From Liquid Staking to Crypto Neobank: How Etherfi Scaled with Veda

Etherfi started as a liquid restaking protocol. Today, it’s evolving into a crypto neobank where more than 500,000 members can save, spend, borrow, and trade digital assets and fiat through a single platform.

That transformation required more than launching new financial products. Etherfi needed infrastructure that could support new assets, yield strategies, and blockchain networks as its business expanded, without adding complexity for users or rebuilding its systems with every new product.

Etherfi first integrated Veda in 2024 to launch Liquid, a DeFi yield product that attracted $750 million in deposits within three months. Since then, the same vault infrastructure has supported Etherfi’s expansion into staking, payments, borrowing, and real-world assets, while enabling a major crosschain migration with zero downtime.

What began as a single yield integration became a foundational layer for Etherfi’s growing financial ecosystem.

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By 2024, Etherfi had become a leader in liquid restaking, with more than $5 billion in total value locked (TVL) and eETH integrated across over 80 DeFi protocols, including Aave, Morpho, Uniswap, and Pendle.

But while eETH gave users access to a growing ecosystem of yield opportunities, putting those assets to work remained complex. Users had to navigate multiple protocols and chains, each with different risks, transaction costs, and interfaces. Yield opportunities also shifted constantly, requiring active management to optimize returns.

For Etherfi, the challenge was twofold: make sophisticated DeFi strategies accessible through a simple user experience while building infrastructure that could support an expanding range of assets, strategies, and financial products.

Building that infrastructure in-house would mean developing and maintaining separate smart contract integrations, conducting security reviews, and managing strategies across protocols and chains. As Etherfi looked beyond liquid staking toward a broader financial platform, it needed a more scalable approach that wouldn’t divert engineering resources from building new products.

In March 2024, Etherfi launched Liquid using Veda’s BoringVault infrastructure, giving users a simpler way to access sophisticated DeFi yield strategies without navigating individual protocols themselves.

Through a single vault integration, Etherfi could allocate deposited assets across more than 12 DeFi positions spanning multiple protocols and chains. Users gained access to diversified yield opportunities through one interface, while Veda provided the underlying infrastructure to manage complex onchain interactions.

Modular Infrastructure for Secure, Flexible Yield

Veda’s modular architecture separates core vault functions into specialized components, allowing Etherfi to expand its yield offerings without rebuilding the underlying infrastructure.

• Teller: Manages deposits and withdrawals, with configurable share locks to help protect against MEV-related risks.
• Accountant: Calculates and publishes vault exchange rates within predefined safety limits.
• Manager: Restricts vault interactions to approved protocols, contracts, and operations.
• DecoderAndSanitizer: Validates transaction calldata to help prevent unauthorized interactions.
• Hooks: Enable additional controls, including address whitelisting and transfer restrictions.

Together, these components provide a flexible foundation for deploying new strategies while maintaining consistent security controls.

Self-Custodial by Design

Veda’s non-custodial architecture enables Etherfi to offer managed DeFi strategies without taking custody of customer assets.

Vault permissions restrict how deposited assets can be deployed, while a separate, time-delayed withdrawal queue manages exits without introducing additional complexity into the core vault. Integrated risk monitoring provides further oversight of Liquid’s underlying positions.

This allows Etherfi to simplify the user experience while preserving the self-custodial model central to its platform.

Built for Multichain Expansion

Veda’s infrastructure supports deployments across more than 20 blockchain networks, allowing Etherfi to expand into new ecosystems without building entirely new vault integrations.

That flexibility became particularly valuable in April 2026, when rising transaction costs on Etherfi’s original blockchain threatened the economics of its Cash card product.

Using Veda’s vault infrastructure, Etherfi migrated $220 million in assets, 300,000 accounts, and 70,000 active cards to Optimism in under three days, with zero downtime.

The migration demonstrated how Etherfi could adapt its infrastructure to changing business needs without disrupting customers.

One Integration, Multiple Products

As Etherfi expanded beyond liquid restaking, Veda’s infrastructure continued to support new products and use cases:

• Liquid: Simplified access to diversified DeFi yield strategies across protocols and chains.
• sETHFI: Extended Veda-powered vault infrastructure to staking Etherfi’s governance token.
• Etherfi Cash: Enabled users to spend stablecoins or borrow against vault holdings to fund card purchases.
• Real-World Assets: Supported Etherfi’s expansion into RWA yield through its partnership with Plume.

Rather than building separate vault infrastructure for every new product, Etherfi could reuse and extend its existing integration as its financial ecosystem grew.

What began as a single vault integration in 2024 has grown into a foundational component of Etherfi’s expanding financial ecosystem, supporting its evolution from a liquid restaking protocol into a crypto neobank.

The impact was immediate. Within three months of launching Liquid, Etherfi attracted $750 million in deposits from more than 26,000 users. Veda also helped deploy $190 million into decentralized exchange liquidity, strengthening eETH’s position as a leading liquid restaking token.

As Etherfi expanded its offerings, Veda’s infrastructure scaled alongside it. By August 2026, Etherfi had reached:

• 500,000 members, up from 300,000 accounts in April 2026.
• 150,000 active payment cards, more than double the 70,000 migrated to Optimism.
• $2 billion in annualized card spending, reflecting growing adoption of Etherfi Cash.
• $673 million deposited in Veda-powered vaults, across more than 34,500 active depositors.

Beyond these milestones, Etherfi has continued expanding into new financial services, including tokenized assets, crypto-backed borrowing, and fiat payment capabilities.

Throughout that evolution, Veda has provided reusable vault infrastructure that supports new products, assets, and blockchain networks without requiring Etherfi to rebuild its underlying yield infrastructure.

As Etherfi continues to grow, its partnership with Veda demonstrates how a single infrastructure integration can support an expanding financial platform, from its first yield product to a broader ecosystem of onchain financial services.

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