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  • User Guides
  • Developers
  • Introduction
  • PRIMITIVE
    • Liquid Staking Bonds
    • pSOL
    • ySOL
  • PROTOCOL V1
    • Architecture
    • Deployed Programs
  • VALIDATOR ONBOARDING
    • Requirements
  • SECURITY
    • Audits
    • Bug Bounties
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  • Pye Core V1
  • Core Components
  • External Program Integrations
  • Key Features in Core V1
  1. PROTOCOL V1

Architecture

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Last updated 16 days ago

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

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.

This diagram is subject to change.