Earn Up to 45% Returns with Bitcoin in Pendle’s Latest Pool Offerings

DeFi platform Pendle has introduced new pools that offer users the opportunity to earn variable yields of up to 45% on a token backed by bitcoin (BTC). This move marks an expansion of the platform’s core offerings. The yields are made possible through a partnership with staking service Lombard, utilizing their LBTC token in conjunction with the Ethereum layer-2 network Corn.

Pendle’s investment structure divides funds into principal tokens and yield tokens, enabling separate trading and the implementation of high-yield strategies by allowing users to trade anticipated future returns. Users can also benefit from fixed yields of 10% annually by depositing LBTC, a liquid-staking token provided by Lombard, into a Pendle pool created on the Corn network. Since the launch of this pool, it has attracted over $13 million in user deposits and is set to mature on December 26.

CEO TN Lee expressed the platform’s goal to replicate the success seen with fixed yield for Ethereum by introducing similar opportunities for bitcoin. Lee highlighted the upcoming releases of new pools and launches as part of their strategic roadmap.

Pendle’s unique approach involves splitting investments within decentralized finance (DeFi) protocols, such as Compound or Aave, into two distinct tokens: the principal token (PT) representing the investor’s stake and the yield token (YT) representing the expected earnings in token rewards. This division allows for the trading of PT and YT separately, leading to the high yields achievable in Pendle’s pools.

Users have the option to purchase YT using LBTC, increasing their exposure to underlying yields and points from LBTC and Corn until maturity, at which point YT’s value becomes zero. Alternatively, users can choose to receive either the fixed yield or the floating yield, which includes monetizable points and future tokens airdropped to LBTC holders.

Lombard, a service specializing in restaking, transforms wrapped bitcoin (WBTC) into Lombard Bitcoin (LBTC) tokens for utilization in DeFi applications to capture yield. Corn, another startup, operates as a network that utilizes bitcoin as the primary token for paying usage fees.

In conclusion, Pendle’s innovative offerings cater to the evolving landscape of decentralized finance, providing users with diverse opportunities to earn yields and engage in high-yield strategies within the crypto ecosystem. The platform’s PENDLE tokens have shown an 11% increase in the past 24 hours, outperforming the 2% rise in bitcoin, as per CoinGecko data.