Yield Tokenization

OutStake

A protocol built entirely around yield-bearing tokens, introducing the first non-USD stablecoin model tied to yield rates.

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Key Features

Novel Staking Model

Controls yields generated by yield-bearing tokens and unlocks liquidity of staked assets with an eternal lifecycle for enhanced token utility.

  • Novel design different from market
  • Unlocks liquidity of staked assets
  • Eternal lifecycle with no expiration dates

Enhanced Composability

Standard ERC20 tokens with no expiration dates allow for seamless integration with other DeFi protocols and applications.

  • Freely integrated into other DeFi protocols
  • Shared liquidity across yield-bearing tokens
  • Powerful network effect ecosystem

Multiple Income Streams

Earn from both yield generated by deposits and additional income from trading YT tokens correlated with yield rates.

  • Higher returns than other protocols
  • YT value tied directly to yield rates
  • Fixed yield rates through SP tokens

Omnichain Capability

Universal Principal Token (UPT) enables seamless transfers across different blockchains through LayerZero integration.

  • Cross-chain asset transfers
  • Amplified network effects
  • Shared liquidity across blockchains

Flexible Staking Duration

Users can freely select staking duration, controlling the amount of PT minted and making position expiration time a tradable asset.

  • User-controlled staking periods
  • Tradable staking positions (SP)
  • No forced lock-up periods

Non-USD Stablecoin Model

First non-USD stablecoin model tied to yield rates, allowing users to take long or short positions on yield rates.

  • YT serves as yield rate stablecoin
  • Mitigated risk of price manipulation
  • Decentralized yield rate trading

How OutStake Works

1

Deposit Assets

Users deposit yield-bearing tokens (like stETH, RWA) or underlying assets (like ETH) into the OutStake protocol.

stETH
RWA
ETH
Example: Deposit 10 stETH that's already earning ~3.5% APR on Lido
What are yield-bearing tokens?

Tokens that generate yield or have potential yield. Examples include stETH(Lido), sUSDE(Ethena), Stone(StakeStone), and LP tokens.

2

Standardize Yield (SY)

The protocol wraps yield-bearing tokens into Standardized Yield (SY) tokens based on the ERC5115 standard, providing a unified interface for all yield-bearing tokens. This process happens automatically behind the scenes.

wstETHSY-wstETH
Example: 10 wstETH is wrapped into 10 SY-wstETH
What is SY?

SY is a vault token based on the ERC5115 standard designed to encapsulate yield-bearing tokens. It provides a standardized interface for interacting with any yield-generating mechanism.

3

Stake & Lock SY Tokens

Users stake their SY tokens and specify a lock-up period. This process mints three types of tokens, each representing different aspects of the yield-bearing token.

PT

Principal Token

YT

Yield Rate Token

PYT

Points Yield Token

SY-sUSDEPT-sUSDE+YT-sUSDE+PYT-sUSDE
Example: 10 SY-sUSDE with a 100 days lock generates 9.8 PT-sUSDE, 1000 YT-sUSDE, and 1 PYT-sUSDE
PT (Principal Token)

Represents the principal portion of yield-bearing tokens. Can be encapsulated as SP.

YT (Yield Rate Token)

Represents ownership of all yield generated by the underlying assets. Has no expiration date, unlike other protocols.

PYT (Points Yield Token)

Represents external protocol points yields (if available).

4

Encapsulate PT into SP (Optional)

Users holding positions can encapsulate PT tokens, thereby minting the position and PT tokens into transferable SP (Staking Position) tokens, representing the right to redeem the principal upon position maturity.

PT-stETHSP-stETH
What is SP?

SP is a token based on the ERC6909 standard used to encapsulate staked positions. It represents ownership of principal redemption rights upon maturity, creating fixed-rate returns based on its trading price.

5

Multiple Income Streams

Users can now benefit from multiple income sources, each with different risk and return profiles.

Trade YT tokens

Earn from yield rate fluctuations. YT value increases over time as yield accumulates.

Sell SP tokens

Get fixed-rate returns before maturity by trading SP tokens on the market.

Utilize PYT tokens

Benefit from external protocol points rewards through PYT tokens.

OutStake's Unique Advantage

Unlike other protocols, OutStake's tokens have no expiration dates, allowing for greater composability and liquidity in the DeFi ecosystem.

YT serves as the first non-USD stablecoin model tied to yield rates, enabling users to take positions on yield rate movements.

OutStake Token Ecosystem

PT

Principal Token

Represents the principal portion of yield-bearing tokens. PT has no expiration date, allowing for greater composability with other DeFi protocols.

Key Features
No ExpirationERC20 StandardRedeemable
YT

Yield Rate Token

Represents ownership of all yield generated by the underlying assets. YT's value increases over time as the yield pool accumulates, creating a non-USD stablecoin tied to yield rates.

Key Features
Yield CorrelatedUniversal TokenNo Expiration
SP

Staking Position

An ERC6909 token that encapsulates staked positions. SP represents ownership of principal redemption rights upon maturity, creating fixed-rate returns based on trading price.

Key Features
TransferableFixed RateERC6909

Ready to Start Earning with OutStake?

Join the OutStake protocol today and start earning higher returns with our innovative yield-bearing token model.