$TREE WHITEBOARD SESSION – YIELD STRIPPING EXPLAINED
Treehouse ($TREE) is pioneering a powerful DeFi primitive: yield stripping. Imagine you hold a yield-bearing asset like stETH. Treehouse allows you to split it into two components:
• Principal Token (PT): Works like a zero-coupon bond. Buy at a discount now, redeem 1 full stETH at maturity. Fixed, predictable return.
• Yield Token (YT): Grants all staking rewards from stETH until maturity. Perfect for speculators seeking leveraged exposure to variable yields.
This simple yet transformative mechanism separates certainty (PT) from opportunity (YT), unlocking new strategies for both conservative and risk-seeking investors. By making yield tradable, @Treehouse Official is introducing composable building blocks that could reshape on-chain fixed income and derivatives in DeFi.
$TREE isn’t just a token—it’s laying the foundation for the future of decentralized yield markets.