unshETH is a decentralized, on-chain initiative focused on strengthening validator decentralization. The goal of UnshETH is straightforward: achieve decentralization by using incentives.

Using incentive engineering, UnshETH seeks to spread capital throughout the LSD ecosystem in a way that puts validator decentralization first. LSDfi is a new category of DeFi building blocks created on top of liquid staking derivatives (LSDs), designed to support markets for staking returns, validator monopolies, slashing exposure, and even validator censorship.

LSDfi supports applications like validator decentralization mining, validator dominance options, interest rate swaps, yield speculation, and more accurate risk valuation. By leveraging the distinctive characteristics of liquid staking derivatives, these tools can also help promote fair competition among validators and limit attempts to capture control of the consensus layer.