After many years of investing, I have been contemplating a core question: how to generate sustainable returns from dormant Bitcoin (BTC)? As digital gold, the value storage property of BTC is beyond doubt, but it has always been a challenge in terms of composability in DeFi. Our fund has been paying attention to the BTCFi sector for a long time, and recently, while looking at this sector, the Yala Finance project caught my attention.
From an investment perspective, Yala's model is quite interesting. It addresses a very specific need: a fully collateralized stablecoin YU, supported by Bitcoin, that can generate actual returns. In just a few weeks since launch, its TVL has surpassed 130 million USD, with a stablecoin circulation exceeding 75 million USD; this early data indicates that there is indeed a demand for such products in the market.
What I am more concerned about is how it constructs the ecosystem and manages risks. Recently, I have observed several points:
1. Infrastructure first: Its integration with Pyth has solved the key infrastructure problem of oracles. For any asset looking to develop in DeFi, reliable pricing feeds are fundamental. This move has been very stable, paving the way for YU's future adoption in more DeFi protocols and reducing integration risks.
2. Knowing how to leverage DeFi Lego: Providing liquidity incentives on Penpie, rather than building liquidity from scratch, but using the leverage of existing mature protocols to activate liquidity depth at a lower cost.
3. Product layering: It launched a Lite Mode, offering a fixed APY of 12%. Of course, my first reaction to such a high fixed return is: how sustainable is the source of returns? Are the returns backed by real asset yields, or are they short-term token subsidies? This is an area that requires continuous observation and in-depth due diligence.
Overall, Yala provides a relatively complete narrative and a preliminary product for solving the question of "how to make BTC yield".
Of course, risks always exist. In addition to the sustainability of returns mentioned earlier, smart contract security, liquidation mechanisms, etc., are all areas that need in-depth assessment. However, as an explorer in the BTCFi sector, the strategic clarity and execution capability that Yala currently demonstrates are worth our continued attention. This game has just begun, and more time is needed to verify its long-term value. I wonder what everyone thinks? #长期持有策略
From an investment perspective, Yala's model is quite interesting. It addresses a very specific need: a fully collateralized stablecoin YU, supported by Bitcoin, that can generate actual returns. In just a few weeks since launch, its TVL has surpassed 130 million USD, with a stablecoin circulation exceeding 75 million USD; this early data indicates that there is indeed a demand for such products in the market.
What I am more concerned about is how it constructs the ecosystem and manages risks. Recently, I have observed several points:
1. Infrastructure first: Its integration with Pyth has solved the key infrastructure problem of oracles. For any asset looking to develop in DeFi, reliable pricing feeds are fundamental. This move has been very stable, paving the way for YU's future adoption in more DeFi protocols and reducing integration risks.
2. Knowing how to leverage DeFi Lego: Providing liquidity incentives on Penpie, rather than building liquidity from scratch, but using the leverage of existing mature protocols to activate liquidity depth at a lower cost.
3. Product layering: It launched a Lite Mode, offering a fixed APY of 12%. Of course, my first reaction to such a high fixed return is: how sustainable is the source of returns? Are the returns backed by real asset yields, or are they short-term token subsidies? This is an area that requires continuous observation and in-depth due diligence.
Overall, Yala provides a relatively complete narrative and a preliminary product for solving the question of "how to make BTC yield".
Of course, risks always exist. In addition to the sustainability of returns mentioned earlier, smart contract security, liquidation mechanisms, etc., are all areas that need in-depth assessment. However, as an explorer in the BTCFi sector, the strategic clarity and execution capability that Yala currently demonstrates are worth our continued attention. This game has just begun, and more time is needed to verify its long-term value. I wonder what everyone thinks? #长期持有策略
Disclaimer: Includes third-party opinions. No financial advice. May include sponsored content. See T&Cs.
USDC
0.9998
0.00%