Acala Has Partnered With Blockdaemon
Acala Launches First Liquid Staking Product for Polkadot & Kusama
The first liquid staking products in the Polkadot and Kusama ecosystem, Acala’s DOT and KSM Liquid Staking represent a new class of financial products primed to compound staking liquidity and create new use cases for DeFi users, as well as DApp developers building on Acala’s blockchain. The products launched today on Karura, Acala’s Kusama-based network, then will launch on Acala, the soon-to-launch Polkadot-based blockchain platform.
Currently, over $21 billion in liquidity is staked on Polkadot and roughly $2 billion on Kusama. But these assets are locked and dormant, unable to take advantage of other DeFi applications to multiply returns. Users also experience relatively long unbonding periods making them wait 28 days for Polkadot (DOT) and 7 days for Kusama (KSM) before they can redeem their assets. To address these challenges and unlock billions in liquidity for the Polkadot and Kusama ecosystems, the Acala team has built and launched Liquid Staking.
The First Liquid Staking Product on Polkadot
Acala’s first Liquid Staking product is KSM Liquid Staking (LKSM), a product launched today on the Karura parachain that lets users stake their KSM while maintaining access to its liquidity.
When KSM is staked on Karura, users receive LKSM, a liquid, yield-earning token that not only represents their staked KSM value, redeemable at any time, but also includes their ever-increasing staking rewards. Currently, anyone who stakes KSM for LKSM earns an indicative 16% APR in staking rewards while also enjoying the benefit of LKSM being an unlocked token that grants access to its underlying KSM liquidity for other uses in DeFi.
About Blockdaemon
Blockdaemon is the leading independent blockchain node infrastructure to stake, scale, and deploy nodes with institutional-grade security and monitoring. Supporting 40+ cutting edge blockchain networks in the cloud and on bare metal servers globally, Blockdaemon is used by exchanges, custodians, crypto platforms, financial institutions and developers to connect commercial stakeholders to blockchains. Blockdaemon powers the blockchain economy by simplifying the process of deploying nodes and creating scalable enterprise blockchain solutions via APIs, high availability clusters, auto-decentralization and auto-healing of nodes.
About Acala
Acala is the decentralized finance network and liquidity hub of Polkadot. It’s a layer-1 smart contract platform that’s scalable, Ethereum-compatible, and optimized for DeFi with built-in liquidity and ready-made financial applications. With its trustless exchange, decentralized stablecoin (aUSD), Liquid Staking derivative, and EVM+, Acala lets developers access the best of Ethereum and the full power of Substrate.
