# Staking Layer
On each chain, we have two different types of vaults: Stablecoin Vaults, which are used for staking stablecoins, and LRT/LST Vaults, which are for staking LRT/LST assets.
* Stablecoin Vaults are primarily used to store the stablecoins staked by users, and we refer to them as the "Golden Goosed"*.* Leveraging Cycle’s chain abstraction capabilities, we can easily identify outstanding DeFi and CeDeFi projects across various chains, enabling us to generate stable and high returns for users.
* LRT/LST Vaults are primarily used to store users’ staked LRT/LST assets, which we refer to as the "Ugly Duckling". While these assets carry a certain level of uncertainty, they have the potential to one day transform into a beautiful swan, delivering explosive returns for users.
In our protocol, the earnings generated from stablecoins are stored in the Stablecoin Yield Pool, while airdropped assets are stored in the Airdrop Pool. A portion of the earnings from the Stablecoin Yield Pool is distributed to LRT/LST stakers, and part of the assets in the Airdrop Pool is allocated to stablecoin stakers.
For stablecoin holders, we leverage Cycle’s capabilities to help them easily access high returns projects on multiple different chains. While ensuring stable yields, we also earn additional “Ugly Duckling” assets for stablecoin holders, providing them with the potential to achieve explosive returns. For LRT/LST holders, we generate stable returns for their LRT/LST assets, thereby partially balancing that risk. Additionally, since we provide a revenue stream for LRT/LST assets from partner projects, staked LRT/LST assets in our protocol will receive multiple points as rewards. This will help stakers secure more airdrop rewards in the future.
Finally, guess what? Whether you’re a stablecoin staker or an LRT/LST staker, everyone in our protocol will receive additional Cycle points, earning future Cycle airdrop rewards. We help all participants earn ***three*** distinct types of rewards!
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