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Helio Protocol Teams up With Synclub as LSTFi Trend Gains Steam

Thu, 07/06/2023 - 09:59
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Vladislav Sopov
Helio Protocol shares details of its new partnership with Synclub on-chain staking provider and expresses ambitions to drive LSTFi adoption on BNB Chain forward
Helio Protocol Teams up With Synclub as LSTFi Trend Gains Steam
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Helio Protocol, a novel DeFi ecosystem built around decentralized stablecoin HAY soft-pegged to the U.S. Dollar, introduces new concepts to the red-hot segment of liquid staking. That is why it has entered into a long-term strategic collaboration with leading on-chain staking provider Synclub.

Helio Protocol merges with Synclub to stay on bleeding edge of LSTFi

According to the official announcement shared by the Helio Protocol team, its merge procedure with Synclub, an organization providing secure noncustodial staking services via its self-managed validator node, goes live. The two teams are going to kickstart the foundation initiative that will oversee the development of Helio Protocol and Synclub together.

Should the foundation issue its publicly traded governance token, it will serve as a voting instrument for both projects, the statement says.

The synergy between two innovative teams is amplified by the growing popularity of "liquid stalking tokens finance," or LSTFi. Also known as LSD, this segment refers to various classes of tokens somehow involved in staking coins on Ethereum (ETH) and BNB Chain (BNB).

In this case, "liquid" means that with LSTFi protocols, there is no need to lock your liquidity and lose earning opportunities: liquid staking protocols issue their own "mirrored" assets reflecting the value of staked cryptocurrency.

The upcoming foundation will be introduced and promoted under a separate name, representatives of Helio Protocol added. In order to celebrate its new partnerships and unlock new opportunities for liquidity providers, it started a couple of novel programs.

New programs for liquidity providers kick off

To start with, Helio Protocol is getting closer to a complete rewrite of its current over-collateralized lending model backing its HAY stablecoin.

Namely, this upgrade will include the addition of many new BNB-based (e.g., SnBNB) and non-BNB LSTs as collateral for HAY stablecoin, as well as future integration of other decentralized assets as collateral.

Image by Synclub

This, in turn, will result in another wave of liquidity inflows to Helio Protocol's and Synclub's joint venue. Cryptocurrency enthusiasts will have a plethora of options to pledge their assets as collateral to mint new HAY stablecoins seamlessly.

Right now, on Synclub's website, opportunities are open to stake Binance Coins (BNB), Cosmos (ATOM), Polkadot (DOT), Kusama (KSM) and so on. Tronics' (TRX) staking program receives additional support from Synclub.

Solana (SOL), Moonbeam (GLMR), Moonriver (MOVR) and Near Protocol (NEAR) will be added to the staking dashboard of Synclub soon.

Bringing decentralized stablecoins and LSTFi together

As highlighted by representatives of Helio Protocol, all of these endeavors are of paramount importance for the progress of the solution and the entire Web3 segment:

These changes demonstrate Helio Protocol's renewed and strengthened commitment to the usage of LSTs in our DeFi model.

With the Synclub partnership, Helio Protocol is set to gain leadership in the thriving LSTFi segment on BNB Chain and other EVM-compatible blockchains.

Helio Protocol Addresses Centralization Risks With Its Destablecoin, HAY: Review

As covered by U.Today previously, Helio Protocol is a DeFi ecosystem supercharged by native stablecoin HAY. It scored three cybersecurity audits and established itself as a reliable ecosystem for traders and liquidity providers. 

Helio Protocol's pools allow Web3 enthusiasts to mint HAY using various cryptocurrency assets.

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About the author

Blockchain Analyst & Writer with scientific background. 6+ years in IT-analytics, 3+ years in blockchain.

Worked in independent analysis as well as in start-ups (, Monoreto, Attic Lab etc.)