Magma
About
Magma is a community-owned liquid staking protocol on the Monad blockchain. Users stake MON tokens and receive gMON, a reward-bearing (non-rebasing) liquid staking token that can be used across DeFi applications on Monad — such as lending, liquidity provision, and collateralization — while continuously earning staking rewards. Designed with a dual-vault architecture (CoreVault for pooled delegation and gVault for opt-in per-validator isolation), Magma targets both retail and institutional stakers on Monad.
Where Does Yield Come From?
Yield comes from two main sources.
1. Base staking rewards. When you deposit MON tokens into Magma, your tokens are grouped together with other users' deposits and lent out to a set of trusted validator operators (companies like Alchemy, Blockdaemon, Figment, and others that the community has approved). These operators run the Monad blockchain's proof-of-stake system, and the rewards they earn are added directly to your gMON tokens. Importantly, gMON is a non-rebasing token — your gMON balance stays the same number, but each gMON token becomes worth more MON over time as rewards build up.
2. MEV-boosted yield. Magma runs its own block engine, where validators auction off empty blockspace to third-party searchers. The rewards from those auctions (known as MEV) flow back to gMON holders, giving an extra yield boost beyond the basic staking rewards.
On fees: Magma does not charge a fee on the MON you deposit. It takes a standard protocol fee only from the staking rewards, and part of that fee is shared with the validators. According to the official blog, 100% of the protocol's net fees (the portion Magma keeps) are used to buy back gMON tokens from the market and burn them — which reduces the total supply over time.
Magma also runs a points program (Season 1). You earn multiplier-based points for actions such as:
- Staking MON and holding gMON
- Providing gMON liquidity on exchanges like PancakeSwap, Uniswap, Kuru, or Curve
- Lending gMON on money markets like Morpho, Euler, or Folks Finance
- Using gMON as collateral in CDP platforms like Monata
- Holding partner NFTs alongside gMON
Points track automatically via on-chain activity and are saved for future distribution.
Persons
Dan
CMO Magma
David Mass
Co-Founder, Hydrogen Labs
Audits
| Audit / Date | Findings | Verdict |
|---|---|---|
Zenith03-11-2025 - 11-11-2025 |
| No critical or high-severity vulnerabilities were found, and the six medium-risk items were either resolved or acknowledged with reasonable mitigations, indicating a generally sound codebase with manageable residual risks for launch. |
Cantina07-10-2025 - 12-10-2025 |
| All 4 high-severity and most medium-severity findings were fixed by the development team, demonstrating strong remediation; residual acknowledged items (e.g., unbounded validator count, gVault redemption restriction) represent operational risks and design trade-offs that the team has accepted, rather than exploitable vulnerabilities. |
Cantina27-02-2026 |
| This audit found no vulnerabilities in the reviewed commit, indicating that the in-scope contracts appeared clean at the time of review; however, this was a solo researcher review with a limited scope window, so it should not be considered a comprehensive security guarantee. |
Cantina10-02-2026 - 14-02-2026 |
| The audit found no critical or high-severity vulnerabilities; the 5 low-risk and 5 informational findings address EIP compliance, rounding, state validation, operational gas griefing, and code quality, with several fixes already verified in a subsequent commit. The core safety of the Magma V2 liquid-staking contracts appears sound for the reviewed scope. |
Zellic06-10-2025 - 15-10-2025 |
| No critical-severity vulnerabilities were found, and all high-severity issues were acknowledged and patched by the Magma team during the audit, substantially reducing residual risk; however, the protocol's reliance on admin-controlled rebalancing and validator management functions creates centralization vectors that users should consider. |
Halborn25-09-2025 - 03-10-2025 |
| This Halborn audit found one critical and one high-severity issue plus several medium-severity findings, all of which were remediated or risk-accepted by the team, resulting in a substantially improved codebase. The residual risks (e.g., fee-transfer failures, slippage, and cache staleness) were consciously accepted by Hydrogen Labs and should be monitored by users and administrators. |
Backers
Magma is backed by a set of 12 venture firms listed on its homepage under "Backed By": Animoca Ventures, Bloccelerate, Builder Capital, CMS Holdings, IV Crypto, Maelstrom, Optic Capital, Relayer Capital, RockTree Capital, Stake Capital, Veil, and Wise3 Ventures. No specific round name, dollar amount, or funding date was disclosed on the website, docs site (docs.hydrogenlabs.xyz/magma), or official blog (blog.magmastaking.xyz).
Legal
Legal form
Corporation (Inc.)
Status and notes
The website and Interface are operated by Hydrogen Labs, Inc. (the "Company"), as disclosed in the Terms of Service available at /terms (last updated August 14, 2024). The Terms select Delaware law as governing law and designate New York as the arbitration venue. A Privacy Policy is available at /privacy-policy (last updated August 14, 2024). The company contact email is [email protected]. The footer states "© 2026 Magma Staking. All rights reserved." No imprint page or explicit registry/incorporation jurisdiction was found on the official sources.