Stake DAO holds 20% of Curve's boost weights, providing the best yields for liquidity providers (LPs).

Author: OurNetwork

Compiled by: Deep Tide TechFlow

Yield

Convex Finance | Stake DAO | Pendle

Convex Finance

MarcoV | Website | Dashboard

Convex Finance's veCRV market share exceeds 45%

  • Convex Finance is a yield optimization platform designed for Curve Finance users. Curve Finance is one of the largest decentralized exchanges (DEX) in the DeFi space, where users can lock CRV (Curve's native token) to earn protocol fees, participate in voting decisions, and boost trading pool rewards. In July of this year, the amount of CRV locked in Convex Finance saw a significant increase, but this figure has stabilized in recent months, currently around 416 million. Although the total amount of locked CRV has limited growth, Convex's market share of locked CRV is rising. This is due to a decrease in the overall amount of locked CRV in the market, allowing Convex's share to rise to 45.6%, close to the peak of 48.9% in August 2022.

Dune - @marcov

  • Similar to locking CRV, Convex's native token CVX can also be locked to earn higher rewards. However, the amount of CVX locked recently has decreased, as some users have opted to stake CVX instead. Unlike locking, the rewards for staking CVX are lower but allow users to unstake at any time, providing greater flexibility. This change has led to an increase in the amount of CRV corresponding to each unit of locked CVX, which peaked at 9.8. Recently, the amount of locked CVX seems to have risen again, currently valued at 9.18.

Dune - @Marcov

  • From the total value locked (TVL) of Convex Finance, although it has significantly decreased from the $20 billion peak in 2022, the protocol currently maintains a locked value of $1.16 billion across multiple blockchains. According to statistics from the DeFi data analysis platform DefiLlama, Convex remains one of the top DeFi protocols in the Ethereum ecosystem.

Dune - @Marcov

Stake DAO

Hubert | Website | Dashboard

Stake DAO holds 20% of Curve's boost weights, providing the best yields for liquidity providers (LPs)

  • In the competition among yield aggregators surrounding the Curve platform, all platforms are striving to accumulate more veCRV boost weights. Recently, Stake DAO launched a significant feature allowing veCRV holders to delegate their boost weights to Stake DAO in exchange for a share of the yields. This initiative attracted Curve founder Michael Egorov, who delegated 50 million veCRV boost weights to Stake DAO, raising its market share above 20%. This change significantly enhanced Stake DAO's competitiveness in the veCRV boost market, while also strengthening its ability to provide high yields to users.

Etherscan

  • To adapt to the new market conditions, Stake DAO subsequently updated its OnlyBoost feature. Through this update, the OnlyBoost pool can integrate boost weights from Stake DAO, Convex, and Egorov, covering 70% of the boost supply in the market. This makes the yields provided by the Stake DAO platform for Curve liquidity providers (LPs) on average 20%-40% higher than those of other platforms.

Stake DAO

  • With this update, the OnlyBoost feature successfully achieves the best annual percentage yield (APY) in the Curve pool. This design is implemented through smart contracts, which flexibly allocate deposits between Stake DAO and Michael Egorov's boost weights or Convex in the most efficient manner.

DeFiLlama

  • Trade Focus: To visually demonstrate how OnlyBoost provides the best yields for Curve pools, here is a recent example of a 'rebalancing' trade. A user aimed to optimize their alETH/pxETH liquidity position, achieving yield maximization by adjusting the allocation of deposits between Convex and Stake DAO.

Pendle

Delleon McGlone | Website | Dashboard

Implied annual percentage yield (APY) dropped from 36% earlier in 2024 to 12%

  • Pendle is a protocol focused on yield trading, with its core functionality being the tokenization of future yields and allowing users to trade them. Currently, Pendle's total value locked (TVL) is close to $4 billion, ranking first among yield protocols on the DeFi data analysis platform DeFiLlama. However, Pendle's yield on Ethereum has been highly volatile, with an average implied annual percentage yield (APY) ranging from 4% to 36% over the past year. In the last 12 days, the yield has decreased by 13%, currently around 12%.

Dune - @datadealer

  • Earlier this year, Pendle's monthly active users on Ethereum reached a peak of 8,300, but the number has since declined.

Dune - @datadealer