Eversol Liquid Staking on Solana
- facilitate and boost the growth of the DeFi and Solana ecosystem;
- increase network safety, integrity, and decentralization;
- promote censorship resistance;
- ensure staking process simplicity for the end-user: we'll handle everything, from the stake account management to validators selection and automated rebalancing;
- provide a liquid asset minted for each staked SOL token, to extend the range of possibilities for the delegators to profit off.
The main Eversol mission is to assist Solana ecosystem growth by supporting financially the projects carefully selected by the community, through the DAO Governance.
Eversol stake pool is built using the standard Solana contract, but we want it to be special – different from existing pools like Marinade, Lido, Socean, etc. That is why we dedicate the percentage of the pool rewards to the stake pool's Treasury. Also, we will help with co-marketing activities, useful business contacts, technical expertise, and consider the most voted project as a recipient of funding from Everstake Capital.
EVS DAO operates the Treasury and decides on the funds' distribution. The DAO fund is used to finance the co-marketing activities with the most inspiring projects being developed on Solana, to support the ecosystem growth. Each delegator can vote for Solana projects selected by DAO with the pool’s Governance token (EVS), which is earned through staking.
Submit the project based on Solana that you find promising, through the form on the Eversol website. The form lists a few criteria for the candidate projects to avoid scammy ones.
The APY of the pool is calculated according to the formula and is not affected by this allocation. When the delegator unstakes, the eSOL-SOL conversion happens based on the current Rate of Exchange and the APY of the pool.
The delegator receives LP tokens and gets an opportunity to stake LP tokens into other lending protocols to earn additional rewards. In this way, delegators can unlock the full profit potential of the Solana DeFi ecosystem while earning staking rewards.
As of 19 Oct 2021, 78% out of 506M SOL in circulating supply was staked. The majority of that staked SOL sits idle (due to the illiquid nature of delegating to a validator). However, if it is instead staked to a stake pool, the liquid stake pool token received from the stake pool can be utilized in the DeFI network to generate additional rewards for the delegator.
To achieve that, Eversol Stake Pool mints eSOL tokens that represent pool ownership in SOL staked at Eversol liquid staking protocol. Obtained eSOL tokens can be used in several ways, from unlocking liquidity instantly to providing liquidity for AMMs.
For a single user, it is not convenient to manage many staking accounts across multiple validators, hence they choose the simplest method by staking directly to one validator. As a result, the majority of the stake gets concentrated among a small group of validators.
As of the 24th of October 2021, the Solana network was supported by 1200 validators (including delinquent), whereas 33.3% of the total stake is controlled by 19-20 validators only. These validators could theoretically censor the network if they colluded.
Eversol stake pool aims to improve decentralization by spreading SOL stake across smaller validators.