Architecture

Pye Core V1

Pye Core V1 system is the first implementation of the Liquid Staking Bond primitive. Pye Core is a suite of Solana programs that turn any SOL-denominated position (such as native SOL, stake-pool LSTs, or validator stake) into Liquid Staking Bonds (LSBs).

Each bond splits the deposit into two semi-fungible SPL tokens:

Token	What it Represents	Redeemability
Principal Token (pSOL)	Exactly 1 SOL at the bond’s maturity date.	Redeemable for the underlying stake or for SOL via a liquidity reserve.
Yield Token (ySOL)	The pro-rata share of all staking yield earned during the bond’s life.	Redeemable only after maturity.

The ratio of ySOL : SOL minted at deposit decays linearly from 1 ySOL per SOL at issuance to 0 at maturity, embedding time value directly into the token supply.

Core Components

This diagram is subject to change.

Component (Program / PDA)	Purpose	Key Fields / Accounts
Global Settings (PDA)	Stores protocol fee wallet, fee admin, and tunable fee rates.	fee_wallet fee_admin {mint,redeem,cp} fee bps
StakePoolBond program	Bonds backed by SPL Stake Pool LSTs.	vault for LSTs RedemptionCache for cached LST : SOL rate
mSOL Bond program	Same interface as StakePoolBond but uses Marinade CPI.	marinade vault
SoloValidatorBond program	Bonds that stake directly to one validator’s vote account.	core stake acct transient stake acct liquid reserve
Global CounterParty (PDA)	Provides instant pSOL/ySOL-for-SOL liquidity after maturity; later recovers SOL from reserves.	pSOL/ySOL inventory liquid_reserve

External Program Integrations

• SPL Stake Pool – Mint/withdraw LSTs when users deposit or redeem.

• Marinade Finance – CPI for mSOL bonds.

• Solana Stake Program – Create, delegate, merge, and unstake validator-level stake accounts.

Key Features in Core V1

Area	Design Decision	Rationale
Linear ySOL issuance	Time-weighted exposure baked into supply, decay is linear. No adjustments at redemption.	Intuitive pricing, inherent discounts.
pSOL redemption pricing	LST : SOL rate is snapshotted once at maturity, allowing both validator and LST stake to be redeemed 1:1 to original deposit.	pSOL holders generate no yield. Allows pSOL to be compsable in CDPs and lending programs.
Validator bonds with stake merge/activate	Transient stake account batches deposits; merged once active.	Minimizes rent & activation fees.
Liquidity under 1 SOL	GlobalCounterParty absorbs pSOL/ySOL and later self-redeems from liquid reserve.	Handles redmeptions smaller than 1 SOL.
Fee administration	Allows the setting of flat fees.	On-chain fee adjustment hook.
Yield Source	Default yield available in public validator nodes and LSTs.	Baseline SOL inflation, some validators and LSTs may include MEV and priority fees.