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Solayer | Liquid Restaking on Solana

Enhancing Native Solana dApps through Solayer's Restaking System

11/2/2024

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Solayer enhances the concept of restaking on Solana by introducing a shared validator network. This network leverages the economic security provided by staking to strengthen Solana's base layer, allowing various protocols to benefit from a collective security infrastructure. Here's a breakdown of how Solayer optimizes endogenous Actively Validated Services (AVSs) for restaking:
  • Introduction to Restaking: Solayer's model of restaking involves users staking their Solana (SOL) or Liquid Staking Tokens (LSTs) into Solayer's vaults, which are then reused to secure other applications or services, known as AVSs. This process not only maximizes yields for stakers but also enhances the security of these applications by sharing the economic security of the Solana network.
  • Endogenous AVSs: These are on-chain services or applications on Solana that utilize the staked assets for securing block space and for prioritizing transaction processing. Solayer's approach to endogenous AVSs focuses on improving transaction inclusion rates and block space allocation based on stake, ensuring that higher staked entities receive better network performance.
  • Stake-Weighted Quality of Service (swQoS): This mechanism prioritizes how transactions are processed based on the amount of SOL staked. Entities with more stake get better performance, which is crucial for the efficiency and security of the network. This system is integral to how Solayer manages the distribution of network resources.
  • Restaking Process: Users engage in restaking by first converting their SOL into sSOL, a token managed by Solayer, which then can be further delegated or restaked into different AVSs. This process not only supports the staking yield but also allows for additional rewards through mechanisms like MEV (Miner Extractable Value) yields.
  • Delegation and Security Marketplace: Solayer acts as a marketplace where stakers, dApps, and validators interact. Users can delegate their stake to validators or directly to endogenous dApp AVSs, influencing how network security is distributed and managed. This delegation not only secures other applications but also dynamically adjusts based on network demands and stake amounts.
  • Benefits for Developers and Users: For developers, Solayer provides tools to create their own AVS LSTs, essentially allowing them to tap into Solana's staking yield while configuring their stake delegation for optimized performance. For users, this means potentially higher yields and more efficient use of staked assets across various applications.
  • Vision and Impact: Solayer aims to be the foundational layer for securing not just financial transactions but all forms of digital interactions on Solana, promoting a robust, secure, and economically efficient ecosystem. By optimizing how restaking works, particularly with endogenous AVSs, Solayer contributes to making Solana's network more secure, scalable, and user-friendly for both developers and users.
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— Bellalpz □□ (@bellaTLopez) October 7, 2024
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  • Home
  • My Twitter (X)
  • Highlighted Works
  • Market Data
  • Web3 Gaming
  • Contact
  • AMA
  • Ambassador | Content Creator | Crypto Influencer
  • Summary of Previous Works
  • Sparkball
  • Monad
  • Jupiter Exchange
  • Tron
  • How to Grow on X social media
  • Orderly Network
  • solayer
  • Crypto News | Airdrop and Tutorials
  • Twitter Highlights
  • Past Works on Web3 Gmes
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  • cryptocurrency basics
  • Discord Scams | Preventation
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  • JUP Planetary Call | Nov 8
  • twitter
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