Kyros: The Rise of Solana Liquid Restaking

Key Insights

• Kyros is a liquid restaking protocol built on Solana using Jito’s restaking infrastructure, offering two vault products, kySOL and kyJTO.
• As of April 1, Kyros has $36.3 million in TVL across its vaults, 84% of which is kySOL and 16% kyJTO. Combined, there are 15,000 holders of these tokens, 10,800 onchain holders and 4,200 via SwissBorg, a CeFi asset manager.
• kySOL is integrated across several Solana-based DeFi platforms, including Kamino, Exponent, Sandglass, and RateX, enabling lending, liquidity provision, and yield trading.
• Kyros intends to support additional Node Consensus Networks, including Squads, and Ping Network, while exploring new vault offerings tied to stablecoins.

Introduction

Kyros

Kyros is a liquid restaking protocol built on Jito’s restaking infrastructure on Solana. It allows users to stake SOL or JitoSOL and receive kySOL, a liquid restaking token that combines Solana staking rewards, MEV rewards (via JitoSOL), and additional restaking rewards generated by Node Operators (NOs) securing Node Consensus Networks (NCNs). Node Consensus Networks (NCNs) are services that provide network security for blockchain infrastructure such as validators, oracles, bridges, and L2s. kySOL represents a user’s deposit of SOL or JitoSOL into a vault, which is then delegated to NOs responsible for securing NCNs. The NCNs provide potential additional rewards to Kyros vaults (i.e. 0.15% of Jito tips on TipRouter is distributed to all JitoSOL restakers) in exchange for their economic security.

kySOL’s integration with DeFi protocols such as Kamino Finance, Sandglass, and Exponent Finance allows users to deploy kySOL in DeFi strategies, including liquidity provisioning, lending, and yield trading.

In addition to kySOL, Kyros offers a second vault offering called kyJTO. This token is issued to users who stake JTO, the governance token for the Jito DAO, which oversees the Jito Network.

Jito does not provide a user application interface. Instead, its underlying infrastructure, specifically the restaking program and vault program, enables protocols like Kyros to facilitate restaking. Through this framework, staked assets are tokenized into vault receipt tokens (VRTs) (kySOL and kyJTO), which remain liquid and can be used in DeFi. Kyros oversees the minting and burning of its VRTs and delegates assets from its vaults to NCNs with the goal of optimizing users’ restaking risk-reward profiles. Jito’s infrastructure also supports flexible validator reassignment, customizable slashing conditions, and operator management to help restaking protocols optimize validator performance without compromising liquidity.

Restaking

The emergence of restaking protocols stems from the concept popularized by Ethereum’s EigenLayer, which aims to improve capital efficiency and strengthen security within blockchain ecosystems. Restaking allows the economic security provided by staked assets on L1 blockchains to be reused, extending this security to additional services known as Actively Validated Services (AVS). AVSs refer to any blockchain-based application or service that requires continuous validation by a network of validators to maintain integrity, correctness, and availability. These may include data availability layers, oracle networks, sidechains, cross-chain bridges, or dApps. Solana restaking protocols built on Jito adopt the same principle but refer to these services as Node Consensus Networks (NCNs).

This design introduces a hierarchical security model in which the base layer blockchain, such as Solana, provides foundational security through traditional staking. Restaking then extends this security to external services, economically incentivizing validators across all NCNs they support. If a validator acts dishonestly or fails to meet performance expectations on one network, it may be penalized across all associated services through slashing. This shared-risk framework encourages reliable behavior and aligns incentives across multiple layers.

The restaking model offers several benefits. NCNs can bootstrap their security by leveraging the economic weight of the base chain rather than building independent trust or slashing mechanisms. For stakers, restaking can improve capital efficiency by allowing a single asset to secure multiple services while earning incremental rewards.

However, restaking also introduces risks. As restaking expands on Solana, supporting these services may involve more complex bridging infrastructure or coordination mechanisms, potentially introducing new attack vectors. Centralization is another concern, as a small number of validators or restaking protocols could amass disproportionate control. Additionally, restakers and restaking protocols take on added slashing risk, as their collateral may be penalized due to failures in third-party systems.

Restaking presents a meaningful evolution in blockchain design, offering new ways to extend economic security and reward participation. Still, it requires careful attention to validator accountability, protocol governance, and infrastructure reliability.

Kyros Protocol Mechanics

Kyros integrates with Jito’s Restaking infrastructure, which it relies on to manage staking, delegation, and reward distribution across its vaults. The three key components that form the operational structure are Node Operators (NOs), Node Consensus Networks (NCNs), and Vault Receipt Tokens (VRTs). These components work together to coordinate the redistribution of economic security and facilitate the issuance and management of liquid restaking positions such as kySOL and kyJTO.

In Jito’s framework, a node is defined as a piece of software running the required protocols specified by the NCN. NOs are entities that manage one or more of these nodes. They are responsible for validating transactions, maintaining uptime, and securing the proper operation of the NCNs they participate in. NOs play a key role in ensuring the performance and integrity of the restaking infrastructure. Prominent NOs participating in the Kyros ecosystem include Kiln, Helius, and InfStones.

An NCN is a set of nodes running the same software to reach consensus and deliver specific onchain or offchain services. These networks rely on collective participation to validate information and maintain service reliability. Common use cases for NCNs include L2 networks, cross-chain bridges, and interoperability solutions.

Kyros currently secures one NCN, TipRouter. Historically, Jito MEV tip rewards were distributed through an offchain process. TipRouter was introduced to replace this with a transparent and verifiable onchain mechanism, where a network of NOs reach consensus on the appropriate distribution of MEV tips. The TipRouter NCN charges a flat 3% fee on all distributed tips. Of this, 0.15% is allocated to JitoSOL vault operators, 0.15% to JTO vault operators such as Kyros, and the remaining 2.7% is directed to the Jito DAO.

Vault Receipt Tokens (VRTs) serve as the liquid representation of a user’s restaked position. Kyros currently offers two VRTs, kySOL and kyJTO. These tokens preserve user liquidity while the underlying deposited token (JitoSOL, SOL or JTO) secures NCNs through delegated restaking managed by Kyros.

These three components are coordinated by two infrastructure programs provided by Jito, the restaking program, and the vault program. The restaking program handles the delegation of deposited assets (SOL, JitoSOL, or JTO) to NCNs. It also evaluates NO performance and enforces slashing conditions in cases of misbehavior that vary across NCNs. NOs are incentivized to maintain honest behavior, as slashing penalties can apply across all networks that rely on their restaked assets.

The vault program manages the minting and burning of VRTs and handles how deposited assets are delegated to NCNs. It is designed to allocate restaked tokens across multiple NCNs based on where the highest rewards are available, with the goal of maximizing user rewards. Currently, Kyros only supports one NCN, TipRouter, so all vault assets are delegated there. As more NCNs come online, the program will be able to distribute assets across networks to take advantage of different reward opportunities.

Kyros' vaults are built on these infrastructure components. For the kySOL vault, when users deposit SOL or JitoSOL into the Kyros vault, they receive kySOL. The exchange rates as of writing are 1 SOL to 0.84 kySOL and 1 JitoSOL to 0.99 kySOL. Internally, SOL deposits are staked to mint JitoSOL, which is placed into the vault for restaking. kySOL is non-rebasing, meaning it continuously accrues staking, MEV, and additional NCN yields, with all rewards automatically compounded, steadily increasing its relative value to the underlying SOL. kySOL is fully liquid, allowing users to deploy their tokens freely in DeFi activities while benefiting from ongoing yield generation.

The kyJTO vault operates similarly. Users stake Jito’s native token JTO to receive kyJTO, gaining exposure to rewards generated through the TipRouter NCN. kyJTO is non-rebasing, with each token increasing in value against the underlying JTO over time.

Metrics

Since the kySOL vault became operational near the end of October 2024, there have been significant inflows to both of Kyros’ vaults. In Q1 2025, Kyros’ TVL increased 145% QoQ from $14.8 million to $36.3 million. As of April 1, the kySOL vault comprises 84% ($30.6 million USD) of Kyros’ TVL, with the kyJTO vault growing to make up 16% ($5.8 million USD) since its inception in early January 2025.

Ecosystem

Node Operators

There are currently nine active NOs working with Kyros. Eight NOs are securing NCNs in the kySOL vault, and nine NOs are securing the kyJTO vault. All NOs working with Kyros are Kiln, Luganodes, Helius, Temporal, Laine, Pier Two, Everstake, InfStones, and Staking Facilities (only kyJTO). Kyros strategically delegates the underlying assets in their respective vaults based on NO performance and past reliability to maximize user rewards.

The NOs with the highest allocations of the underlying assets in the kySOL vault are Kiln and Laine, with 26,000 JitoSOL (16% of 162,000 JitoSOL) allocated each. The next four highest NOs by JitoSOL allocation are Helius, Pier Two, Luganodes, and Everstake.

The NOs with the highest allocations of the underlying assets in the kyJTO vault are Helius, Laine, Pier Two, and Luganodes, each with 362,000 JTO allocated (14.5% of 2.5 million JTO).

DeFi

Source: Kyros DeFi

Kyros has integrated kySOL and kyJTO across several protocols within the Solana DeFi ecosystem to extend their utility beyond passive yield accumulation. kySOL can be supplied as collateral on Kamino’s lending market, where users may borrow JitoSOL against their position and pursue basic leverage strategies. Kyros also supports liquidity provisioning through a kySOL–JitoSOL and kyJTO–JTO pools on Kamino, which was developed in coordination with Jito and Raydium.

Beyond lending and liquidity provision, kySOL is available on multiple structured yield platforms. Exponent allows users to trade future yield streams by minting and selling yield tokens, such as YT-kySOL, enabling access to fixed income or leveraged exposure. Sandglass, a yield market developed by the Lifinity team, facilitates fixed yield trading through a point-based system tied to SOL and kySOL positions. RateX offers additional strategies for leveraged exposure and fixed APYs using kySOL as the underlying asset.

On Exponent, PT-kySOL refers to a principal token representing the value of the underlying kySOL. For example, a user could trade kySOL for PT-kySOL at an implied APY of 15.9%, expiring on June 14, and then deposit that PT-kySOL into Loopscale to access up to four times leverage on the position.

Outside of DeFi, Kyros has integrated with SwissBorg, a CeFi asset manager, which provides retail users with custodial access to Kyros restaking for kySOL and kyJTO. According to SwissBorg’s internal database, there are 3,900 holders in their kySOL wallet and 300 holders in their kyJTO wallet.

Community Incentives and Holders

Kyros has two programs, the Village and Warchest, to encourage sustained participation and interaction across its platform and associated DeFi integrations.

The village is a quest-based engagement system where users complete onchain or community-focused tasks to earn experience points (XP) and advance through a tiered ranking system. Tasks, referred to as quests, vary in complexity and are grouped into three categories: Attack (strategy-based actions), Defense (ecosystem support), and Loyalty (long-term commitment). XP earned through quest completion contributes to rank progression, with users moving through a fixed set of ranks over time. While current benefits are non-monetary, higher ranks may carry additional privileges or utility in the future.

Warchest is a points-based loyalty program that rewards users for holding kySOL. Points accrue linearly based on position size and duration held and are updated daily. Users can increase their points using kySOL across integrated DeFi protocols, which apply multiplier effects. The program is non-custodial and requires no active claiming process, as points are tracked passively and are visible within the Kyros interface. Together, these initiatives aim to align long-term user behavior with protocol activity while reinforcing adoption of kySOL across Solana DeFi.

As of April 1, there are 8,400 holders of kySOL onchain, with the two top holder addresses holding 51% (105,900 kySOL) of the total assets. SwissBorg, a CeFi asset manager, operates the top holder address and, according to its internal database, has 3,900 holders of kySOL.

As of April 1, there are 2,400 holders of kyJTO onchain, with the two top holder addresses holding 46% (1.3 million kyJTO) of the total assets. SwissBorg also operates a kyJTO wallet and, according to its internal database, has 300 holders.

Competitors

In addition to Kyros, there are two other actively used protocols built on the Jito restaking infrastructure, Renzo and Fragmentic. Renzo and Fragmentic offer the same vault offerings as Kyros for restaking on Solana.

Kyros holds a 14% market share of restaked SOL among the restaking protocols built on Jito restaking infrastructure. Out of 1.5 million liquid restaked SOL across these protocols, Kyros has 204,700 in its kySOL vault.

Kyros holds a 32% market share of restaked JTO among restaking protocols utilizing Jito's restaking infrastructure. Out of 9 million liquid restaked JTO across these protocols, Kyros has 2.9 million in its kyJTO vault.

Roadmap

Over the coming year, Kyros plans to expand its offerings through additional NCN integrations and broader DeFi support. New NCN integrations will increase the number of reward-generating opportunities for vault assets, potentially raising yield for restakers. Kyros is currently in the process of integrating NCNs from Squads, Ping Network, and Nozomi, with others expected to follow. On the DeFi side, Kyros is working to expand kySOL’s utility across more protocols. Likewise, new VRT offerings are under development, with plans to support assets such as stablecoins for restaking.

Closing Summary

Kyros has emerged as one of the first liquid restaking protocols on Solana, built atop Jito’s restaking infrastructure. Through its vaults, kySOL and kyJTO, Kyros enables users to capture Solana staking rewards, MEV, and restaking incentives in a liquid format. By connecting with DeFi protocols such as Kamino, Exponent, and Sandglass, Kyros provides users with access to a broader set of yield strategies while reinforcing demand for its VRTs across Solana’s DeFi ecosystem.

Since launching in late 2024, Kyros has grown its TVL to over $36 million, with kySOL representing the majority of deposits. It currently delegates assets to nine Node Operators and supports one active NCN, TipRouter. With 14% (204,800) of the restaked SOL market and 32% (2.9 million) of restaked JTO among protocols using Jito Restaking, Kyros has established early traction in the Solana restaking ecosystem.

Looking ahead, Kyros intends to support additional NCNs and expand kySOL’s DeFi utility through new integrations with MarginFi (lending) and Astrol (lending). It also plans to launch new vaults for assets such as stablecoins. As Solana’s restaking ecosystem develops, Kyros is positioned to play a key role in connecting user capital with decentralized infrastructure and increase market share in the liquid restaking sector.

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