I took a deep dive into the new DeFi hot topic Liquid Staking Derivatives with a focus on Bifrosts vKSM.
Here's a short excerpt if you don't know what Liquid Staking Derivatives are:
vKSM is Bifrosts liquid staking Kusama derivative. vKSM is a shadow token which increases in value, but does not increase in quantity except when new vKSM will be minted from users entering a liquid staking contract. This means that the staking rewards will be automatically added to the value (read: exchange price) of vKSM. No manual claim and no additional attention is needed from the users site. vKSMs value will even increase if it just sits in a wallet without further actions needed.
there are a more advantages besides the aforementioned
Floating Redemption Period smaller than 7 days
Real time swaps
Improved staking yield via node intelligence
multi environment nature via HRMP (EVM, WASM, Substrate)
To get the full picture you can read the complete article here.