol's funds continue to grow, the risk of asset security also increases, and with the rise in market opportunities, the number of fraudulent teams looking to scam participants also increases. It is crucial to approach such activities with caution.

This article does not constitute investment advice.