HAEDAL isn’t just for voting—it’s useful in lending markets too
Governance tokens often give the impression that their only purpose is to be locked up in exchange for voting rights.
For HAEDAL, issued by Haedal, a liquid staking protocol on Sui, many people’s first thought is also to lock it as veHAEDAL and take part in ecosystem governance votes.
Here’s a little-known fact: HAEDAL itself also has a place in Sui’s lending markets. Protocols such as Navi, Scallop, and Suilend support depositing HAEDAL or using it in lending and borrowing.
That means HAEDAL holders aren’t limited to locking up their tokens to participate in governance or simply holding them idle. They can also treat HAEDAL as a regular decentralized finance asset: deposit it into lending markets to earn interest, or use it as collateral to borrow other assets.
For those who simply want to participate in governance and support the protocol’s direction over the long term, locking HAEDAL as veHAEDAL remains a sensible choice.
But for those who want to put their tokens to work, lending markets offer additional flexibility.
This also reflects a broader trend: once a governance token has gained sufficient market recognition, other protocols often naturally add it to their list of supported assets. This allows it to become part of wider decentralized finance use cases, such as lending, beyond its original governance purpose.
Governance tokens often give the impression that their only purpose is to be locked up in exchange for voting rights.
For HAEDAL, issued by Haedal, a liquid staking protocol on Sui, many people’s first thought is also to lock it as veHAEDAL and take part in ecosystem governance votes.
Here’s a little-known fact: HAEDAL itself also has a place in Sui’s lending markets. Protocols such as Navi, Scallop, and Suilend support depositing HAEDAL or using it in lending and borrowing.
That means HAEDAL holders aren’t limited to locking up their tokens to participate in governance or simply holding them idle. They can also treat HAEDAL as a regular decentralized finance asset: deposit it into lending markets to earn interest, or use it as collateral to borrow other assets.
For those who simply want to participate in governance and support the protocol’s direction over the long term, locking HAEDAL as veHAEDAL remains a sensible choice.
But for those who want to put their tokens to work, lending markets offer additional flexibility.
This also reflects a broader trend: once a governance token has gained sufficient market recognition, other protocols often naturally add it to their list of supported assets. This allows it to become part of wider decentralized finance use cases, such as lending, beyond its original governance purpose.
