rETH is Rocket Pool's liquid staking token that lets you earn Ethereum staking rewards with as little as 0.01 ETH. Unlike traditional staking, rETH grows in value over time and works seamlessly in DeFi.
rETH Crypto: What It Is, How It Works, and Why It Matters
When you stake Ethereum, you help secure the network and earn rewards—but your ETH gets locked up. That’s where rETH, a liquid staking token issued by Rocket Pool that represents staked ETH with ongoing rewards. Also known as rocketPool ETH, it lets you keep using your staked ETH in DeFi while still earning staking rewards. Unlike locking ETH directly on the Ethereum beacon chain, rETH gives you flexibility. You can trade it, lend it, or use it as collateral—all without waiting for withdrawal periods.
rETH is built on Rocket Pool, a decentralized staking protocol that lets anyone stake ETH with as little as 0.01 ETH. It’s not a centralized service like Coinbase or Kraken. Instead, it uses a network of node operators who put up their own ETH as collateral to run validators. This makes rETH more trustless than other liquid staking tokens. The value of rETH grows over time because it’s pegged to the total ETH staked plus accumulated rewards. So if you hold 1 rETH today, you’ll get back more than 1 ETH when you redeem it later—because the rewards are baked in.
Why does this matter? Because traditional staking locks your funds for months. With rETH, you’re not choosing between earning rewards and staying active in DeFi. You can put your rETH into liquidity pools on Uniswap, borrow against it on Aave, or use it in yield aggregators—all while your underlying ETH keeps earning staking income. That’s why rETH is one of the most trusted liquid staking tokens in DeFi, especially for users who want to maximize their ETH without giving up liquidity.
But it’s not risk-free. If a Rocket Pool node operator gets slashed for misbehavior, your rETH could lose value. The protocol has insurance pools to cover this, but it’s still a layer of complexity you won’t find with centralized staking. And while rETH trades at a premium to ETH on most exchanges, that premium can shrink during market stress. It’s a tool for active users—not just passive holders.
Below, you’ll find real-world breakdowns of how rETH fits into DeFi strategies, how it compares to other liquid staking tokens like stETH and sETH2, and what happened when users tried to cash out during volatile periods. You’ll also see how it connects to broader trends like Ethereum’s shift to proof-of-stake and the rise of decentralized infrastructure. Whether you’re new to staking or already running nodes, these posts cut through the hype and show you exactly how rETH works—today.