Yield Strategies
Pillar DAO maximizes stablecoin returns through market-neutral farming strategies while maintaining low risk. These strategies are carefully selected to optimize capital efficiency while ensuring security and sustainability.
Key Yield Strategies:
Stablecoin Lending: pUSD collateral is deployed across lending platforms such as Morpho and Aave to earn interest. Whitelisted lending platforms are carefully vetted based on historical security, performance, collateral types, and risk parameters to ensure stable and predictable returns.
Liquidity Provision: pUSD is supplied to automated market makers (AMMs) such as Shadow to generate returns from trading fees and emissions. The protocol strategically allocates liquidity to pools with the highest efficiency, balancing yield potential with impermanent loss mitigation.
Delta-Neutral Farming: Pillar DAO employs hedged strategies that eliminate directional market risk while maximizing yield opportunities. These strategies may include long-short arbitrage positions, leveraged yield farming with stable assets, and market-making strategies that take advantage of volatility without exposure to asset price fluctuations.
Cross-Chain Arbitrage: Pillar DAO identifies pricing inefficiencies between blockchains and strategically deploys capital to capture arbitrage opportunities. The protocol utilizes bridging solutions and automated arbitrage execution to ensure efficient yield extraction across supported networks.
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