Pendle is the ultimate yield market in DeFi – fixed yields, floating yields, leveraged yield trading, “yield-neutral” liquidity provision.
The objective of The Pendle Print is to distill the developments in DeFi yield markets into a succinct and actionable format.
New Markets on Pendle
gmeow ~ 💚 New Zircuit and Swell pools went up and running this week, right in time for that big June maturity migration:
Zircuit eETH (22 Aug)
Zircuit rsETH (22 Aug)
Zircuit ezETH (22 Aug)
Zircuit USDe (22 Aug)
Swell rswETH (26 Sep)
27 June Maturity Guide
For those who haven’t already done so, gentle reminder that 27 June pools have already matured.
What should you do? What can you do? And how do you use the new Liquidity Transfer/PT Rollover features?
All you need to know covered in this one thread below:
Key Highlights 🔑
For everyone that asketh receiveth.
Yes, the Mellow LRT pools have finally received a fresh dose of limit increase:
Jury is still out on Symbiotic cap, but word on the street is it should be coming any day soon, so do keep an eye out.
Meanwhile, enjoy one of the highest ETH yields on the market with these Mellow LRTs (plus 3x Mellow Points for your trouble, at least until the the cap increase for Symbiotic).
Similarly, another popular pool, sUSDe (Jul 2024) has also been the beneficiary of another limit increase:
Meanwhile, Arbitrum pools are also getting a rush of ARB rewards this week:
Trades of the Week 🔥
As expected, short-dated PTs are still favoured by whales, with most of them rolling over to the July and August pools:
0xc65 swapped 1,025 ETH for 1,030 PT-eETH (25 Jul)
0xc65 swapped 500 ETH for 507 Zircuit PT-eETH (22 Aug)
0xa50 swapped ~$5.177M for LP in weETHs (29 Aug) + PT-weETHs (29 Aug)
0x7b5 swapped 906 ETH for 913 PT-eETH (25 Jul)
0x30e swapped 850 ETH for 874 PT-ezETH (26 Sep)
At time of writing, Mellow LRTs are offering the highest Fixed APYs at ~20% APY across. Liquidity is still relatively low compared to the incumbent LRTs but with caps having increased, we should see more flows to these soon.
Hot tip: Set a limit order to work around the price impact!
Penconomy
Presenting the “look ma, no hands!” equivalent for Pendle PT, courtesy of DeFi OG Yearn:
In a similar vein, Karak has also rolled out their own rollover feature to help make the lives of Pendies easier:
Intern Insights
Now that the caps have increased, all eyes and ETH are once again on the Mellow pools - one of the best ETH APY opportunities in DeFi town.
For reference, updated numbers are as of below:
steakLRT | 21.79% Fixed APY | 17.08% LP APY
amphrLRT | 19.91% Fixed APY | 14.66%
rstETH | 19.47% Fixed APY | 22.9% LP APY
Re7LRT | 18.85% Fixed APY | 22.82% LP APY
Still not convinced? Perhaps Jenny from Blackpink 💖 could convince you otherwise:
And if you’re on the hunt for something more…exciting
The onslaught of rollover + migration have depressed Implied APYs across many pools, presenting some potential opportunities for points hunters (moonsheets being cooked up, so get that notification up for Pendle Intern’s Notes):
On another note, this also means that trading volumes have been rampant this week, something which vePENDLE and LPs would appreciate.
Some of the potential pools to pay attention to:
EtherFi’s Super Symbiotic LRT is a messy, beautiful tangle of points fiesta, with the potential to be one of the best plays in town. Here’s intern to help you break it down:
Twitter Highlights
Messari features Pendle USDe and sUSDe as some of the best sstablecoin yield:
Post-migration YT discount:
90% APR strat with Silo + Pendle:
ezPoints AKA YT-ezETH get a nice bump in Season 2:
Anon crafts a comprehensive ETH strategy around Symbiotic x Pendle (PendleIntern approved 👍🏻):
Last but certainly not least - if you’re ever in need to spark some joy in life…
That’s it for this issue.
Attention and capital is scarce in this market – and for that we thank you for your continuous support.
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Pendle is the largest rate swap protocol for fixed yields and yield trading in DeFi. Pendle’s adoption as a DeFi primitive has been growing across protocols and institutions to generate more yield, secure fixed yields and directionally trade yield on yield-bearing DeFi assets.
Disclaimer: Nothing written in this post is intended to serve as financial advice. All content in this post serves merely for informational purposes.
Nice Print as always 👀