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Category: Forex News

Thetanuts Finance Launches Leveraged Liquid Restaking

By Published On: March 14, 20242.7 min readViews: 1860 Comments on Thetanuts Finance Launches Leveraged Liquid Restaking

The onchain options protocol has integrated with Pendle Finance to tap multiple yield sources.

Thetanuts Finance, an onchain options protocol launched in September 2021, has partnered with Pendle Finance. Users can “Zap” their PT-eETH tokens and deposit them into the Thetanuts Finance v3 Lending Market.

They then borrow ETH, depositing it into an ETH Call (ETH-C) Basic Vault, where it generates additional option premiums but takes on short volatility risk. The $ETH-C is then boosted within the Thetanuts Finance v3 Lending Market, generating additional lending interest that’s returned to users.

Ethereum’s restaking ecosystem has been on a tear, with total value locked surging 500% to $10 billion in the past thirty days. The Thetanuts – Pendle partnership is yet another example of how DeFi applications are finding ways to layer points and leverage together as they try to entice traders with higher yields.

Pendle is a DeFi protocol that splits yield-bearing tokens into their yield (YT) and principal (PT) components. It has $2.3 billion in TVL and offers traders a way to leverage yield opportunities without locking up principal while arbitrageurs rebalance the market inside Pendle’s custom automated market maker.