Liquid Restaking Basics
Liquid Restaking is one of the most efficient ways to earn native rewards on SOL. With Clear, you can easily create a custom restaking token for your brand, team or project. This token can then be offered to your users, allowing them to earn rewards directly from the Solana network while supporting your ecosystem.
Staking is the native process by which a SOL token holder, who purchased SOL tokens on an exchange, assigns some or all of their tokens to a validator which helps increase the validators’ voting weight. Validators earn the newly minted SOL (every epoch ~2 days) proportionate to their voting weight.
Liquid Restaking is the process of tokenizing staked positions and distributing the accumulated yield to all LRT token holders.
Clear enables teams to create new restaking token labels and helps their users earn rewards by staking SOL, while automatically managing stake distribution across validators
- Create a restaking token label
- Stake SOL – Deposit SOL tokens into a liquid restaking protocol.
- Receive Liquid Tokens – Get an equivalent amount of LRT (e.g., aiSOL, dogSOL, yournameSOL).
- Utilize in DeFi – Use LRTs for lending, yield farming, or trading.
- Unstaking and Redemption – Convert LRTs back into SOL when needed.
Where does the yield come from?
When users participate in Solana’s consensus mechanism, they automatically earn rewards that are distributed by the network.
Native stakers receive additional SOL rewards directly at the end of each epoch (~2 days). However, the amount of SOL earned can decrease if they choose an underperforming validator. As a result, actively managing validators and staking pools is important to maximize rewards — but this process can be burdensome for users.
To solve this problem, liquid staked tokens were introduced. In these systems, the staking process is managed automatically, allowing users to simply stake their SOL and earn additional SOL without needing to actively manage validators.
The Clear Network enables teams to create their own versions of liquid staked tokens, offering all the benefits of traditional LSTs, along with the added advantage of boosting yields beyond what other liquid staking tokens typically provide.
The Benefits of Liquid Restaking
- Higher Returns: By restaking staked SOL, users can earn additional rewards from multiple sources. This compounding effect can significantly increase the profitability of staking, especially for those who are actively involved in DeFi.
- Enhanced Liquidity: Liquid restaking enhances liquidity by allowing staked assets to remain active in the market. Users no longer need to choose between staking and maintaining liquidity.
- Support for Emerging Projects: By enabling smaller blockchain protocols to leverage the security of larger networks, liquid restaking helps to support the growth of emerging projects.