Meta description: LVMON staking is live on LeverUp. Deposit MON, mint LVMON 1:1, stake to earn yield from Monad LST protocols — with APY amplified by participation rate.
LVMON staking is live. Deposit MON into LeverUp, receive LVMON 1:1, stake that LVMON to earn yield generated by Monad's native LST infrastructure — without selling your MON or giving up your exposure.
That's the short version. Here's exactly how it works and how to use it.
What Problem LVMON Solves
Holding MON on Monad is a straightforward bet on the network. But idle MON is just that — idle. Every day it sits unstaked, you're missing out on the yield that Monad's liquid staking ecosystem is generating.
The catch: to participate in LeverUp's perpetuals market, you previously needed USDC. MON holders either sold into a stablecoin (giving up spot exposure) or kept MON separate from their trading activity.
LVMON closes that gap. It's a bridge that lets MON do two things simultaneously: act as trading collateral inside LeverUp, and keep earning staking yield outside your positions.
How LVMON Works
When you deposit MON into LeverUp's vault, the protocol mints the equivalent in LVMON on a strict 1:1 basis.
That MON doesn't sit in a wallet. The protocol deploys it across Monad's active yield-bearing LST protocols — currently shMON and dMON. These protocols stake the underlying MON and generate yield from Monad network activity.
The yield flows back to LVMON stakers. But here's the mechanic that makes the APY particularly interesting.
The participation rate amplifier. The protocol earns yield on the total MON deposited — the entire vault. But only LVMON that has been actively staked is eligible for yield distribution. This means if 60% of LVMON holders stake, the 60% who do stake share yield generated by 100% of the underlying MON. The effective APY is inversely proportional to the participation rate: the lower the staked fraction, the higher each staker's share.
This is not a gimmick — it's a natural consequence of the distribution mechanics. It also creates a first-mover dynamic: early stakers benefit most before the pool fills.
Staking: Step by Step
Step 1: Get MON Make sure you have MON in your connected wallet on Monad mainnet.
Step 2: Deposit MON → Mint LVMON Go to app.leverup.xyz, navigate to the Earn section, and select LVMON.
Enter the amount of MON you want to deposit. The protocol mints an equal amount of LVMON directly to your wallet. The rate is always 1:1 at deposit time.
Step 3: Stake LVMON With LVMON in your wallet, select Stake on the same screen. This commits your LVMON to the yield distribution pool and starts accruing your share of the vault's earnings.
You can stake any portion of your LVMON — you don't have to stake it all. Unstaked LVMON remains as a liquid token representing your MON position.
Step 4: Claim or Compound Each epoch, staking rewards are distributed. You can:
- Claim rewards to your wallet in the reward token
- Compound by re-staking rewards to grow your position
Redemption: Getting MON Back
Redemption is the reverse of minting: burn LVMON, receive MON.
The protocol processes redemptions from the vault's MON holdings. Because the deposited MON is deployed across LST protocols, redemptions may go through a short unbonding window depending on vault utilization at the time you request.
To redeem:
- Navigate to the LVMON section of the Earn tab
- Select Redeem, enter the LVMON amount
- The protocol initiates the redemption and provides an estimated time for MON to arrive in your wallet
There is no redemption fee. You receive MON at the current LVMON:MON exchange rate, which tracks 1:1 plus any accrued yield that has not yet been distributed.
LVMON as Trading Collateral
Staking yield isn't the only thing LVMON enables. As a supported collateral type on LeverUp, LVMON can be used directly as margin for perpetuals positions.
This means the same MON that's earning yield is simultaneously backing your perp trades. You're not choosing between the two use cases — the collateral layer handles both in parallel.
This is the design principle behind AnyCollateral applied to LeverUp's own synthetic token: capital stays productive across all of its uses at once.
$LV and the LVMON Connection
Every epoch, the protocol takes a commission from the LVMON staking vault. That commission is immediately used to buy $LV on the open market and burn it.
This is the first active $LV buyback stream — and it's already running. The buyback amount is on-chain and observable per epoch. As the LVMON vault grows, the buyback rate grows with it.
For $LV holders, this means LVMON staking activity is directly compressing the circulating supply. The more MON deposited, the more $LV gets bought back. The mechanism ties LVMON adoption to $LV token scarcity in a single, auditable flow.
Why This Matters for Monad
LeverUp's LVMON vault is one of the first structured yield products built natively on Monad. For the ecosystem, it means:
- MON holders have a productive home for their tokens within a DeFi primitive, not a bridge to another chain
- LST protocols (shMON, dMON) gain depositor volume routed through the LeverUp vault
- Trading activity on LeverUp generates additional utility for MON without requiring MON holders to exit their position
The infrastructure is composable by design. As Monad's DeFi layer expands, LVMON is positioned as a foundational building block — a way for MON to participate in yield, trading, and protocol governance all from a single deposit.
Deposit MON and start earning → app.leverup.xyz
