Binance’s Solana liquid staking token, BNSOL, has crossed a significant benchmark, with the total value locked (TVL) exceeding $1 billion. The announcement marks a significant milestone for the Binance-backed token, which now accounts for over 10% of the total market cap of all of Solana’s liquid staking tokens.
The rise of BNSOL can be attributed to several factors, but one of the most prominent has been the expansion of Solana’s ecosystem. The liquid staking ratio of Solana has witnessed an impressive surge, doubling in 2024 and reaching an estimated market valuation of $8 billion.
BNSOL’s popularity among Binance users is also a contributing factor to its success. Offering high returns and a wide range of applications, BNSOL has attracted over 4.8 million SOL stakes, further cementing its position as a key player in the liquid staking ecosystem. It holds the distinction of being the largest exchange-backed SOL liquid staking token, setting it apart from its competitors.
Jeff Li, Binance VP of Product, expressed his enthusiasm about BNSOL’s success, stating, “Surpassing $1 billion in Total Value Locked in just three months reflects the tremendous demand for BNSOL. The integration of BNSOL with various products on the Binance platform and DeFi Protocols has been a key driver of adoption for the token.”
The BNSOL token offers its users the opportunity to participate in trading, lending, liquidity farming, and collateral usage while benefitting from low gas fees and zero staking fees until the end of 2024. It is integrated with more than 20 Web3 projects and protocols, including Binance’s centralized exchange and Binance Wallet. Additional features such as annual percentage rate (APR) boosting events and super stake airdrops further increase its appeal.
Lily Liu, President of the Solana Foundation, praised the role of liquid staking in bridging the gap between Binance’s robust community and the dynamic on-chain ecosystems being built on Solana. “We look forward to more opportunities for our strong communities to collaborate,” she said.
Binance has made it clear that it intends to further bolster BNSOL’s position in the coming year. Through strategic developments and collaborations within the Solana ecosystem, Binance plans to integrate more protocols and introduce innovative use cases for BNSOL. This milestone is a testament not only to the potential of BNSOL but also to the growing relevance and influence of the DeFi ecosystem in the wider financial landscape.
