Solana News Today: Liquid Collective Launches LsSOL Token on Solana Amid Institutional Demand

Liquid Collective has introduced a new liquid staking token, Liquid Staked SOL (LsSOL), on the Solana blockchain. This development is a response to the increasing institutional interest in the Solana network, particularly as regulators consider several Solana-based exchange-traded funds (ETFs). The launch of LsSOL was announced on Wednesday in partnership with several major players in the crypto industry, including Coinbase, Kraken, Galaxy, Anchorage Digital, and Fireblocks. These partners will facilitate institutional access to LsSOL as demand for Solana grows among professional investors.

Liquid Collective highlighted that approximately $21 billion in SOL remains unstaked. Of the staked SOL, 14% is currently staked through liquid staking solutions, with Jito leading the market. Liquid staking on Solana is approaching $9.4 billion in total value locked. The protocol’s move into Solana reflects its broader effort to support staking across multiple blockchains, not just Ethereum. Coinbase’s lead of staking sales, Lewis Han, confirmed that LsSOL will be offered through the exchange’s Prime Onchain Wallet. Han noted that adding LsSOL reflects growing institutional demand for “secure, comprehensive custody and staking solutions.”

Liquid Collective and its partners argue that products like LsSOL will play a key role as institutional interest in crypto grows, positioning staked assets as an increasingly important part of market infrastructure. The potential approval of several Solana ETFs could trigger significant capital inflows. Currently, there are seven pending Solana ETF applications. Since their inception, US crypto ETFs have seen a tale of two markets. Bitcoin (BTC) funds launched as some of the most successful ETFs in history, while demand for Ether ETFs has been comparatively muted. However, recent data indicate that inflows into ETH funds have picked up significantly in recent months.

The launch of LsSOL is a significant development for the Solana ecosystem, as it provides institutional investors with a secure and efficient way to stake their SOL tokens while maintaining liquidity. This move is expected to attract more institutional capital to the Solana network, further enhancing its position as a leading blockchain platform. The partnership with major industry players like Coinbase, Kraken, Galaxy, Anchorage Digital, and Fireblocks underscores the growing institutional interest in Solana and the importance of liquid staking solutions in the crypto market.