In the vast DeFi ecosystem, liquid staking tokens (LSTs) play a significant role, allowing users to stake their assets to contribute to network security and earn staking yield while maintaining their liquidity to earn passive DeFi yield. For a superior yield experience, LSTs must remain sufficiently liquid and also be utilized as collateral for lending/borrowing purposes. The new partnership between pSTAKE and Quasar aims to explore a new opportunity for LSTs to work smarter, enabling the maintenance of deeper liquidity for stkOSMO (pSTAKE-issued liquid staked OSMO) in the Osmosis DeFi ecosystem.
Quasar is a decentralized peer-to-peer gateway to IBC-enabled yield generation which solves liquidity, capital aggregation, and volume inefficiencies through a single solution. Users can manage their capital and earn yield in the form of incentives, trade fees, and even airdrops by depositing into Quasar vaults. stkOSMO is a hallmark liquid staking product from pSTAKE.
This new collaboration enables the first OSMO Liquid Staked Token vault on Quasar. OSMO holders can now liquid stake on pSTAKE and use Quasar on the Osmosis outpost to optimize liquidity strategy, allowing for hands-off management while boosting yield.
Quasar’s stkOSMO/OSMO Dynamic S+ strategy deposits into the stkOSMO/OSMO supercharged pool on Osmosis. The strategy dynamically updates the range at which liquidity is provided to optimize yield potential.
Deposit your stkOSMO in Quasar Vault now: https://app.quasar.fi/vault/stkosmo-osmo-dynamic-s
Quick walkthrough: https://medium.com/quasarfi/quasar-overview-stkosmo-osmo-79dad45f9756
Why Quasar
Quasar is a primary liquidity aggregator across the Cosmos ecosystem built on the Osmosis chain that employs smart contracts to aggregate and distribute capital. With a TVL of over $9 million, in managed vaults, Quasar deploys assets dynamically by integrating strategies. Vaults can combine automated, passive, or actively managed strategies with various risk profiles and purposes. Quasar’s strategies can also be modified to accommodate shifting market conditions and can be managed through self-governance.
In addition, users can earn yield from several activities on Quasar vaults, including saving, co-managing, crow-sourcing, crowd-lending, automating, and/or actively managing the deployment of liquidity and/or capital across a network of different blockchains. Quasar’s initial flagship vaults have been built on Osmosis and allow users to gain exposure to several liquidity pools. Auto-compounding and single-click deposits have also been enabled for ease of users. Quasar helps abstract many complex functions and allows users to earn passive yield.
Why pSTAKE for OSMO
pSTAKE is built on the Persistence core-1 chain. With a Total Value Unlocked of over $12 million and more than 11 DeFi partners, pSTAKE Finance gives users the best of both worlds–staking rewards and DeFi opportunities.
On pSTAKE, users can liquid-stake OSMO with an automatically selected set of ~85 Osmosis validators. stkOSMO is a liquid staked token (LST) of Osmosis’ native token, issued by pSTAKE Finance. It automatically compounds OSMO staking rewards (from inflation, Osmosis taker fees, and transaction fees) and gives users the flexibility to use it in DeFi to earn additional yield.
stkOSMO differentiates itself within the current OSMO liquid staking environment by decentralizing Osmosis through pSTAKE’s innovative Chain Decentralization Strategy. This strategy intelligently delegates OSMO stake across approximately 85 validators, utilizing an automated weighted mechanism optimized for decentralization and aligned with the Osmosis Community. Additionally, it introduces novel features such as ‘Flash Unstake’ that allow instant unstaking to enhance the OSMO liquid staking experience. In future, stkOSMO users may also be eligible for airdrops (contingent upon the decision of the respective teams) with pSTAKE’s stkToken data availability system.
Learn how to liquid-stake OSMO on pSTAKE here. After you have minted stkOSMO, simply IBC it to the Osmosis/Quasar chain to put it to work in the Quasar vault and let it do the hard work of managing your position.
Synergies between Quasar and pSTAKE
Undoubtedly, Osmosis stands as the primary platform for trading activities within the Cosmos network. As pSTAKE explores innovative applications for its Liquid Staked Tokens (LSTs), the recent incorporation of stkOSMO into Quasar vaults emerges as a pivotal development. This integration not only enhances liquidity but also introduces a novel use case for stkOSMO within the broader Cosmos ecosystem on the Osmosis chain.
Currently, stkOSMO can be used on Osmosis to provide liquidity to stkOSMO/OSMO Supercharged Pool (Live with 200k $PSTAKE incentives). Quasar’s Dynamic S+ strategy will deposit liquidity into this pool. stkOSMO, being the inaugural OSMO LST to go live on Quasar, contributes significantly to a more streamlined user experience and efficient liquidity management for the Osmosis community. The integration of stkOSMO on Quasar is poised to catalyze increased on-chain activity and Total Value Locked (TVL) for all the ecosystems—Quasar, pSTAKE, and Osmosis. Furthermore, it is an attractive proposition for attracting new users and fostering growth and vibrancy within these ecosystems.
pSTAKE welcomes Quasar to its Liquid Staking DeFi ecosystem! 🤝🏼
