Introducing Penpie’s Innovative Yield-Boosting Leveraged LST Strategy for Pendle Pools
We are delighted to announce that Stella has successfully integrated with Penpie. This integration brings the boosted yields of leveraged LP strategy for LST from Pendle pools on Penpie to Stella. Additionally, Penpie pools are now live on Arbitrum mainnet under Hyper-strategies.
Users can now access Penpie’s enhanced liquidity pools with leverage through Stella, where users will be able to earn even higher yields. Simply look for Penpie’s Hyper-Strategy and Hyper-Lending Pool under the Hypernova upgrade to interact with this yield opportunity from Penpie.
Read on to find out how Penpie boosts yield from Pendle, and how Leveragoors and Lenders can enjoy the boosted yield of Penpie LPs on Stella.
How Penpie Works
It is highly recommended that you become acquainted with how Penpie works to fully utilize this integration. We have summed up the key points here, but if you are curious, you can find more to read here.
Penpie is a yield-boosting platform built on top of Pendle Finance, which is designed to boost yield and optimize governance efficiency.
Penpie allows users to convert their PENDLE tokens into mPENDLE and stake them on Penpie. Penpie then locks the PENDLE tokens into Pendle Finance as vePENDLE. This means that Penpie has a huge stake in PENDLE as well as a long staking duration on Pendle, enabling them to unlock maximum voting power and yield boosting for their users.
Overtime, Penpie’s stake in Pendle will only get larger, resulting in higher boosted yields as the process is irreversible and the amount of tokens locked will only keep increasing.
What’s Available At Launch
At launch, Leveragoors can expect 1 new Hyper-Strategy LP to open leveraged positions on.
New Hyper-Strategy LP
- wstETH
For lenders who would like to get involved, simply supply your ETH to the ETH Hyper-Lending Pool to obtain the yield from these Hyper-Strategies including Pendle’s.
Leveragoors Guide To Hypernova: Taking Leverage on Penpie’s enhanced LP
- Select Penpie’s Hyper-Strategy Pool
2. Supply and Borrow ETH
The process is similar to other leveraged strategies. Leveragoors can input the amount of ETH they want to supply then they can either choose:
- Borrow By Leverage: To select the degree of leverage.
- Borrow By Amount: To select the amount to borrow.
3. Claim Reward & Close Position
By opening leveraged positions on Penpie’s Hyper-Strategy LPs, Leveragoors will gain the benefit of earning additional rewards from providing liquidity on Penpie’s Boosted Liquidity Pools. Whereas lenders in the standard lending pools, such as Uniswap V3, only receive the yield shared from the Leveragoors. Moreover, these rewards can be claimed at any time without the need for Leveragoors to close their positions.
Lenders Guide To Hypernova
- Select Lending Pool with Hyper sign
2. Choose ‘Hyper-Pool’ pool Type and input the amount you want to supply
By selecting Hyper-Lending Pool, your liquidity will be strategically deployed within the Hyper-Strategy (e.g. Leveraged LST Penpie strategy) and Standard Strategy (e.g. Leveraged Uniswap V3 LP strategy on blue-chip assets).
Final Notes
Stella proudly stands as the pioneering customizable leveraged strategies protocol to build on top of Penpie’s innovative LP. This integration marks a significant milestone for Stella’s Hypernova upgrade, signifying its initial step to adopt trending narratives like LST and providing a new leveraged strategies opportunity to Leveragoors.
Explore this new leveraging and lending experience with maximum capital efficiency on LST pools through Stella here: https://app.stellaxyz.io/
About Stella Core Development Team
Previously as Alpha Finance Lab and Alpha Venture DAO, Stella core development team has pioneered in ‘leveraged DeFi’ since 2020. These developments include building the Alpha Homora, that has a peak TVL of $1.9B, first leveraged yield farming protocol, coming up and implementing key fundamental concepts such as tokenization and collateralization of LP tokens, and incubating a number of DeFi projects that went on to raise from top-tier VCs and list on tier-1 exchanges.
Under the new name (Stella) and the same token (ALPHA), the same core development team aims to double down on expertise in building an on-chain leveraged product. With Stella protocol that enables leveragoors to take leverage on various DeFi strategies with 0% cost to borrow and lenders to earn real yields without a maximum cap on lending APY, Stella aims to unlock highest yield potentials for DeFi users in this moderately low yield DeFi market.
