Binance’s BNSOL Gains Ground in Solana’s Liquid Staking Market
Binance’s BNSOL is making waves in Solana’s liquid staking market. Just six months after its launch, BNSOL has secured a 21.4% market share. This translates too 8.4 million staked SOL, valued at $901 million. BNSOL now ranks second, trailing only jito, which holds 42.7% of the market.
Several factors contribute to BNSOL’s rapid growth.Its seamless integration with Binance’s ecosystem is a key driver. Users can access BNSOL through Binance’s centralized exchange and wallet, earning staking rewards while keeping thier assets liquid. BNSOL can be used for trading, lending, and as collateral, all without unstaking SOL.
The popularity of liquid staking on Solana is also on the rise. According to Blockworks, the liquid staking ratio has climbed to 12.8%, double the previous year’s figure. However, the overall staking ratio remains at 62%, signaling investor confidence in Solana.
Despite these gains, both liquid staking TVLs and Solana’s price have seen a decline since January. BNSOL’s TVL has dropped from a peak of $2 billion. This decline mirrors Solana’s broader price correction, with SOL falling 63% from its January high of $294.33.
While liquid staked tokens offer versatility, customary staked SOL tokens require a lock-up period to earn rewards. This lock-up reduces the circulating supply, possibly boosting SOL’s price.
