Phase Delegation: pdSOL Liquid Staking Revenue on Solana

2026-09-02

Phase Delegation is a multi-validator liquid staking pool on Solana. Users deposit SOL and receive pdSOL, a liquid staking token that represents their staked position. The protocol delegates SOL across multiple Solana validators to spread slashing risk and optimise yield, with the exchange rate between pdSOL and SOL increasing each epoch as staking rewards accumulate.

Revenue is generated through two fee types. Every epoch, the protocol takes a 5% cut of staking rewards before distributing the remaining 95% to pdSOL holders through exchange-rate appreciation. Additionally, a 0.05% withdrawal fee is charged whenever a user unstakes and redeems their SOL. The 5% epoch fee is the dominant revenue stream, with withdrawal fees contributing a smaller fraction depending on redemption activity.

Solana stake pool accounting requires a different approach than EVM event-driven adapters. There is no discrete "reward paid" event to read: rewards accumulate at epoch boundaries when the validator network processes stake activations. The adapter reads the Solana stake pool account at each epoch boundary, comparing the previous and current pool exchange rate. The change in exchange rate multiplied by total staked SOL gives gross epoch rewards, from which the 5% fee is isolated. Withdrawal events are tracked separately via WithdrawStake instructions. Getting epoch boundary timestamps right was critical to avoid double-counting rewards that span boundaries.

All-time revenue has reached $7.5 million, with $109,000 in the past seven days and $22,000 in the most recent day. Phase Delegation occupies the same category as Hubra and other Solana liquid staking protocols, but each has different fee rates and validator delegation strategies. Having both in production required ensuring the epoch-boundary accounting logic was consistent across adapters without introducing shared state that could cause bugs.

Twitter: @phase_