According to a recent Nansen analysis, Stride, a protocol built on the Cosmos ecosystem, presently controls more than 80% of the ecosystem’s market share. Stride’s governance token, STRD, has had a 330% growth year to date despite the market’s continuing downward trend, outperforming both Ethereum (ETH) and Lido’s native token (LDO) in terms of price performance. Stride competes with Lido, a market leader in liquid staking derivatives (LSD).
According to the research, STRD has a market valuation of over $72.29 million, an FDV of about $82.58 million, and a TVL/FDV ratio of just 2.1. Given its genuine yield revenues to STRD stakeholders, new value capture methods through transaction fees and MEV, and other near-term catalysts that expand Stride’s addressable market to billions of untapped markets, Nansen’s study revealed that STRD may be undervalued.
The Liquid Staking Module, which was just released and allows ATOM stakers to quickly liquid-stake their ATOM without any bonding periods, is responsible for the token’s recent spike. Since the protocol’s debut, there have been roughly 30% more ATOM tokens liquid staked through it than before. Additionally, this year has seen a huge increase in the total value locked (TVL) in Stride, particularly since the Cosmos Hub’s liquid staking module went live. Stride presently has a TVL of $36.94 million, according to data from DeFiLama, with staked ATOM making up about 80% of these tokens.