Cosmos Hub Passed Liquidity Staking Module Proposal

Cosmos Hub announced on Twitter: "Proposal #790 has been approved, and the Cosmos community supports the implementation of the Liquid Staking Module (LSM) on the Hub. LSM brings instant liquidity staking without waiting for the unbonding period, and the module will be integrated into upcoming future upgrades.

Cosmos Hub further explained the feature: "Users will be able to directly stake their already staked $ATOM for liquidity. To mitigate the risks of liquidity staking, LSM introduces governance-controlled parameters. The total amount of $ATOM that can be liquid-staked will have an initial cap. The cap will be set at 25% of all staked $ATOM and can be changed through governance.

As an additional security feature, validators who want to receive delegations from liquid staking providers would be required to self-bond a certain amount of $ATOM.

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