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What is Solayer (LAYER)?
Quick Facts
- Blockchain: Solana (SPL token)
- Token symbol: LAYER
- Token type: Governance and utility token
- Protocol type: Restaking protocol
- Liquid restaking token: sSOL (issued to depositors)
- Inspired by: EigenLayer on Ethereum
- Foundation: Solayer Foundation, an independent non-profit
- Architecture: InfiniSVM hardware-accelerated execution layer
Introduction
Solayer is a restaking protocol built natively on the Solana blockchain. It allows holders of SOL and Solana-based liquid staking tokens (LSTs) to extend the utility of their staked assets beyond standard network validation.
By restaking these assets, users simultaneously earn rewards and help secure a broader range of decentralized services. LAYER is the protocol's native token, underpinning governance, validator incentives, and fee payments across the ecosystem.
History & Background
Solayer launched in 2024, drawing inspiration from Ethereum's EigenLayer — the protocol that popularized the restaking concept. Shortly after going live, Solayer attracted over $24 million in deposits within hours, signaling strong early demand.
In early 2025, the Solayer Foundation was established as an independent non-profit to advance the protocol's long-term development. The LAYER governance token was introduced alongside the foundation to accelerate ecosystem growth.
How Solayer Works
Solayer operates through three core components:
- Restaking Pool Manager — accepts SOL or LST deposits and converts them into sSOL, a liquid restaking token.
- Delegation Manager — allocates sSOL to validators and Actively Validated Services (AVSs) such as oracles and bridges.
- Reward Accounting Unit — tracks each user's activity and distributes staking rewards proportionally.
When users deposit assets, they receive sSOL tokens that remain liquid, meaning they can continue to be used across other DeFi protocols while still earning restaking rewards.
Solayer's Shared Validator Network (SVN) allows decentralized applications to tap into a pooled validator set rather than recruiting their own — reducing costs and improving security.
Tokenomics
LAYER functions as both a governance token and a utility token within the Solayer ecosystem. Holders can vote on protocol upgrades, reward allocations, and ecosystem proposals.
The token is also used to pay for fees associated with restaking operations and access to AVSs. Future utility expansions are expected to include staking incentives and deeper DeFi integrations as the protocol matures.
Solayer also introduced sUSD, a yield-bearing stablecoin backed by US Treasuries, further broadening the protocol's economic design.
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Circulating supply
| 386.73 million LAYER |
|---|---|
| |
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Total supply
| 1,000.00 million LAYER |
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Max supply
| 1.00 billion LAYER |
Ecosystem & Use Cases
Solayer supports a growing ecosystem of AVSs — including oracles, bridges, and cross-chain services — that rely on delegated sSOL for their consensus security.
For users, the protocol unlocks multiple yield streams: Proof-of-Stake rewards, MEV capture, and AVS income, all without deploying additional capital. Compatible LSTs include Marinade's mSOL, Jito's JitoSOL, and BlazeStake's bSOL.
Team, Governance & Community
Solayer is developed by Solayer Labs and supported by the independent Solayer Foundation, which focuses on SVM scaling and protocol development. Governance is exercised by LAYER token holders, who vote on key protocol decisions. The community is active across Twitter/X, Discord, and Telegram.
Advantages
- Capital efficiency — users earn additional yield on already-staked assets without new capital.
- Liquidity preservation — sSOL tokens remain usable across DeFi while restaked.
- Shared security — dApps access pooled validator security without building their own infrastructure.
- Expanding ecosystem — AVS integrations and InfiniSVM push protocol capabilities further.
Risks & Challenges
- Smart contract risk — restaking introduces additional contract layers, each with potential vulnerabilities.
- Slashing risk — staked assets could be penalized if validators behave maliciously or fail.
- Protocol complexity — multiple components (SVN, AVSs, sSOL) increase systemic interdependencies.
- Competitive landscape — other Solana restaking protocols may challenge Solayer's market position.
Long-Term Vision
Solayer aims to become foundational infrastructure for the Solana ecosystem, extending shared security to an ever-wider range of decentralized applications. Its InfiniSVM architecture, which leverages hardware-level optimizations for near-microsecond communication, points toward a future where blockchain performance scales to hardware limits. Through the Solayer Foundation, the protocol is positioned to evolve as a community-governed, open restaking standard on Solana.
Frequently Asked Questions
- What is Solayer?
Solayer is a restaking protocol built on Solana that allows users to restake SOL or liquid staking tokens to secure additional network services. It is inspired by EigenLayer on Ethereum and introduces a Shared Validator Network for decentralized applications.
- What is the LAYER token used for?
LAYER is Solayer's native governance and utility token. It is used to vote on protocol upgrades and reward allocations, and to pay fees for restaking operations and access to Actively Validated Services.
- What is sSOL?
sSOL is the liquid restaking token users receive when they deposit SOL or LSTs into Solayer. It represents restaked assets and can be used across other DeFi protocols, allowing users to stay liquid while earning rewards.
- What are Actively Validated Services (AVSs)?
AVSs are decentralized services such as oracles, bridges, and cross-chain protocols that rely on delegated stake for their security. Solayer's protocol allows sSOL holders to delegate to these services, extending Solana's security model beyond its base layer.
- How does Solayer differ from regular staking?
Regular staking secures only the base Solana network, while restaking through Solayer extends that security to additional applications and services. Users also earn rewards from multiple sources, including AVS income, on top of standard Proof-of-Stake rewards.
- What is InfiniSVM?
InfiniSVM is Solayer's hardware-accelerated execution layer architecture. It leverages advanced networking technologies to push blockchain performance to hardware limits, enabling high throughput and low-latency transactions for demanding dApps.
- What is the Solayer Foundation?
The Solayer Foundation is an independent non-profit organization established to advance Solayer's protocol, support SVM scaling, and oversee the LAYER token ecosystem. It was launched alongside the LAYER governance token in early 2025.
- What is sUSD?
sUSD is a yield-bearing stablecoin introduced by Solayer, backed by US Treasuries. It expands the protocol's financial product offering beyond restaking into the broader DeFi ecosystem.