AltLayer staking enters Phase II with Restaked ALT (reALT) Token
Hi Alters,
We’re thrilled to open up Phase II of AltLayer staking with the introduction of reALT, a.k.a the restaked ALT Token. This post outlines the purpose of reALT, and the benefits it brings to stakers and the AltLayer ecosystem.
The reALT token: All you need to know
reALT is short for the restaked ALT Token, an auto-compounding ERC20 share token that captures the ALT staking contribution of a holder and accumulates the compounding rewards earned. reALT token is issued to users staking ALT in the main staking pool.
Underneath reALT is a token named stALT, short for staked ALT token. stALT is an ERC1155 token that represents the staking contribution of the holder in the main staking pool. The stALT token can be manually converted to reALT token via the portal.
Once issued, reALT can be delegated to multiple LaunchPools associated with restaked rollups, such as the Xterio pool.
Regular snapshots of reALT balance will be taken and will be used to calculate future pool rewards.
How does reALT benefit stakers?
A few weeks ago, we announced the launch of Xterio MACH dual staking pool, where users could stake ALT in a staking contract alongside ETH and LSTs via EigenLayer to earn upcoming Xterio ecosystem rewards.
As we gear up towards several launches of restaked rollups in the coming months and therefore multiple Xterio-like pools, we want to ensure that users can simultaneously participate in more than one pool, eliminating the need to choose one. The ability to simultaneously participate in multiple pools allows for maximum exposure to other restaked rollup communities and incentives. Additionally, the new restaking design via reALT offers the following benefits:
- Auto-compounding of ALT staking rewards: This will happen on a weekly basis.
- Eliminates the need to unstake from the main ALT staking pool to participate in LaunchPools, therefore maximizing the APY from staking.
stALT and reALT for a seamless staking and restaking experience
Starting from Phase II, users will now stake ALT token in the main pool and get reALT token. The staking portal also includes a utility tool to convert stALT to reALT token.
The reALT token can then be delegated into different pools simultaneously. Instead of staking ALT tokens into the pools, users will now need to stake reALT to earn pool rewards.
Important Note Regarding Xterio LaunchPool
With Phase II, we will be changing the following parameters of the staking contract to accommodate seamless migration from Phase I to Phase II for Xterio launchPool participants:
For stakers to enjoy both the benefits of earning ALT + Xterio ecosystem rewards, we will deprecate the existing Xterio LaunchPool and encourage all users to migrate to a new reALT-powered Xterio pool. To ensure a seamless transition:
- Xterio LaunchPool (Phase I) will now have a 0 day cooldown allowing users to withdraw immediately and switch to Phase II.
- The staking portal will now enable opting into Xterio LaunchPool (Phase II) to earn Xterio ecosystem rewards via reALT vault.
- The system will continue to track TVL across both Phase I and Phase II Xterio LaunchPools for future rewards.
➡️ Here is a tutorial on how to migrate out of the Xterio pool ⬅️ https://docs.altlayer.io/altlayer-documentation/alt-staking/migration-from-xterio-legacy-alt-pool-to-xterio-restaked-alt-pool
Important Note Regarding ALT Staking
We had previously announced setting ALT staking pool’s cooldown period to 0 to allow stakers to swap from the main staking pool to any other MACH AVS pools (e.g., Xterio MACH). With the introduction of reALT, we will now be reinstating the cooldown period to 21 days. The cooldown period will be reintroduced 7 days after the launch of Phase II. The 7-day grace period will give enough time for stakers to act accordingly.
Summary
With the introduction of reALT, AltLayer is well on its way to engaging with and rewarding our ecosystem participants over the long term. reALT is the critical piece of the infrastructure puzzle that goes into securing our AVS-based restaked rollup product MACH. With Phase II of our staking program underway, expect more synergies with LaunchPool partners, more activity from stakers, and a big leap forward toward our MACH Alpha launch!
