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.
Assets
By investing in this opportunity, your exposure to BTC will be through the SolvBTC.BBN token, which is a different flavor of BTC on the Ethereum blockchain.
Yield source
Your yield primarily comes from the swap fees paid by traders when swapping between various flavors of BTC, plus protocol incentives. The more trades between the BTC pairs, the higher the fees that you earn. The yield can change depending on transaction volume and value. This pool has a maturity date of 12/25/2024, after which no more yield is accrued.
Risk perspective
Risks include multiple smart contract risks and potential impermanent loss if the price of BTC derivatives depeg significantly. Underlying assets in the pool are more volatile than the asset exposure before the pool expires.
Provider
Pendle
Chain
Ethereum
Contract address
0xEb4d3057738b9Ed930F451Be473C1CCC42988384
Yield0%
30d APY
Base
12%
Reward
2.5%
.
Investment scenarios
The below scenario simulator is greatly simplified. It intends to illustrate the potential impact of asset price movement on your investment.