# Using stSUI in DeFi

### Composability

stSUI is a standard Sui token. Any DeFi protocol that accepts Sui-native tokens can use it.

SUI in a wallet earns nothing. Staked SUI is locked. stSUI earns rewards *and* stays usable.

#### stSUI in AlphaFi LEND

<div data-with-frame="true"><figure><img src="/files/jxFyHD5AGTAWi43JdJRy" alt=""><figcaption></figcaption></figure></div>

stSUI is supported as collateral on AlphaFi LEND. Three options:

1. **Hold stSUI** — earn staking rewards passively
2. **Supply to LEND** — earn supply APR on top of staking rewards
3. **Borrow against stSUI** — use it as collateral to borrow other assets

Option 3 is powerful: borrow USDC against your stSUI, deploy the USDC elsewhere, and your stSUI keeps earning staking rewards the whole time.

See the [LEND](https://alphafi.xyz/) section for supply rates, borrow rates, and liquidation parameters.

#### stSUI in AlphaFi Strategies

<div data-with-frame="true"><figure><img src="/files/Z28DSQTjUomzpVBhV3TA" alt=""><figcaption></figcaption></figure></div>

stSUI is used in several Strategy vaults, including stSUI vault, stSUI–SUI CLMM vaults etc. The tight peg between stSUI and SUI keeps impermanent loss minimal.

These vaults layer trading fees and rewards on top of staking yield.

#### Other Sui DeFi

stSUI is integrated across the Sui ecosystem — DEXs, lending, yield aggregators.

#### Holding vs deploying

| Approach             | Yield                       | Risk                                |
| -------------------- | --------------------------- | ----------------------------------- |
| Hold stSUI in wallet | Staking only                | LST risk only                       |
| Supply to LEND       | Staking + supply APR        | LST + lending                       |
| Borrow against stSUI | Staking + leverage          | LST + lending + liquidation         |
| Strategy vaults      | Staking + LP fees + rewards | LST + vault + IL (where applicable) |

More yield = more risk. The right choice depends on your goals.


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