Creation of Euler Yield market
Author: Euler Labs
Date: 2024-12-11
Summary
There is increased demand for markets in DeFi that enable users to borrow stable assets against tokenised yield strategies, such as Ethena’s sUSDe. These tokenised strategies offer a different risk-reward profile to borrowing against crypto asset collateral or lower-yielding real-world assets (RWA) and therefore likely would have unpredictable impacts on lenders and borrowers if included in Euler Prime. Here, we therefore propose the creation of an Euler Yield market, designed to allow users to borrow stable assets against higher-yielding tokenised yield strategies such as USD0++, sUSDe, sdeUSD, wstUSR, mBASIS, and their Pendle PT token relatives.
Specification
New assets
Non or low-yield bearing borrowable assets
USDC, USDT, FDUSD, PYUSD, rlUSD, USDA, wUSDM, wUSDL, wM, USDS, DAI.
Yield-bearing assets
sUSDS, sDAI, USD0++, sUSDe, sdeUSD, wstUSR, mBASIS.
Pendle PT tokens
PT-USD0++ (30JAN2025), PT-USD0++ (27MAR2025), PT-USD0++ (26JUN2025), PT-sUSDe (27MAR2025), PT-sUSDe (29MAY2025), PT-USDe (27MAR2025).
Risk Management
Euler Yield will be governed by Euler DAO and risk-managed by a new risk-management advisory firm that recently partnered with Euler Labs.
Copyright
Copyright and related rights waived via CC0.