Overview
The pSTAKE Incentive Program gives pSTAKE users holistic, forward-looking insights into PSTAKE incentives on various DeFi integrations across Cosmos, Osmosis, dYdX, and BNB Chain. The majority of incentives currently are allocated for liquidity provisioning of stkTokens. LSTs (Liquid Staking Tokens) are powerless without deep liquidity against their base tokens. This is essential to meet the actual premise of liquid staking, liquefying a staked position.
February 2024: PSTAKE Incentive Programme
The pSTAKE Incentive Programme seeks to encourage the usage of stkBNB, stkATOM, stkOSMO, and stkdYdX (to be launched soon) in DeFi applications such as lending and borrowing, stablecoin collateralization, and so on, while also making adequate provisions to ensure deep liquidity for them in their respective ecosystems.
The February 2024 summary table shows the incentives given to different protocols in Cosmos and BNB Chain ecosystems.
| Protocol | Ecosystem | DeFi | PSTAKE Incentive |
| Dexter – stkATOM/ATOM Pool | Cosmos | DEX | 150k PSTAKE |
| Dexter stkdYdX/dYdX Pool | Cosmos | DEX | 300k PSTAKE |
| Osmosis – stkOSMO/OSMO Pool | Cosmos | DEX | 200k PSTAKE |
| ShadeSwap – stkATOM/ATOM Pool | Cosnos | DEX | 5k PSTAKE |
| ShadeSwap – stkATOM/SILK Pool | Cosmos | DEX | 5k PSTAKE |
| Thena- stkBNB/BNB Pool | BNB Chain | DEX | 110k PSTAKE |
| Total | 770k PSTAKE |
Rationale
pSTAKE on Cosmos
stkATOM has over $7.4 million in liquidity on various DEXs within the Cosmos ecosystem, such as Dexter, Osmosis, Astroport, and ShadeSwap. Around 53% of that liquidity exists on Dexter, the perfect fit for stkATOM liquidity due to its highly efficient Metastable pool offering. By being on the Persistence chain, Dexter gives pStakers the best LSTfi experience in the Cosmos ecosystem. Liquid staking on pSTAKE and providing liquidity on Dexter takes only two transactions, saving time and effort. stkATOM liquidity is also incentivized on the other DEXs that offer a unique proposition for stkATOM utility.
The incentives for stkATOM liquidity aim to sustainably deepen the token liquidity to make stkATOM more integrated into the Cosmos DeFi Ecosystem.
pSTAKE on BNB Chain
stkBNB has about $1 M in liquidity on DEXs such as Thena and PancakeSwap. Diverse stkBNB liquidity helps cater to all user types, efficient trading activity, and peg maintenance.
The incentives for stkBNB liquidity aim to maintain the current liquidity as stkBNB becomes more integrated into the BNB Chain DeFi Ecosystem.
Conclusion
Liquidity staking unlocks the liquidity of staked tokens & use cases in DeFi. stkTokens are nothing without liquidity against their underlying base token. The pSTAKE team will indefinitely provide guidance into where this liquidity and DeFi utility will exist, along with the PSTAKE incentives for achieving it. The PSTAKE Incentive Program blog posts give forward-looking insights into $PSTAKE incentives for the upcoming/current month.
About pSTAKE
pSTAKE is a multi-chain liquid staking protocol that unlocks liquidity for your staked assets. With pSTAKE, you can securely stake your Proof-of-Stake (PoS) assets to earn staking rewards, and receive staked underlying representative tokens (stkASSETs) which can be used to explore additional yield opportunities across DeFi.
At present, pSTAKE supports Binance Chain (BNB), Cosmos (ATOM), and Osmosis (OSMO) networks’ native tokens, with a view to support more chains and assets in the future.
