Users deposit ETH or liquid staking tokens (stETH, ETHx, etc.) into Kelp and receive rsETH, a liquid restaking token. The deposited assets are delegated to EigenLayer operators to earn restaking rewards on top of base staking yields.

Kelp DAO is a liquid restaking protocol built on Ethereum and EigenLayer. It enables users to restake their ETH and liquid staking tokens while maintaining liquidity through the rsETH derivative token. Kelp was launched in December 2023.

Kelp DAO (part of KernelDAO) develops and governs the protocol. The protocol charges a 3.5% fee on staking rewards (revenue), as set by protocolFeeInBPS in the LRTConfig contract. Kelp DAO's $9M private sale was co-led by SCB Limited and Laser Digital, with participation from Bankless Ventures, Hypersphere Ventures, Cypher Capital, GSR, and others.