MoonPay Launches Solana Liquid Staking with 8.49% Yield
MoonPay Enters Solana Staking with New Liquid Staking Feature
MoonPay has unveiled its liquid staking program for Solana, enabling users to earn passive income on their SOL holdings. Launched on July 23, the new service offers an annual yield of 8.49% on staked SOL tokens. The announcement was made via MoonPay's official X account.
Simplifying Solana Staking
MoonPay aims to simplify staking while maintaining flexibility. Unlike traditional staking, which often locks up coins, MoonPay's liquid staking allows users to generate rewards without losing access to their funds.
Users who stake SOL receive mpSOL tokens, representing their staked SOL position. These mpSOL tokens can be traded or used in other DeFi initiatives, allowing users to utilize their assets while earning rewards.
Staking rewards are distributed every 48 hours, providing quicker returns compared to typical staking periods. There are also no lock-up periods, enabling users to unstake their SOL at any time. This approach mirrors a savings account, enhanced by blockchain benefits.
MoonPay's service is available in over 100 countries, excluding the European Economic Area and New York. Users can start staking with as little as one dollar, making it accessible to a broad audience.
This launch positions MoonPay alongside existing Solana liquid staking platforms like Marinade and Jito. However, MoonPay differentiates itself by prioritizing simplicity, aiming to serve users who may not be crypto-savvy. Its user-friendly interface simplifies the staking process to just a few taps.
Blending Traditional Finance with Blockchain
MoonPay CEO, Ivan Soto-Wright, stated that the goal is to provide a staking experience akin to a traditional savings account. He believes blockchain technology can offer higher returns while simplifying the user experience, catering to both newcomers and seasoned retail investors.
MoonPay holds a BitLicense in New York State, enhancing trust with regulators and customers. This license allows them to operate in various parts of the U.S.
This new staking feature highlights the continued expansion of the Solana ecosystem, with more companies offering opportunities for passive income with flexible funds. This trend appeals to both retail and institutional investors.
MoonPay's new product reflects the increasing trend of companies merging traditional finance concepts with blockchain technology. As more individuals seek higher returns, convenient staking solutions like this are likely to gain traction.
Overall, MoonPay's initiative demonstrates efforts to simplify DeFi services and make them accessible to a wider audience, empowering more individuals to earn income from their crypto assets without sacrificing control.