Binance, Bybit to Launch Solana Liquid Staking Tokens

Binance and Bybit are set to launch their proprietary Solana liquid staking tokens, BNSOL and bbSOL, via Sanctum.

What’s the scoop?

• Sanctum's Role: The tokens will be deployed through Sanctum, a platform for whitelisted validators to launch LSTs, which introduced Jupiter Exchange’s LST — JupSOL.
• Implications for SOL LST TVL: While Solana has more of its native token staked than Ethereum, it lacks in liquid staking. Ethereum has ~65% of its staked ETH in liquid form, while Solana has only ~6% in liquid staking tokens (LSTs). BNSOL and bbSOL could change this.

Bankless Take:

The launch of BNSOL and bbSOL via Sanctum marks a significant moment for Solana DeFi, potentially jumpstarting the expansion of Solana’s LSTs and marking further institutional interest in its ecosystem. This development also hints at a broader trend of major exchanges launching their own derivative assets. Following Binance and Bybit’s move with Solana, other exchanges like could follow suit – consider Coinbase's recent tease of their version of wrapped BTC (cbBTC) recently. While this trend can mean increasing capital in these ecosystems — a good thing — it is always important to remain wary of centralized actors pushing further into decentralized environments.