What is PENDLE Coin? RWA's Rise
Pendle is a DeFi protocol offering an innovative approach in financial markets. This platform enables users to tokenize the future yields of their assets and trade these tokens on the platform. So, what exactly are the Pendle protocol and PENDLE Coin?
What is Pendle?
Pendle is a DeFi protocol that allows users to tokenize the future yields they will earn today. In this system, users deposit their yield-generating assets into Pendle's smart contracts and receive two different types of tokens in return: Ownership Token (OT) and Future Yield Token (YT).
OT represents the underlying asset itself, while YT represents the future yields that the asset will generate. YT holders continue to collect the yields of the asset until the expiration date of YT, i.e., during the period when the yields are distributed. Additionally, users can earn extra income by adding the obtained YT to Pendle's liquidity pools. This system provides users with control and flexibility over future yields from today.
What is PENDLE Coin?
PENDLE is the native cryptocurrency of the Pendle ecosystem and serves various functions within the Pendle protocol. PENDLE can be used in areas such as providing liquidity, participating in governance votes, and benefiting from protocol incentives. Users can shape the future direction of the protocol and earn a portion of protocol revenues by staking PENDLE tokens.
What is Pendle's Project and Purpose?
Pendle's project aims to provide more liquidity and trading opportunities for interest rates and yields in the DeFi sector. By aiming to bring the $400 trillion interest derivatives market of traditional finance to DeFi, the protocol makes transactions in this area accessible to everyone.
Pendle provides users and investors with the opportunity to trade and hedge future yields by bringing more transparency and maturity to the credit market.
What are the Functions of PENDLE Coin?
PENDLE coin performs several essential functions within the Pendle protocol. These functions include providing liquidity, participating in protocol governance, and benefiting from protocol incentives.
PENDLE coin holders can actively participate in shaping the future of the protocol and decision-making processes. Additionally, a portion of the fees from transactions on the Pendle AMM is distributed to PENDLE holders, providing token holders with an opportunity to earn passive income.
History and Supply of PENDLE Coin
PENDLE Coin reached its all-time high value on November 16, 2021, hitting $3.83. Its lowest value was recorded on November 10, 2022, at $0.03349. The circulating supply of PENDLE Coin is determined to be 238,185,588 PENDLE, while the total supply is recorded as 258,446,028 PENDLE. Consequently, these data indicate that the circulating supply constitutes 92.16% of the total supply.
In light of this information, it is evident that Pendle and PENDLE Coin play a significant role in the DeFi sector and have the potential to be influential in future financial innovations.
