Bybit Research suggests that increased capital efficiency in DeFi could lead to more than five-fold growth in liquid staking on Solana.

“In our view, Solana has tremendous potential for liquid staking due to its active staking community. Based on Ethereum LST market statistics, Solana’s LST market could potentially grow to $18 billion,” Bybit Research reports.

At press time, Solana-based liquid staking is valued at over $3.8 billion in total value locked (TVL), according to DefiLlama, which would represent a nearly five-fold increase if it manages to surpass $18 billion.