Berlin-based Swarm, a regulated multi-asset DeFi platform, has launched institutional-grade liquid staking tokens that can integrate into DeFi automated market maker (AMM) pools to generate additional yield in a protected environment.
Liquid staking tokens for Solana Network’s native token SOL are the first to be made available with Eth 2.0, DOT and AVAX to follow.
By using the liquid staking token structure on Swarm, an investor is exposed to the value of the underlying asset, can earn yield from validator fees and trade in and out of their position at any time, instead of having assets idling.
The tokens can then earn additional yield by staking them in compliant DeFi pools on Swarm Markets, where liquidity providers receive trading fees proportional to their share of the pool. Additional loyalty rewards are available by holding Swarm’s native payment token, SMT.
Private investors and funds managing more than $100 million in AUM have made a commitment to support this new product, including new crypto fund MetaLink Capital that aims to help people access cross chain liquidity.