How Does Stakee Work?

Liquid Staking|Risk B|5 mechanisms|4 interactions

Stakee is a liquid staking service on the TON blockchain that lets you stake TON coins and receive STAKED tokens in return. It uses the official TON Foundation liquid staking smart contracts, which have been audited and manage over $200M across all TON staking providers. With $13M TVL, Stakee is one of several TON liquid staking options competing on yield and user experience.

TVL

$27M

Sector

Liquid Staking

Risk Grade

B

Value Grade

D-

Core Mechanisms

3.4.2

STAKED token on TON representing staked TON coins; reward-bearing with value appreciation as validator rewards accrue

Standard reward-bearing LST using official TON Foundation liquid staking contracts

3.3.2

Pooled delegation via TON Foundation smart contract; staked TON distributed across validator set

Uses official TON liquid staking pool contract for validator delegation

3.1.1

Pro-rata distribution of TON validator rewards to STAKED token holders through exchange rate appreciation

Standard pro-rata reward model inherited from TON PoS consensus

3.2.1

TON validator slashing for misbehavior; losses reflected in STAKED token exchange rate

Inherited from TON L1 slashing mechanism

2.1.2

Staking service fee taken as percentage of validator rewards before distribution to STAKED holders

Standard LST fee model where protocol takes commission from staking yield

How the Pieces Interact

Pooled delegation (3.3.2)Validator slashing (3.2.1)Medium

Slashing of a validator in the pool affects all STAKED holders proportionally; users cannot opt out of specific validators

Reward-bearing LST (3.4.2)Pooled delegation (3.3.2)High

Exchange rate depends on correct accounting of rewards across pooled validators; smart contract bug could misreport accumulated rewards

Pro-rata rewards (3.1.1)Fee model (2.1.2)Low

Fee extraction reduces effective yield, potentially making staking through Stakee less attractive than direct validation or competing LST providers

Reward-bearing LST (3.4.2)Validator slashing (3.2.1)Medium

Sudden slashing event could cause STAKED token depeg on secondary markets before exchange rate updates

What Could Go Wrong

  1. Stakee is a frontend wrapper around TON Foundation liquid staking contracts — protocol-specific risk assessment is limited by the thin operational layer
  2. TON liquid staking contracts manage over $200M in aggregate, but Stakee's specific validator selection and operational practices are not publicly documented
  3. Limited documentation beyond basic staking guides makes it difficult to assess Stakee-specific operational risks vs generic TON staking risks

TON Liquid Staking Contract Vulnerability

Tail

Trigger: A critical vulnerability is discovered in the TON Foundation liquid staking smart contracts that Stakee relies on

  1. 1.Exploit discovered in TON liquid staking contract Attacker drains staked TON from the pool or manipulates exchange rate
  2. 2.STAKED token price crashes on DEXs Holders rush to redeem but contract may be paused or drained
  3. 3.Other TON LST protocols using same contracts are also affected Contagion across TON liquid staking ecosystem ($200M+ at risk)
  4. 4.TON Foundation responds with emergency patch Funds that were not stolen may be recoverable, but trust damage is severe

Risk Profile at a Glance

Mechanism Novelty0/15
Interaction Severity3/20
Oracle Surface2/10
Documentation Gaps4/10
Track Record9/15
Scale Exposure3/10
Regulatory Risk3/10
Vitality Risk3/10
B

Overall: B (27/100)

Lower score = safer

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