A validator from mrgn’s LST validator set now routinely earns the most rewards from vote credits and block rewards out of all nodes on Solana Mainnet-Beta. As of this writing, the mrgn3 and mrgn4 validators hold the #1 and #2 spots on StakeWiz by TrueAPY (Vote + MEV yield). By capturing the highest proportion of Solana’s native inflation and block rewards out of all validators, LST has begun its reign as the liquid staking token with the highest sustainable yield on Solana. This marks a significant milestone, and we’d like to highlight the work we’ve done to provide our users with the highest sustainable staking yield on Solana.
Anza’s implementation of the Solana protocol has many suboptimal components which we had to revamp to accomplish this objective – and we cut no corners. We optimized ingestion at the networking layer and in the scheduler, optimized transaction execution and block verification in the replay stage, improved fork selection at the consensus layer, improved vote landing rates, and much more. We improved global CPU efficiency for the client tremendously, and we run our client on some of the best available hardware with best practices for maximal uptime. We built dozens of custom analytic tools to understand our client's behavior and spent weeks evaluating the correctness and safety of our custom solutions. All of our validators are on StakeView’s High Performing Validator List; unlike other validator mods that introduce significant latency, our custom solutions bolster and accelerate consensus on Solana.
As of this writing, these improvements in vote credit and block reward capture provide our LST holders with an APY of approximately 8.05%. This is in contrast to that of the median validator offering approximately 6.65%. For a user looking to stake 10,000 SOL, this represents a difference of 2,651 SOL earned over the course of the next ten years, or about $398,000 USD at the $150 price tag at the time of this writing.
This difference in yield will only grow after the Timely Vote Credit feature is enabled on Solana Mainnet-Beta. This feature incentivizes high performance validators by awarding extra vote credits to validators that vote with low latency. According to our internal estimates, we expect our base voting yield to increase by about 25 to 50 basis points over the median validator. So, for the same user looking to stake 10,000 SOL, staking via LST represents a difference of 3,416 SOL earned over the course of the next ten years, or about $512,000 USD at the $150 price tag at the time of this writing, compared to staking to the median validator.
Our users can rest assured they are earning the highest sustainable staking yield on Solana while the mrgn team continuously researches and refines our validators' performance. Additionally, we remain committed to contributing to Solana core's research and development, advancing the broader mission of scalability and global adoption. Stay tuned for further updates on this front :).
To learn more or to partake in the highest sustainable yield on Solana, visit https://app.marginfi.com/mint.
Always Yours,
dr cavey x mrgn