This opportunity works well for investors who want long exposure to Bitcoin (BTC). Keep in mind, your returns are impacted by the price of BTC and this pool's yield. Pool returns are better when held until expiry. To capture all the yield potential in this pool, consider holding it until the expiry date.
Risks include multiple smart contract risks and the potential depeg of SolvBTC.BBN. Pool is subject to loss if SolvBTC.BBN depegs significantly. Since PT tokens act as zero-coupon bonds, they will appreciate over time such that you can redeem the full underlying yield-bearing token (SolvBTC.BBN) at the maturity date. If liquidity is provided until maturity, an LP’s position will be equivalent to fully holding the underlying asset since PT essentially appreciates towards the underlying asset.
Your yield primarily comes from the swap fees paid by yield traders when swapping between SolvBTC.BBN and a fixed-yield derivative of SolvBTC.BBN, plus protocol incentives. The more trades, the higher the fees that you earn. The yield can change depending on transaction volume and value.