Stride: stATOM/ATOM LP on Osmosis

[Stride](https://www.stride.zone/) is an ATOM liquid staking provider in the Cosmos ecosystem. Stride handles liquid staking operations on its own sovereign appchain, secured by the Cosmos Hub via Interchain Security. Stride LSTs allow users to unlock the full value of their staked assets. By staking with Stride, stakers receive a fungible token (stToken) that allows them to use their assets in DeFi while simultaneously earning staking rewards. This innovative feature makes Stride LSTs some of the most prominent and compelling collateral assets in the Cosmos ecosystem, with over $30 million in TVL deployed across DeFi protocols in Cosmos and beyond.

### Use case Provision of stATOM/ATOM liquidity on Osmosis in pool 1283. ### Duration, Tribute, Yield & Target The liquidity will be maintained for 3 months. The tribute will be paid in STRD. The liquidity target is 150,000 ATOM. The estimated APR for this deployment is 1-5%. ### Risk mitigation Hydro's deployment will be capped at a maximum of 25% of the total supply of the stATOM LST, across all of its current deployments. ### Security The Stride source code is open-source and can be found [here](https://github.com/Stride-Labs/stride). The Stride codebase is audited regularly by Informal Systems and has been audited by other security firms, including Oak Security. You can find more information on Stride’s security practices [here](https://www.stride.zone/security). Stride’s documentation can be found [here](https://docs.stride.zone/). Osmosis is also open source/source available, and the codebase can be found below [here](https://github.com/osmosis-labs/osmosis). Emergency security contact has been provided to the hydro committee. ### Monitoring The committee may monitor the position using the Osmosis UI found [here](https://app.osmosis.zone/pool/1283). Our venue queries can be viewed [here](https://hackmd.io/@XcVbaDPzSDaZ2crWZ2_smw/r1I5-pROJl). ### Deployment Liquidity to be deployed to the stATOM / ATOM concentrated liquidity pool on Osmosis (Pool ID: 1283). Pool address: osmo1z0j6zm4ndmwl27kekla8un73nfu8rh5dhfg2957yr0kg3uumd9rs9sv5kq. The concentrated liquidity range is to be set as follows: * Upper bound: 10% above the stATOM redemption rate at the time the position is deployed * Lower bound: 5% below the stATOM redemption rate at the time the position is deployed Our deployment example transactions can be viewed [here](https://hackmd.io/@XcVbaDPzSDaZ2crWZ2_smw/r1I5-pROJl). ### Security review Reviewed by Arlai on 6-July-2025: Based on the security review of Stride's stATOM/ATOM liquidity pool on Osmosis, this opportunity is assessed as “low risk” for Hydro liquidity provision. Strong economic security via Cosmos Hub validators and established infrastructure outweigh audit recency concerns. | Category | Details | |------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| | Audits | Stride’s last comprehensive audits were conducted between late 2022 and mid-2023, with no confirmed coverage since. The audit gap of over 2.5 years is a notable concern, but all issues identified by Oak Security have been resolved, indicating solid internal practices. | | Dependencies | Stride is secured by the Cosmos Hub through Interchain Security, offering strong economic guarantees. Liquidity is deployed via Osmosis, a well-established Cosmos DEX. The implementation uses standard mechanisms with no experimental components. |

Reviewed by PhilRX on 20-August-2026: This bid presents no risk of impermanent loss, and the underlying smart contracts have been audited. Based on this, the committee recommends the use of the LST framework for this bid. Assuming a successful bid, Hydro will be authorized to distribute the full amount requested, provided its holdings of stATOM across all deployments does not exceed 25% of the total stATOM supply. ### Disclaimer This document is provided for informational purposes only and does not constitute investment advice, a recommendation, or an offer to participate in any investment strategy. The information contained herein reflects current views as of the date of publication and is subject to change without notice. Recipients should conduct their own research and consult with professional advisors before making any investment decisions.