#termmax @TermMax Something in TermMax AERO put vault on Base stopped me today.
the headline is 13% APY from option premium. That part everyone will read and move on from.
what I kept looking at was the 4% underneath it.
TermMax routes idle USDC into a Gauntlet-curated Morpho vault while it waits to be matched. So the capital earns floating yield before it earns fixed yield. Two jobs running on the same dollar at the same time.
most DeFi yield products charge you opportunity cost for showing up early. TermMax with $90M TVL and 90K daily active users apparently decided that was a design flaw worth fixing.
The honest question I haven't resolved yet is what happens to the 4% floating layer when the AERO put triggers and the fixed mechanics take over. Does the transition happen cleanly or is there a gap where neither rate applies?
TermMax TGE is August 25. The stacked yield architecture is either the most underrated feature going into that date or a complexity layer that breaks under real volume.
Still watching which one it turns out to be.
the headline is 13% APY from option premium. That part everyone will read and move on from.
what I kept looking at was the 4% underneath it.
TermMax routes idle USDC into a Gauntlet-curated Morpho vault while it waits to be matched. So the capital earns floating yield before it earns fixed yield. Two jobs running on the same dollar at the same time.
most DeFi yield products charge you opportunity cost for showing up early. TermMax with $90M TVL and 90K daily active users apparently decided that was a design flaw worth fixing.
The honest question I haven't resolved yet is what happens to the 4% floating layer when the AERO put triggers and the fixed mechanics take over. Does the transition happen cleanly or is there a gap where neither rate applies?
TermMax TGE is August 25. The stacked yield architecture is either the most underrated feature going into that date or a complexity layer that breaks under real volume.
Still watching which one it turns out to be.