wstETH deployment on Swellchain

Introduction

Swell proposes the deployment of wstETH (Wrapped liquid staked Ether 2.0) to Swellchain, with the ultimate goal of the recognition of the wstETH bridging components by the Network Expansion Committee.

1. Swellchain’s Rapid Growth and Ecosystem

Swellchain operates as a restaking-focused Layer 2 network built on the OP Stack. The network extends Ethereum security through EigenLayer restaking while leveraging OP stack-proven infrastructure for transaction processing and scalability. Since its launch in mid-December 2024, it has achieved over $250M TVL; with product deployments on other chains such as rswETH on Ethereum attaining over 65,000 restaked ETH. Multiple initiatives are underway to scale this further such as the suggested one in this proposal.

Reference: DeFiLlama Rankings | L2Beat Rankings | Dune Dashboard | Swell website

2. High Demand for wstETH

Lido stETH is the most well-established and integrated LST. Naturally, ecosystems such as Swellchain and the OP superchain at large have significant demand for wstETH through DeFi, notably, projects like Ambient and Euler that are natively deployed to Swellchain have actively hosted wstETH liquidity across multiple L2 networks, and would like to expand this support for wstETH adoption to Swellchain as well.

3. Canonical Bridge for wstETH

The best approach for deploying wstETH on Swellchain is through the use of the canonical bridge. Since Swellchain is fully compatible with Optimism Bedrock contracts. The Swell team has taken the initiative to deploy wstETH to Swellchain using the same open-source solution used for the Optimism deployment (GitHub - lidofinance/lido-l2). Importantly, the management of the wstETH bridging components is designed to be performed by the Lido DAO on-chain contracts. Therefore, we propose that the NEC formally recognize the wstETH bridging components mentioned and detailed below.

Audits

UI

Deployment artifacts and levers setup:

Deployments on Mainnet (L1) and Swellchain (L2):

Links

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