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Pendle cycle overview: vePENDLE LP income increased; PT-sUSDe Morpho pool deployed 25 million DAI

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Pendle is about to launch Sophon's PEPE pool, Kelp's Gain vault points trading, and Mantle's MNT staking pool.

This week, Pendle brought a series of exclusive Alpha opportunities to investors. First, Sophon's PEPE pool, although slightly delayed, is expected to be launched soon, providing community members with a brand new investment option. Then, Kelp's Gain vault is also coming soon. Pendle will support Kelp's Gain vault (agETH) for point trading, which will open up additional income avenues for users. In addition, Mantle's MNT staking pool will also be added to Pendle's support list. Users can participate in MNT income trading through this staking pool and earn points called "power".

Spark deploys 25 million DAI in PT-sUSDe Morpho pool

According to data, the PT-sUSDe-24Oct2024 market recently exceeded 90% optimal utilization. In this market, PT-sUSDe is anchored to $1, which means that users will not be liquidated due to price fluctuations. In addition, borrowers migrated from the sUSDe 86% LLTV pool to the PT-sUSDe-24Oct2024 pool, resulting in a sharp increase in borrowing rates.

In response, BA Labs proposed and implemented an increase of 25 million DAI in the PT pool capacity, reaching the 100 million DAI supply cap set by Maker governance.

As of now, the total supply of the PT Pendle sUSDe Morpho market is approximately $99.98 million, borrowing is approximately $91.84 million, and the utilization rate is 91.85%.

Additional Rewards for vePENDLE Holders

LPs holding vePENDLE will enjoy up to 2.5 times more income than ordinary LPs. When LPing on Pendle, users will receive income from basic income sources, swap fees, and PENDLE rewards.

While this is already above your base yield, you can use vePENDLE to amplify your PENDLE rewards. Here are 3 scenarios to maximize your yield:

Holding PENDLE: APY Increases to 95%

Owning vePENDLE will increase a user's Pendle rewards by up to 2.5x if their vePENDLE ownership is higher than their share of the pool liquidity. Users can turn 40% APY into 95% APY by PENDLE maxi-ing.

Use Penpie: APY Increases to 63%

If users do not hold PENDLE, they can increase their rewards by 2.07x through Penpie, from 40% APY to 63%.

Use Equilibriafi: APY Increases to 77%

Equilibria is another large vePENDLE holder, leveraging users’ Pendle LP tokens to generate more yield for users.

In addition to bonus PENDLE, Equilibriafi’s platform’s native tokens, EQB and xEQB, are also available. It can increase APY from 40% to 77%.

Super Symbiotic weETH pool provides additional income for PT

Pendle's Super Symbiotic weETH pool provides additional appeal for PT because they can not only get basic income, but also points. In contrast, YT can only get points. This provides a more attractive income structure for PT holders.

In the ordinary pool, users need to invest 0.95 ETH in exchange for 1 PT-ETH. This process guarantees that users can get 0.05 ETH with a fixed income at maturity. The user's additional income comes from the basic flow shared by YT holders.

However, the Symbiotic pool uses an innovative points-only system, which means that YT holders will receive points instead of direct yield distribution. Then, in addition to the fixed 0.05 ETH, the yield is reinvested into PT-ETH, giving holders a variable yield portion of the underlying asset.