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Liquid staking overview

why you should choose liquid staking over native staking

In our opinion, liquid staking shines in solving the protocol design problems of PoS networks:

Opportunity cost

With a fully liquid staking token, users can freely participate in DeFi and generate another layer of rewards on top of staking yields. Users don’t have to choose between staking or depositing their liquidity into an AMM, lending protocol, etc. They can do both!

Unbonding period

Since liquid staking tokens can be immediately swapped for their underlying staked assets, users don’t have to wait for the regular unbonding period to unstake their tokens.

Reliance on a single validator

Diversifying across multiple validators minimizes exposure and serves as slashing insurance against the malperformance of individual validator nodes. With Marinade's liquid staking solution, you can delegate your SOL to a multitude of validators rather than just one.