When staking on the Social Escrow system of PSP, you are given two choices: Either a PSP-only staking option with sePSP1 or a liquidity-pool-based option with sePSP2, composed of PSP and the native gas token of the network you are staking in (such as ETH in Ethereum mainnet).

Thanks to these two options, users have either the option of simply staking PSP, or receiving a significant boost to their voting power by contributing to the token's liquidity. In addition to having higher voting power, sePSP2 is also boosted during the ParaBoost calculations. For more info about ParaBoost calculation, click here.