BNSOL unlocks your staked Solana (SOL) liquidity, it accumulates SOL staking rewards by growing in value in relation to SOL, even when it is used in Binance products or DeFi projects.
SOL Staking involves staking your Solana (SOL) tokens to earn staking rewards.
Binance lowers the barriers for users to stake Solana, by offering a user-friendly liquid staking product that provides liquidity, lower minimum requirements, and enhanced security, making it easier and more convenient to stake SOL.
Please note that the underlying staked SOL is delegated to validator nodes on the Solana network. Should a validator underperform, remain offline, or act improperly, the staked SOL may earn reduced or no rewards for the affected period. While the Solana network does not currently enforce automatic protocol-level slashing of principal. Risk Warning.
The SOL staking APR is dynamic and follows the on-chain staking rewards, which update upon each Solana epoch (roughly every 2-3 days) and fluctuate due to various factors including overall network staking participation, the performance of the validator nodes, and the total amount of SOL staked in the entire network. A -- commission fee on the validator APR is charged to ensure product sustainability and reflected in the staking rewards. Rewards are distributed to Binance Solana staking users on a per Epoch basis (approximately every 2-3 days) after the rewards are generated on-chain. Please note that you will not receive any rewards until the first Solana epoch following your subscription, and that the conversion rate will remain the same for the current epoch until the next epoch update.
As such, the APR is variable and not guaranteed. Actual returns fluctuate with overall network staking participation, validator node performance, and the total amount of SOL staked across the network, and may vary from expectations.
Staking SOL into BNSOL does not diminish your SOL balance. Both your SOL and earned rewards can be reclaimed based on the applicable conversion ratio at redemption.
The BNSOL: SOL ratio is not 1:1 because 1 BNSOL represents 1 staked SOL plus the staking rewards since 2024-08-26 06:04 (UTC). Due to the accumulation of staking rewards, the value of 1 BNSOL progressively exceeds that of 1 SOL. The ratio is updated daily to reflect the rewards earned from the staked SOL.
Example*: On 22 September 2024, the BNSOL: SOL conversion ratio was 1:1.01004105. When a user stakes 10 SOL, they would obtain 9.90058770 BNSOL based on the conversion ratio.
SOL staking rewards accumulate, and the user's BNSOL becomes worth more SOL. Three months later, on 23 December 2024, the BNSOL: SOL conversion ratio had grown to 1:1.01980774.
If the user redeems their BNSOL on that day, they would receive 10.09669596 SOL, which includes both their staked amount and the earned rewards.
*The numbers above are for illustrative purposes only. The actual scenario depends on the conversion rate at stake/redeem, the holding period of BNSOL, and on-chain SOL staking APR, etc.
In addition, the secondary-market price of BNSOL is determined by market forces and may deviate from the intrinsic conversion ratio above. Under extreme market conditions, these deviations may be larger than expected as highlighted here.
Every Epoch on Solana network (approximately 2-3 days) and that the conversion rate will remain the same for the current epoch until the next epoch update.. You can check the timer for the next Epoch on Binance SOL Staking page.
Please note that staking/redemption feature is paused in the period when the BNSOL:SOL conversion rate is being updated (approximately 10 minutes).
