Solana LSTs market cap hits $7.5b

Solana’s ecosystem has experienced a significant surge in the supply of liquid staking tokens, with their total market cap reaching $7.5 billion, according to on-chain data.

Data from Dune showed that the total market cap of liquid staking tokens on Solana (SOL) spiked above $7.5 billion on Jan. 10. This growth came as leading LSTs — including Jito staked SOL, Binance staked SOL, and Marinade staked SOL — saw notable increases over the past week.

Among these, jitoSOL continues to lead with a 37.6% market share, bringing its total market cap to over $2.8 billion at the time of writing.

The bnSOL and mSOL liquid staking tokens account for 20.2% and 14.1% of Solana’s LST market share, with market values of $1.5 billion and $1.05 billion, respectively.

Other Solana LSTs with significant market caps include Jupiter’s jupSOL, Solayer’s sSOL, Bybit’s bbSOL, and Laine’s laineSOL.

Dune data also shows that the total market cap of staked SOL currently stands at $82.66 billion, which means the $7.5 billion value for liquid staking tokens gives an LST ratio of 9.07%.

However, despite the overall growth in market cap, the total value locked (TVL) in Jito and Marinade has declined by 19% and 15%, respectively, over the past month. In contrast, DeFiLlama data showed total value locked in Binance staked SOL has jumped more than 29% in the same period. Binance announced the launch of bnSOL in August 2024.

In the decentralized finance market, liquid staking protocols and their associated tokens are playing an increasingly important role. These protocols provide users with access to staking services, while LSTs offer tokenized representations of staked assets — in this case, Solana’s native token, SOL.

For example, users can stake SOL to receive an LST such as jitoSOL or bnSOL. These tokens can then be traded or utilized on other DeFi platforms, allowing holders to earn additional rewards while their underlying assets remain staked.