This opportunity works well for investors who want long exposure to SOL, while earning yield from an independent and 0-fee validator.
Assets
By investing in this opportunity, you are exposed to the price of Solana's native asset: SOL.
Yield source
Yield comes from new SOL coins earned by validators for producing new blocks, transaction fees paid by all Solana users, and from a special boost where the Solana foundation is a depositor in this pool but foregoes all yield to other depositors.
Risk perspective
Risks include Sanctum's smart contract risks and the validator (Kuma) keeping high uptime for its services. Sanctum powers the technology to issue a liquid token and the contract is managed by a 6/11 multi-sig. Kuma needs to keep a high uptime to consistently generate yield.
Provider
Sanctum Validator LSTs
Chain
Solana
Contract address
KUMAgSzADhUmwXwNiUbNHYnMBnd89u4t9obZThJ4dqg
Yield12.4%
30d APY
Base
12.4%
Reward
0%
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Investment scenarios
The below scenario simulator is greatly simplified. It intends to illustrate the potential impact of asset price movement on your investment.