Overview
Ankr is a Web3 infrastructure company that offers both decentralized RPC node services and multi-chain liquid staking products. On the liquid staking side, Ankr provides staking derivatives across Ethereum (ankrETH), BNB Chain (ankrBNB), Polygon (ankrMATIC), Avalanche (ankrAVAX), and other networks, making it one of the broadest liquid staking providers by chain coverage.
The platform positions itself as a one-stop-shop for staking across multiple ecosystems. Users deposit native tokens and receive ankr-prefixed LSTs that represent their staked position plus accumulated rewards. These LSTs can be used in DeFi for additional yield.
Ankr's dual identity — infrastructure provider and liquid staking protocol — creates both opportunity and complexity. The RPC business generates revenue and positions Ankr as an infrastructure layer, while liquid staking targets DeFi users. However, this breadth means Ankr competes with specialized protocols on each chain (Lido on Ethereum, Benqi on Avalanche, etc.) without the depth of focus that specialists bring.
Smart Contracts
Architecture
Ankr's liquid staking uses chain-specific smart contracts adapted for each network's staking mechanism. On Ethereum, the architecture involves a staking pool, a reward-bearing token (ankrETH), and validator management contracts. On BNB Chain and other networks, similar patterns are adapted to each chain's consensus and staking requirements.
Code Quality
Ankr's contracts are open source and have been audited by multiple firms including Beosin and PeckShield. The multi-chain nature means the codebase is fragmented across different chains and programming languages. Maintaining code quality across so many deployments is inherently challenging compared to single-chain protocols.
Upgradeability
Ankr's contracts are generally upgradeable with team-controlled admin keys. The centralized upgrade authority is a concern, particularly given the protocol's past security incident. Governance controls over upgrades are less decentralized than top-tier protocols like Lido or Rocket Pool.
Security
Audit History
Ankr has undergone audits from Beosin, PeckShield, and other firms across its various chain deployments. However, the December 2022 exploit of ankrBNB on BNB Chain — where an attacker exploited a compromised deployer key to mint trillions of fake ankrBNB tokens — severely damaged the protocol's security credibility.
The ankrBNB Exploit
In December 2022, a former team member reportedly obtained the deployer private key and used it to upgrade the ankrBNB contract, minting 6 quadrillion fake ankrBNB tokens. The attacker drained approximately $5M through DEX swaps before the exploit was contained. The incident exposed critical key management failures and the danger of upgradeable contracts without proper access controls.
Track Record
The ankrBNB exploit is the defining security event. While Ankr compensated affected users and implemented improved key management (multisig controls, HSMs), the incident revealed operational security deficiencies. Post-exploit improvements are positive but the damage to trust is real.
Decentralization
Validator Set
Ankr operates its own validator infrastructure across multiple chains, supplemented by partnerships with professional node operators. The validator selection is centralized — Ankr controls which validators receive delegated stake. There is no permissionless validator onboarding mechanism.
Infrastructure Centralization
As both an infrastructure provider and liquid staking protocol, Ankr introduces concentration risk where infrastructure failures could affect both RPC services and staking operations simultaneously. The company is a centralized entity with standard corporate governance.
Governance
The ANKR token has governance capabilities, but protocol decisions are primarily made by the Ankr team. There is no established DAO structure comparable to Lido's or Rocket Pool's governance frameworks. The protocol operates more like a Web3 company product than a community-governed protocol.
Adoption
TVL & Usage
Ankr's total liquid staking TVL across all chains is approximately $500M-$1B, spread across multiple networks. No single chain deployment rivals the specialized leaders (Lido on ETH, Jito on SOL, Benqi on AVAX). The breadth of deployment is the value proposition rather than depth on any single chain.
DeFi Integrations
Ankr LSTs have integrations on their respective chains but generally have lower DeFi penetration than chain-specific leaders. ankrETH is accepted on some lending markets but trails stETH dramatically. ankrBNB has integrations on BNB Chain DeFi but adoption took a hit post-exploit.
Market Position
Ankr is a mid-tier player in liquid staking, differentiated by multi-chain breadth rather than dominance on any single network. This positions it as a niche option for users who want staking exposure across multiple chains through a single provider, but it lacks the network effects of dominant chain-specific protocols.
Tokenomics
Token Overview
ANKR is the utility and governance token with a total supply of 10 billion. The token is used for RPC service payments, staking, and governance. Dual utility across infrastructure and staking services provides some fundamental demand, but the token economy is complex.
Revenue Model
Revenue comes from two streams: RPC infrastructure services (pay-per-request model) and liquid staking fees (percentage of staking rewards). The diversified revenue model is structurally interesting but makes it harder to value either business independently.
Fee Structure
Ankr charges fees on staking rewards across its supported chains. Fee rates vary by chain but are generally competitive with alternatives. The RPC business provides additional revenue that supports protocol development and security improvements.
Risk Factors
- Exploit History: The December 2022 ankrBNB exploit, caused by compromised deployer keys, permanently damaged security credibility. The root cause was operational security failure, not smart contract logic.
- Multi-Chain Fragmentation: Maintaining security and code quality across 5+ chains stretches resources thin. Each chain introduces unique risks that specialized teams are better positioned to manage.
- Centralization: Ankr operates as a centralized company with no meaningful decentralized governance. Validator selection, upgrades, and key management are team-controlled.
- Competitive Disadvantage: Ankr competes against specialized leaders on every chain — Lido, Rocket Pool, Jito, Benqi — without the focus or depth of any of them.
- Key Management Risk: Despite post-exploit improvements, the centralized key infrastructure remains a single point of failure. The past exploit demonstrates the consequences.
- Limited DeFi Depth: Ankr LSTs have shallower DeFi integrations than chain-specific leaders, limiting their utility and liquidity.
Conclusion
Ankr offers a unique multi-chain liquid staking proposition combined with infrastructure services. The breadth of chain support is genuinely useful for users wanting diversified staking exposure, and the RPC business adds revenue stability.
However, the December 2022 ankrBNB exploit is a serious mark against the protocol's security credibility. The root cause — compromised deployer keys — points to operational security failures that are arguably more concerning than smart contract bugs. Combined with centralized governance, limited DeFi integrations, and competition from specialized leaders on every supported chain, Ankr faces an uphill battle for market share.
Ankr is best suited for users who specifically value multi-chain staking from a single provider and are comfortable with the centralized operational model. For users prioritizing security, decentralization, or deep DeFi integration, chain-specific leaders remain the better choice.