onETH is a ETH stablecoin backed by ETH Liquid Staking tokens, named aETHc (Ankr Rewward-Bearing Staked ETH) and aETHb (Ankr Reward-Earning Staked ETH).

onETH's minting & redeeming ratio

To mint or redeem 1 onETH, it is required to deposit 1 ETH worth of aETHc or 1 ETH worth of aETHb.

  • aETHc is a reward-bearing token and as such, its fair value is superior to 1 ETH (e.g. 1 aETHc = 1.0478 ETH as of 08.10.2021). For example, if you would have deposited 1 aETHc in onETH's onVault on 08.10.2021, you would have gotten 1 / 1.0478 onETH = 0.9544 onETH.

  • aETHb is a reward-earning token, so 1 aETHb should be equal to 1 ETH as staking rewards are made available through rebasing (balance of aETHb increases daily in the user's wallet)

The fair price of aETHc and aETHb can be seen on

The minting/redeeming ratio is defined according to aETHc or aETHb's fair value vs. ETH as indicated above.

onETH's minting & redeeming fee

The minting & redeeming fee is charged in onStable token (ONS) and is set dynamically depending on the balance of aETHc and aETHb within onETH's onVault.

A minting block is set when one single token composes 90% of onETH's onVault, and a redeeming block is set on one single token composes 10% of onETH's onVault.

The minting/redeeming block and fee structure is made in a way to make sure that onETH's onVault collateral (aETHc & aETHb) is properly balanced, ensuring that onETH maintains collateral of high quality while reducing the influence of aETHc and aETHb's market conditions.

Percentage of Collateral Tier 1

Minting fee (ONS)

Redeeming fee



No redeeming

















No minting


onETH collateral

onETH in circulation are fully backed by the same amount of aETHc and aETHb deposited in onStable's onVault, and is composed as the following:

  1. Staked ETH, represented by aETHc and aETHb liquid staking tokens.

  2. ETH staking rewards from aETHc and aETHb, which make onETH's collateral grow over time.

  3. ONS token charged as minting & redeeming fee is kept as onETH's collateral.

  4. aETHc and aETHb will eventually be farmed in the future, adding farmed tokens as additional collateral for onETH.

To easily track the collateral quality of onETH, there are two relevant ratios that can be tracked

  • onETH Tier 1 collateral ratio = Fair value in ETH of aETHc and aETHb in onVault / onETH in circulation

  • onETH Tier 2 collateral ratio = (Fair value in ETH of aETHc and aETHb in onVault + ONS and any other farmed tokens in onVault) / onETH in circulation

When onETH's onVault manages to receive yield to an extent that the collateral ratio is superior to 110% of onETH in circulation, the collateral surplus will be distributed to onETH lending supply and onETH liquidity providers. The exact amounts are expected to be decided by ONS token holders through governance.

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