The annualized return is very low now

The well-known exchange Binance launched the yield asset BFUSD on 11/22, combining the stability of stablecoins with a reward mechanism. BFUSD can not only be used as margin for futures trading but also provides daily rewards for holders. Recently, it has attracted attention due to an average annualized return exceeding 26%. This yield product, which utilizes hedging mechanisms to earn funding rates, offers a single collateral compared to the Ethena protocol on-chain, but guarantees 1:1 redemption; plus, it is easier to deploy derivative assets into the contract market, maximizing yields, and has already attracted $500 million in capital.