In the world of decentralized finance (DeFi), Pendle and PenPie are garnering attention with their unique revenue management opportunities. This article explores their key features and insights.
What is Pendle?
Pendle is a platform that allows users to turn yields into tradable tokens. It breaks down yield-generating assets into two types of tokens: Principal Tokens (PTs) for fixed returns and Yield Tokens (YTs) for potential future gains. Pendle supports multiple networks, including Ethereum, Arbitrum, and BNB Chain. Currently, the total value locked (TVL) is $4.8 billion, predominantly on the Ethereum network. Recently, the platform generated approximately $34,244 in revenue.
Advantages of PenPie
PenPie, as a subDAO of Pendle, significantly enhances its offerings. Users can deposit Pendle assets to receive auto-compounded PTs/YTs and participate in voting. The current TVL of PenPie stands at $113.75 million, with attractive yields of up to 31-33% on various pools. The system offers users additional advantages, including the potential for extra rewards through partner integrations. Users opting for PenPie can achieve boosted yields without the need for active asset lock management.
Prospects and Conclusions
Is now a good time to invest? Pendle shows stable revenue; however, its price is below the historical high. For PenPie, it offers appealing APYs at a lower price, though it also comes with certain risks. The choice between directly using Pendle and PenPie depends on the investor's preferences: if direct control over management is desired, Pendle would be more appealing, while PenPie is suitable for those seeking increased incomes with less active management.
Both Pendle and PenPie open up intriguing opportunities for DeFi users. Each platform offers unique methods for managing yields and capital influx, making them relevant for investors in a volatile market.
