Bitget, a cryptocurrency exchange, has partnered with Solayer, a Solana staking network, to launch liquid staking for Solana (SOL) using a new BGSOL token. This innovative service allows SOL holders to stake their assets while maintaining liquidity, enabling users to trade or lend their assets without locking them up.
With BGSOL, users can earn staking rewards while keeping their funds accessible for decentralized finance (DeFi) activities. This changes the concept of staking from the original format of locking up funds for a specific time. By keeping funds liquid, BGSOL provides greater flexibility for SOL holders to participate in trading, lending, and other DeFi opportunities while still earning staking rewards.
Also Read: Bitget Launches Investigation into Unusual BGB Token Price Movements
BGSOL Yield, Exchange Rate, and Redemption Details
Currently, the staking yield of BGSOL is around 8.15%, but it is subjected to periods’ conditions and the total participation of the Solana network. The value of BGSOL grows with time since, with staking rewards, the more tokens you have, the higher your gains. The ratio between SOL and BGSOL is also changed between 2-3 days so that there is no prejudice in the assessment of assets.
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Rachel Chu, co-founder of Solayer, commented, “BGSOL brings flexibility and innovation to Solana staking, and this is just the first step in building a blue-chip infrastructure on Solana.” They can exchange BGSOL for SOL at any time, and the process takes 4 days, depending on the network situation. However, staking rewards cease to be earned as soon as the claims process begins.
BGSOL and the Growing Trend of Liquid Restaking Tokens
BGSOL is added to the new generation restaking tokens list, similar to Binance’s BNSOL and Bybit’s bbSOL, which Solayer created. It is a model that incorporates staking and staking rewards with its operations, thus creating value for direct users and exchanges. The launch of BGSOL provides an opportunity to provide value to the DEFI ecosystem of Bitget while holding SOL; also, people can have liquidity and get rewarded.
This liquid staking model helps Bitget stay competitive, providing more opportunities within the growing DeFi ecosystem.
Also Read: The Rise of Cryptocurrency in Western Europe: Insights from Bitget’s Research
Maxwell Mutuma
Maxwell is a crypto-economic analyst and Blockchain enthusiast, passionate about helping people understand the potential of decentralized technology. He writes extensively on topics such as blockchain, cryptocurrency, tokens, and more for top publications such as Coingape, Coin Edition, and The Coin Republic. His goal is to spread knowledge about this revolutionary technology and its implications for economic freedom and social good.