@Solayer is a restaking and liquidity restaking protocol focused on the Solana ecosystem, officially launched in 2024, and has now evolved into a hardware-accelerated SVM (Solana Virtual Machine) Layer 1 blockchain project called InfiniSVM.

This protocol allows users to stake native SOL or Solana-based liquid staking tokens (LSTs, such as mSOL or stSOL) to earn additional rewards by supporting various active validation services (AVSs) and related blockchain solutions (such as Sonic Layer 2 Chain, HashKey Cloud, or Bonk ecosystem).

Solayer's vision is very clear: to build a vertically integrated financial stack that helps establish seamless flows between on-chain assets and real-world payments. It aims to solve the congestion issues of the Solana network through hardware acceleration and innovative solutions, while enhancing the network's scalability through efficient design.

Solayer Economic Model

Solayer's economic model places great emphasis on capital efficiency, which is one of the reasons I believe it has a unique advantage in the blockchain field. Solayer is not just a restaking protocol; it functions more like an economic engine dedicated to enhancing the security and capital liquidity of the entire ecosystem. Through MEV-boost (maximum extractable value boost) and a shared validator network, Solayer provides efficient and secure infrastructure for decentralized applications (dApps). More importantly, Solayer's restaking model allows users to earn much higher yields than traditional staking by depositing SOL or Solana-based liquid staking tokens (such as mSOL and stSOL).

For users, Solayer offers various flexible investment options. For example, sSOL is a restaking token that allows users to deposit SOL or LSTs into the system and earn a relatively high annualized yield (4%-5%). Even more attractive is that sSOL also supports delegation to active validation services (AVS) or DeFi deposits, further enhancing economic security. This design not only increases investment returns but also enhances the capital liquidity of the entire ecosystem, addressing the liquidity shortcomings of traditional staking systems.

Additionally, Solayer has launched the sUSD stablecoin, backed by U.S. Treasury bonds, aiming to provide a stable source of yield for the DeFi market. Currently, sUSD has accumulated nearly $31 million in total value locked (TVL) in DeFi, with an annualized yield of about 4%. For those looking for stable investments in DeFi, sUSD undoubtedly offers an ideal choice.

Solayer Financing Background

Solayer Labs completed its seed round financing in May 2024, raising $12 million with a valuation of $80 million. This round was led by Polychain Capital, with other investors including Hack VC, Nomad Capital, Race Capital, Big Brain Holdings, Arthur Hayes's Maelstrom Fund, and individual investors such as Solana co-founder Anatoly Yakovenko, Helius founder Mert Mumtaz, and Polygon co-founder Sandeep Nailwal. Binance Labs subsequently invested (amount undisclosed) to expand the team, integrate new protocols, and address congestion on the Solana network.

Solayer Labs is an innovative project in blockchain technology and ecosystem development. From the hardware-accelerated InfiniSVM to its unique restaking protocol, Solayer provides a new solution aimed at enhancing the performance and scalability of the Solana network. The project promotes the development of the Solana ecosystem through hardware acceleration, decentralized governance, and restaking protocols, while also offering new ideas for further innovation in blockchain technology.

On the technical level, Solayer's hardware-accelerated architecture and InfiniSVM solution significantly enhance the blockchain's transaction throughput and execution efficiency, providing a solid foundation for future large-scale applications. Additionally, the project's economic model further enhances the stability and capital efficiency of the ecosystem through MEV-boost and a shared validator network.

Nevertheless, Solayer still faces some challenges, especially in the context of the rapid changes in the crypto market and the continuous advancement of technology. In the future, Solayer's development will rely on the ongoing promotion of its technological innovations, broad community participation, and deep integration with fields such as DeFi and payment systems.

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