The ShMON Partnership
ShMON is Monad’s native liquid staking token and currently the largest LST on Monad. EverDraw’s relationship with ShMON is a design partnership — not a generic integration. The two protocols are built to strengthen each other.
What ShMON is
ShMON is a liquid staking token issued by the ShMonad protocol. When you stake MON via ShMON, you receive shMON tokens representing your staked position. Those tokens earn consensus-layer yield — the native staking reward generated by Monad’s proof-of-stake mechanism — while remaining liquid and composable within DeFi.
This yield is structural. It doesn’t come from a lending market, a token emission schedule, or a third-party protocol’s fee revenue. It exists as long as Monad has staking, which is to say: as long as Monad exists.
How EverDraw uses ShMON
When a user deposits MON into EverDraw and purchases tickets, that MON is immediately staked via ShMON. The protocol holds shMON shares representing the deposit. While those shares sit in EverDraw’s vault, they accrue staking yield at the network level.
At the end of each round, the total accumulated yield — the difference between the MON value of the shMON shares and the original principals — is the prize pool. One winner takes the entire prize pool. Everyone’s shMON shares are then unstaked, principals returned, and the cycle begins again.
The user never interacts with ShMON directly. They deposit MON, they receive MON back. The ShMON layer is infrastructure, not user-facing complexity.
Why we chose ShMON
1. The right yield source for prize savings
Prize savings only works if the yield is reliable and meaningful. Lending market yields compress and expand with DeFi cycles — when rates are low, prizes become tiny and uninspiring, and the flywheel reverses. ShMON yield is consensus-layer yield. It doesn’t depend on borrowing demand, liquidity depth, or market conditions. It provides a native yield floor that exists as long as Monad runs. Even in a DeFi winter where every lending market compresses, EverDraw’s core MON vault keeps producing prizes backed by staking yield.
2. Chain alignment, not just yield extraction
Other yield sources generate yield by extracting fees from DeFi activity — trading fees, borrowing interest, LP returns. EverDraw’s deposits via ShMON do something different: they stake MON and strengthen Monad’s network security directly.
Every EverDraw user is simultaneously participating in prize savings and contributing to Monad’s validator set. This is not a coincidental alignment — it is the core reason EverDraw was built on Monad and not anywhere else. EverDraw doesn’t extract from Monad. It strengthens Monad with every deposit.
3. A design partnership, not a generic integration
EverDraw has a direct working relationship with the ShMON team. This is a design partnership — the integration is deep, maintained, and evolves as both protocols grow. As ShMON adds new features, staking mechanics, or epoch parameters, EverDraw’s integration evolves with it. This is a level of alignment that a generic ERC-4626 wrapper cannot provide.
Why this benefits ShMON
The relationship is genuinely mutual.
Protocol-driven staking volume
Every EverDraw deposit is a ShMON staking event. As EverDraw TVL grows, so does ShMON’s staked MON. This is organic, protocol-driven demand that doesn’t require ShMON to run its own user acquisition campaigns — EverDraw’s product does the conversion.
A new user segment
ShMON’s current user base is DeFi-native: users who understand LSTs and actively want to stake. EverDraw brings a completely different segment — casual holders, lottery-curious users, and DeFi newcomers who would never seek out a staking protocol but will deposit into a no-loss prize pool. These users become ShMON stakers without knowing it.
Ecosystem narrative
EverDraw’s story — “every deposit strengthens Monad” — is a narrative that benefits ShMON directly. The protocols grow each other’s visibility. When EverDraw wins attention, the ShMON partnership is part of that story.
The bigger picture
The ShMON partnership is the foundation of EverDraw’s yield architecture. The protocol is designed to expand to additional asset types and yield sources over time — but ShMON remains the native yield floor that ensures the core product always works, regardless of broader market conditions.