MarginFi Launches 'Staked Collateral' Feature Using SOLs

Published: January 30, 2025|Last updated: January 30, 2025

MarginFi has launched a "staked collateral" feature
It allows to post SOL as collateral and access SOL liquidity

MarginFi, the DeFi lending protocol on the Solana blockchain, announced the launch of the "staked collateral" feature. Users can now post their natively staked SOL as collateral and access SOL liquidity.

More About Staked Collateral From MarginFi

LSTs have become an important financial tool for many who want to be rewarded for staking their tokens. However, this involves freezing your tokens for better rewards and others following inconveniences.

MarginFi announced their solution to this by introducing their new “staked collateral” feature, which allows users to post their natively staked SOL as collateral and access SOL liquidity.

"This changes everything for stakers. No more choosing between optimal staking rewards and capital efficiency. Secure the network, lock in the best rates for your SOL, and access margin with Staked Collateral."

This does not require LSTs or unstaking, only requires validators to set up a pool to enable this feature on their account. However, something to keep in mind:

"Your stake stays safe. Liquidations only happen if your validator's APY drops below the $SOL borrow rate for an extended period of time — incredibly unlikely at the market APY."

Conclusion

DeFi tools are actively evolving, and aiming to give more options to users with fewer disadvantages. Key blockchains are chosen to do this, and Solana as one of them is gaining importance due to its ecosystem.

The information provided in this article is for informational and educational purposes only and does not constitute financial, investment, or trading advice. Any actions you take based on the information provided are solely at your own risk. We are not responsible for any financial losses, damages, or consequences resulting from your use of this content. Always conduct your own research and consult a qualified financial advisor before making any investment decisions. Read more

The content provided in this article is for informational and educational purposes only and does not constitute financial, investment, or trading advice. Any actions you take based on the information provided are solely at your own risk. We are not responsible for any financial losses, damages, or consequences resulting from your use of this content. Always conduct your own research and consult a qualified financial advisor before making any investment decisions. Read more