Research Summary
The research report focuses on Stride, a Liquid Staking Token (LST) provider in the Cosmos ecosystem. Stride offers liquid staking for a variety of assets and directs 100% of its protocol revenue to stakers. Stride is planning to transition to a Hub consumer chain, entering into a revenue share agreement with the Hub. The report also highlights the potential growth of liquid staking in Cosmos, which is currently at 1% of the entire staked ATOM supply, compared to ~45% of the ETH staked supply.
Actionable Insights
- Stride’s Dominance: Stride is a dominant LST provider in the Cosmos ecosystem with over 86% liquid staking dominance and 83% of liquid staked ATOM in circulation.
- Revenue Sharing: Stride is planning to enter into a revenue share agreement with the Hub, which includes 15% STRD inflation, 15% protocol revenue, 15% MEV revenue, and 15% transaction fees.
- Growth Potential: With only 1% of the entire staked ATOM supply currently liquid staked across all providers, Stride and other providers are well positioned for growth.
- Liquid Staking Module (LSM): The upcoming implementation of the LSM on the Hub could potentially unlock hundreds of millions in staked liquidity, benefiting Cosmos DeFi and LST providers.
