Florence V3

The Florence team has been hard at work in the background to bring a new upgrade to the Florence platform, we are excited to welcome Florence V3.

In order to onboard new capital to the Florence ecosystem we have created a new element to the Florence dApp in co-ordination with our friends at Angle.Money.

Florence V3 was built to level up the RWA yield generation game on Arbitrum. With the help of Angle, our new mechanism introduces ‘yield stacking,’ allowing users to leverage the native yield of stEUR, Angle’s staked Euro stablecoin, alongside the yields within the Florence ecosystem.

With Florence V3, users are able to use Angle’s stEUR, which already earns a native yield of 3.38%, to buy our flrEUR token, or they can use agEUR to mint new flrEUR in the Florence Treasury. The flrEUR token is pegged 1:1 to the Euro and backed by the Florence Treasury which consists of deposited agEUR and Florence’s real-world loan portfolio.

This new feature of allowing users to mint flrEUR using agEUR means that Florence has the ability to more easily onboard TVL and therefore has the potential to grow the underlying loan portfolio in the future.

Once a user has flrEUR they can either deposit the flrEUR into our RWA Vaults, tapping into yields ranging from 7.25–9.5% APR, or they can use flrEUR in combination with stEUR to add liquidity to the Camelot flrEUR / stEUR Nitro pool offering attractive liquid token rewards for liquidity providers. This allows liquidity providers to enjoy the stEUR native yield on their stEUR position as well as FFM rewards on the flrEUR position thereby creating the ability to “stack” yields.

This means that stEUR holders can now earn the native stEUR yield of 3.4% APR while also earning upwards of 20% APR in FFM token rewards. This integration of yield stacking allows Florence to boost the overall liquidity in its ecosystem while also supporting Angle in their RWA mission. Florence V3 offers a compound interest effect that maximizes earning potential in the RWA ecosystem on Arbitrum as well as improving liquidity for Euro stablecoins.

Florence V3 is more than an upgrade; it’s a new paradigm in RWA on Arbitrum, combining stability, liquidity, and yield in one integrated ecosystem.

Florence V3 is a multi-stage upgrade with this being just the first stage, the next components that are on the horizon to be added are loan recycling, term structure staking and multichain RWA solutions.