What if we boosted mSOL APY beyond 7% by combining MNDE rewards?
What if we internally stake the mSOL by adding the MDNE rewards to each Epoch?
WHY?
• To maintain our position as the most attractive, easiest, and approachable staking solution.
• The best way to get someone in the door is always having the best deals.
• At some point we can’t just win by having more emissions in LP pools then the competition.
• Currently we’re super friendly, #1 in customer support and have the most DEFI integrations. We’re not going to be able to maintain this edge once Socean, LIDO, and future stake pools dilute our advantage.
I’ll tentatively call this: dual liquid staking (because I have not come across this concept yet.)
Staking mSOL is a confusing step for the new, to intermediate, investor.
I want to address a few points:
Everyone wants the best rate (even if we care deeply about decentralization, community, etc)
a. Exodus, Socean, and some CEXs have a higher APY; by very little, but it does sway investors
Confusion can result in an investor hesitating. So, while overall you get the best returns with mSOL, it’s not clear for the beginner.
Educating everyone in a classroom is impossible in real life, and the same applies to our community; many are going to skip class.
Some amount (would like statistics) just hold mSOL instead of reinvesting, missing an opportunity. (see point #2, and #3)
MNDE rewards are often sold to buy more mSOL, which reduces the value of MNDE; another missed opportunity.
Not everyone cares about governance, and it’s not a good enough reason to hold it over another investment token. For these people an extra 1% APY would be enough to choose marinade over Exodus (as an example)
We should consider automatically staking mSOL in order to market the idea that we are:
The Easiest Staking Solution
The Highest APY in the market
Adding this element would allow us to have a constant stream of MNDE to boost the value, or reinvest in other markets that might have some mutual benefit. (This has been brought up in another topic)
NOTE: I was not trying to suggest there was anything wrong with marinade. This is about expanding the market, and brainstorming for the far future.
Thanks for the post ser.
I like the idea with boosting up APY although by MNDE emission is not sustainable imo.
But I believe its better than mSOL staking. Unfortunately, tbh, I think mSOL staking is not attractive to obtain new users right now (its 1.29% APY ). I hope we can use MNDE tokens more effectively.
How about showing some usecases to earn high APY with mSOL by projects lending/covered call strategies vaults/liquidity mining to show how mSOL is benefitial.
I am thinking showing like a private funds project such as investin or Solrise.
It is okay not to be functional, its okay just to show strategies since we cannot take responsibilities on other projects risks.
For example,
Port: Supply mSOL and Borrowing SOL
Katana: deposit SOL
Total APY xx% : mSOL APY(6.32%), Supply APY on Port (1.38%), Borrwing APY on port (-4.23%) + APY on Katana (40%).
Masters in marinators show strategies to maximize profits with mSOL. I also want to know those.
This is not for new DeFi/Solana users but new Marinade users who are a little bit familiar with DeFi. I think there are many users who are familiar with DeFi and holding SOL not mSOL because they don’t know about Marinade correctly.
I think its easy to tell about marinade to such users than to educate new users.
I think mSOL staking is not attractive to obtain new users right now (its 1.29% APY ). I hope we can use MNDE tokens more effectively.
This is the reason I was thinking if it was just incorporated into staking mSOL would have a combined APY higher then the competition.
Additionally when mSOL is on a CEX it’s not possible to tell the user to reinvest, and it wouldn’t look great for our collaborative partnership to tell people to ditch their CEX when we want them to adopt our protocol.
Couldn’t we capture the MNDE rewards and create a covered call strategy with katana to ensure there was the meager 1.29% extra?
I enjoy using MNDE and exploring ways to push it’s utility, but most investors are here for passive returns if we’re going to be honest.
Every solution like “boost X using our very invented money” will be a short-term view until we invent a reasonable use case (here’s an idea !) for the token. CRV did it, why can’t we?
I’m not saying that it’s a bad idea to distribute $MNDE to boost msol APY.
I’m saying it will only work for 3-4 weeks and crash $MNDE faster. Then you’ll be back to square 1. Same APY (or very close to it), and $MNDE worthless.
If we want to have a valid long-term plan for boosting msol APY with $MNDE, we need to first find a valid reason someone will buy&hold $MNDE and finally create a little buy pressure to maintain the token value.
There is no need to sell the MNDE if it’s being handled internally, and the APY given back would need to be in the form of SOL generated off interest from using the MNDE as an investment.
So this topic is interesting but too hopeful. At a certain point higher return equals risk. If you want larger APY you have to be able to take on some of the risk. The idea of on easy recurring APY being over 8% to 9% is unrealistic, just like the SPY and bonds have lower returns but outpace some riskier higher APY over long periods. The ideas of using vaults above are great, and the direction some other DeFi platforms are using. Establishing some riskier vaults and allowing users to do things like calls/puts/covered calls/blue-chip cyrpto etfs/Alt-Coin etfs etc… This user has to understand the risk associated though.
Marinade can take a good portion of the gains and reward a portion to this asset.
A lot of investors are looking for a ‘set and forget’ investment strategy. People are coming from the traditional finance world that just want something a little better.
This would be the happy meal combo for those who don’t want to understand lending, AMMs, and option markets.
This secondary dish token could use a goblin gold strategy (if it’s voted on). Additionally by being another liquid staked token it would be highly competitive for those looking at the difference between 5% and 6%.
The idea is to create an incredibly user friendly liquid staked Solana token by wrapping the DEFI implementations internally.
Lastly, this token would not have ways to reinvest like mSOL as it would act like a high-interest savings account in the traditional world. Remember that 0.4% is considered a savings account, so we’re not looking at a large APY boost but rather a slight bump.
For me, I choose to buy mnde because I can lock in a fun nft which gives me special access / voting and it cool. It also has the upside of appreciation… but all the same remains kind of liquid which I’ve never seen in an nft before. I don’t think the value is the apy with msol, but rather the nfts that can be minted ONLY with mnde.
). I hope we can use MNDE tokens more effectively.
