Built on Solana, Marinade Finance is a non-custodial liquid staking system. In exchange for “marinated SOL” tokens (mSOL), which you can use in decentralized finance (DeFi), you can stake your SOL tokens with Marinade utilizing automated staking strategies. In this article, you can find details about Marinade crypto and its token, MNDE.
A Comprehensive Guide to Marinade Crypto – 2023
The Solana blockchain employs the same method as Marinade Finance to guarantee that stakers receive the best performance from validators. Users of Marinade Finance assign their stakes to nodes that are not in the same security group to increase decentralization, censorship resistance, and performance.
Marinade DAO
Marinade DAO (mDAO) is an open kitchen. One of the core values is radical transparency. In this direction, anyone is welcome to visit and observe what they are making. Moreover, you are free to help out with the project and receive rewards.
Owning MNDE tokens is another way to join the mDAO. These governance tokens will serve as a representation of your opinion regarding Marinade’s future.
Tokenomics
You can participate in managing the Marinade protocol and treasury with MNDE, which went live on October 7, 2021.
The Marinade DAO, which uses the Solana blockchain, uses MNDE as its governance token. The developer of mSOL, a derivative token of SOL that represents staked SOL in the Marinade stake pool, is Marinade. Currently, MNDE allocation is divided into three groups:
- 35% – DAO Distribution
- 35% – DAO Treasury
- 30% – Team
At the time of writing, the MNDE token is trading at $0.09141, according to CoinMarketCap. The token price has increased 41.80% in the last 24 hours
About mSOL
When you stake SOL on the Marinade protocol, you obtain the liquid staking token known as mSOL. Your staked SOL tokens in Marinade’s stake pool are represented by these mSOL tokens. They provide a receipt that you may later use to exchange for your staked SOL and the incentives you have earned.
Each epoch, the price of mSOL increases in relation to SOL as rewards are accumulated into the underlying staked SOL. You are always able to get your SOL back by unstacking and waiting for the unlock time (1-2 epochs), or you may get it back right now for a modest charge. On secondary marketplaces, you can also exchange directly between mSOL and SOL at the current price.
What Can be Done with mSOL?
Numerous applications for mSOL tokens currently exist in the expanding platform ecosystem. They let you benefit from your staking earnings and support the network while having access to DeFi protocols. Here is a non-exhaustive list of DeFi alternatives:
- Borrowing/Lending: Multiple platforms allow for the borrowing or usage of mSOL as collateral.
- Liquidity provision: In DeFi, there are a lot of liquidity pools that use mSOL. Two categories are as follows:
i. mSOL/SOL pools – By using these pools, you can utilize your mSOL in DeFi without experiencing temporary loss.
ii. mSOL/XXX pools – Although there will be temporary losses associated with these pools, you will be able to supply liquidity on many different pairs.
- Single-asset staking: To obtain MNDE, Marinade’s governance token, you can stake your mSOL. Only Marinade makes this feasible.
- Trade on DEXs: Most decentralized exchanges offer mSOL, which can be purchased and exchanged for different cryptocurrency tokens. Keep in mind that when you exchange your mSOL, you are also exchanging your earned rewards.
- Trade on CEXs: Additionally, mSOL can be traded on centralized marketplaces like Coinbase, Kraken, or Gate. You can transfer the mSOL from these exchanges to your cryptocurrency wallet and use it in Solana DeFi completely.
The above is, of course, only some of the uses of mSOL.
NFT Collections
Marinade NFTs will come in two variations: a limited edition and a regular version. They both give you the same level of government authority and operate under the same principle. The Octopus is depicted on the Limited Edition Marinade NFT. They consist of the first 3333 NFTs minted. In the regular edition, NFTs will be represented by other Marinade creatures, starting with the shark. The supply of this version is infinite.
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