Pendle launches a new mechanism, increasing APY through limit orders and YT rewards, with the author actively exploring.
Pendle yield hack?! - Trying to earn a little more interest
Some changes (?) have occurred in Pendle, and due to the shock from PerpDEX I haven’t been able to look back until now, so I’m posting it.
✅1. Using Limit Order Incentive
- Placing a Limit Order (LO) creates a system that gives interest in PENDLE tokens.
- Buying a Yield Bearing Asset and setting a LO yields additional interest.
- For example, with the hot APYx, buying apxUSD and converting to apyUSD gives about 9% APY; adding a LO adds roughly 2% APY, totaling about 11% APY.
- While the LO is open, points are secured; if the price changes and PT is purchased, the interest rate is locked at the PT purchase moment. (Points cannot be received.)
- Placing a LO incurs no extra cost beyond the initial Approve (cancelling requires gas).
(But now PT is almost 15% APY, which seems pretty good?!)
✅2. Minting using YT Extra Reward
- Currently, Pendle provides YT Extra Yield on USDG / sNUSD.
- This consists of PENDLE tokens and separate tokens offered by each project.
- By minting and obtaining PT+YT without slippage, you can earn a 'tiny' additional interest via YT Reward (YT dollar value × extra interest rate%).
✅Changes from Pagu
In fact, given the timing, depositing anywhere feels uncertain, but DeFi hyenas still wander looking for interest... they’ll contort themselves in any way possible.
With LO, you can place infinite overlapping orders within your holding limit,
If the underlying asset is the same, you can set LO across various places,
I plan to test directly whether this also yields interest.
It feels a bit like a scam,
But somehow it feels like that right now...
Anyway, Pagu is a Pendle Ambassador.