The Solana network’s liquid staking domain is witnessing a surge, highlighted by a **1.76%** rise in the liquid staking ratio over the last quarter. The count of Liquid Staking Tokens (LSTs) has impressively doubled, signifying a shift in the market dynamics, with the leading trio’s dominance dwindling from **93%** to **68.7%**.
**The Prime Mover:**
@sanctumso
The generous airdrop by
@jito_labs
has cast a spotlight on Solana’s liquid staking. The liquid staking ratio saw a **2%** uptick from Q4 2023 to Q1 2024.
Sanctum has emerged as a frontrunner. The debut of INF, Sanctum Router, and Sanctum Reserve, has…
— Tom Wan (@tomwanhh)
July 1, 2024
Sanctum’s roll-out of novel technologies and incentives has been pivotal in this upswing. The Jito Labs airdrop shone a light on liquid staking, propelling a **2%** leap in the liquid staking ratio from Q4 2023 to Q1 2024. The introduction of the Sanctum Router and Sanctum Reserve has eased market entry, setting the stage for a burgeoning era in Solana’s liquid staking arena.
**LSTs on the Rise:**
The tally of LSTs on
Solana
has soared to 53, nearly doubling since the last quarter. This expansion is nascent compared to the aspiration for thousands of LSTs, yet it signifies a crucial leap in the ecosystem’s growth.
Previously, a handful of major players dominated, akin to Ethereum’s scene where Lido commands a 70% market share. However, Solana’s landscape is evolving. Sanctum’s breakthroughs have paved the way for emerging high-caliber ventures like Helius Labs, Solana Compass,
Jupiter Exchange
, and Drift Protocol, disrupting the status quo and fostering a more varied and robust market.
**A Variegated Market Landscape:**
Lido has long reigned over Ethereum’s Liquid Staking Sector with a 70% market share. Pre-Sanctum, Solana’s market was shaping up similarly, with top LSTs (jitoSOL, mSOL, bSOL) holding **93%** of the market…
— Tom Wan (@tomwanhh)
July 1, 2024
Jupiter Exchange’s jupSOL has distinguished itself among the newcomers. It has eclipsed bSOL in market capitalization, boasting a total value locked (TVL) of **$329 million** and registering a **22%** growth in the last month. This surge is partly attributed to its alliance with Kamino Finance, where jupSOL has become the most favored LST, amassing **$220 million**, and offering the most lucrative annual percentage yield (APY) at **21%**.