F.A.Qs

Find answers to commonly asked questions

General Questions

What is Pye.Fi?

Pye.Fi is building Liquid Staking Bonds (LSBs) as a core DeFi primitive on Solana, enabling staked SOL to be separated into Principal Tokens and Yield Tokens. (pSOL and ySOL) This unlocks liquidity, enhances capital efficiency, and allows stakers to trade, optimize, and access their staking rewards without unstaking.

By integrating with Solana’s broader DeFi ecosystem, Pye empowers validators, liquid staking providers, and users with new financial opportunities while reinforcing decentralization.

What is your mission?

Pye Finance is dedicated to unlocking the full potential of staked SOL by introducing Liquid Staking Bonds (LSBs) as a core DeFi primitive on Solana. Our mission is to enhance capital efficiency, decentralization, and financial accessibility by enabling users to trade, unlock, and optimize their staking rewards without unstaking.

By establishing LSBs as a foundational building block, Pye Finance is creating a suite of applications that expand the power of Solana’s staking infrastructure.

What is your vision?

Pye Finance envisions a more capital-efficient, decentralized, and composable staking economy on Solana. By establishing Liquid Staking Bonds (LSBs) as a fundamental DeFi primitive, Pye unlocks new financial opportunities for all participants of the staking ecosystem with a focus on stakers, validators, and DeFi participants.

Our goal is to bridge the gap between staking and DeFi, ensuring that staked SOL is fully utilized across lending, trading, and structured products—without compromising Solana’s decentralization.

Liquid Staking Bonds

What are Liquid Staking Bonds?

A Liquid Staking Bond (LSB) is a DeFi primitive that allows stakers to unlock liquidity and trade their future staking rewards without unstaking their SOL. It splits a staked asset into two distinct tokens pSOL and ySOL enabling you further use of staked SOL in other applications or to sell your future yield, etc.

What is a Principal Token/pSOL ?

The principal component of the LSB is tokenized by the Principal SOL (pSOL). The principal token receives no yield and is fully redeemable 1:1 for the original deposit at its maturity date. Learn more about PSOL

What is a Yield Token/ySOL?

The yield component of the LSB is tokenized by the Yield SOL (ySOL). The yield token is redeemable for all the staking rewards the deposited staked SOL would have earns at its maturity date. Learn more about YSOL

Do Liquid Staked Bonds (LSBs) compete with Liquid Staked Tokens (LSTs)

LSBs are not a replacement for LSTs but rather a tool that expands their utility. While LSTs offer features like rebasing, community incentives (e.g., Sanctum creator coins), and staking rewards distribution, Liquid Staking Bonds (LSBs) provide additional financial flexibility by allowing users to separate principal and yield.

This enables new use cases such as yield trading, fixed-term staking, and advanced capital efficiency strategies that LSTs alone do not support. LSBs work alongside LSTs to enhance their overall functionality within the Solana ecosystem.