Suilend, a leading decentralized finance (DeFi) lending and borrowing platform, has launched SpringSui, a new framework for liquid staking tokens (LSTs) on the Sui (SUI) blockchain, as detailed to Finbold on Wednesday, October 31.
The release also marks the launch of Spring SUI (sSUI), the first liquid staking token designed to encourage participation and increase liquidity of the Sui network.
More Sui protocol upgrades
SpringSui builds on recent SIP-31 and SIP-33 Sui protocol upgrades, enabling the new token standard to accelerate LST growth.
sSUI showcases SIP-33’s potential by allowing users to stake SUI tokens and receive liquid representation of their assets which they can use on Suilend and other DeFi platforms.
Despite liquid staking’s success on Proof of Stake (PoS) networks like Ethereum (ETH) and Solana (SOL), Sui adoption seems to be lagging behind, with just 1.18% of native tokens staked in LSTs compared to 6.6% on Solana and 41% on Ethereum.
Rooter, Suilend’s founder, expressed optimism for the launch:
“I think SpringSui will unlock a new era for liquid staking on Sui. The primary driver of growth for LSTs is leveraged staking, which will be turbocharged by SpringSui.”
Mysten Labs chief technology officer (CTO) Sam Blackshear also shared his thoughts:
“SIP-31 and SIP-33 are significant upgrades to Sui staking. Adding fungibility to staked tokens will improve the interoperability of existing use cases and enable some new ones. The Suilend team has done excellent work on both the theory and engineering behind these improvements.”
SIP-33 also aims to enhance LST security with features like instant unstaking to mitigate depegging risks, which, according to Mysten Labs engineer Emma Zhong, represents a “major step in boosting the safety, efficiency, and accessibility of staking products across Sui’s DeFi ecosystem.”
Toward broader Sui network adoption
Suilend has open-sourced the SpringSui framework to support broader adoption across the Sui developer community.
Suilend member 0xripleys, the platform known for its work on SIP-31 and SIP-33, developed the new open framework to support the entire Sui ecosystem.
Industry leader Aftermath has already committed to adopting SpringSui for its own product offerings.
The company is preparing a new platform where users can create and manage custom LSTs — a flexible, fee-driven model for LST deployment on Sui.
Source: https://finbold.com/suilend-unveils-springsui-a-new-framework-for-liquid-staking-tokens/