Can the principal and future yield of yield-bearing assets be traded separately?
Pendle’s AMM is specifically designed for PTs and accounts for how the price of a PT converges toward its redemption value as maturity approaches.
The implied yield shown in the interface is calculated from the market-traded price; it is not a return promised by the protocol.
$PENDLE is the token of the yield-tokenization protocol Pendle.
Have you run into any pitfalls in this area? Share your experiences to help others avoid them.
#PENDLE
Markets change quickly, so don’t rush to conclusions.
Pendle’s AMM is specifically designed for PTs and accounts for how the price of a PT converges toward its redemption value as maturity approaches.
The implied yield shown in the interface is calculated from the market-traded price; it is not a return promised by the protocol.
$PENDLE is the token of the yield-tokenization protocol Pendle.
Have you run into any pitfalls in this area? Share your experiences to help others avoid them.
#PENDLE
Markets change quickly, so don’t rush to conclusions.