DeFi
The Future of Yield Optimization: YieldNest’s Innovative LRDs and Strategic Merger with PrimeStaked
Liquid staking derivatives (LRDs) are the next big thing in the evolving decentralized finance (DeFi) ecosystem, building on the foundation created by liquid staking derivatives. Liquid staking allows users to maintain the liquidity of their staked assets; however, LRDs extend this idea by allowing previously staked assets to be re-staked across different protocols.
This development solves a major drawback for the DeFi industry: the ability to optimize yield potential across multiple platforms without compromising liquidity or paying exorbitant gas costs for frequent transfers.
YieldNest has established itself as a leader in this rapidly evolving space by expanding the spectrum of liquid retaking derivatives. The protocol and Origin’s PrimeStaked recently announced a strategic merger. Through this partnership, YieldNest’s highly anticipated ynLSD product will host primeETH, PrimeStaked’s Liquid Retaking Token (LRT), while PrimeStaked users will gain access to YieldNest’s exceptional products and technology.
YieldNest prioritizes creating sustainable products. They don’t just look for quick wins, they create a product that is sustainable. The most prominent of these solutions are the controlled AVS exposure solutions, which include a combination of YieldNest/External curated LRTs and isolated LRTs that integrate multiple re-staking protocols. Bottom line? YieldNest strives to provide you with real returns that are both safe and risk-optimized.
PrimeStaked—an Origin Protocol project—remains committed to leading the way in DeFi innovation. The platform has always placed a high priority on the needs of its users, constantly improving its features and overall user experience. A significant milestone, the strategic merger between PrimeStaked and YieldNest is expected to keep PrimeStaked at the forefront of the market while providing its user base with new perspectives.
Key to this announcement are YieldNest’s new products, ynLSD, which will include ynLSDe and ynLSDs. In line with YieldNest’s mission to become the best liquid re-staking solution, unlock next-gen strategies, and establish itself as the leading protocol for liquid asset re-staking, these solutions aim to transform the way users interact with liquid re-staking derivatives and stablecoins within the DeFi ecosystem.
As the dust settles on the merger announcement, it’s garnering a lot more attention. Why? First, the team is backed by an independent risk team and top-tier audits to ensure the security and stability of its users. Second, primeETH users will now have access to a new network of options through this merger, including potential partners like Symbiotic and protocols like EigenLayer.
The development of Liquid Staking: ynLSD explained
YieldNest’s ynLSD is a major step forward in offering liquid restaking derivatives. However, what exactly is ynLSD and why should DeFi users be aware of it?
Basically, the goal of ynLSD is to increase user yields by using other DeFi tokens, such as OETH. LSDs are great because they allow users to stake their assets without sacrificing liquidity. This implies that you are using your cryptocurrency while maintaining the freedom to use the staked assets for other DeFi activities, rather than simply keeping them in a virtual vault.
But YieldNest doesn’t settle for a one-size-fits-all solution. They offer two other ynLSD offerings, each tailored to specific ecosystems:
1. ynLSDe: EigenLayer ecosystem
The first is YieldNest’s liquid re-staking solution, ynLSDe, which is built on EigenLayer. It is a gateway to upcoming ETH payments and EigenLayer incentives, not just another re-staking option.
YieldNest has developed methods that leverage its re-staking techniques specifically designed to provide users with the highest possible yield in the EigenLayer ecosystem.
2. ynLSDs: Symbiotic ecosystem
ynLSDs integrates with the Symbiotic ecosystem. The goal of this ynLSD variant is to fully utilize Symbiotic’s infrastructure to provide exceptional yield and reward chances.
YieldNest has not forgotten the possibilities of stablecoin. ynUSDs is a product aimed at providing competitive yields and symbiotic benefits for USD-denominated assets.
The launch of ynUSD has the potential to revolutionize the way individuals think about using their stablecoin investments. Users can now potentially earn competitive yields while benefiting from the relative stability of stablecoins, rather than letting USD-pegged tokens sit idle. This could be particularly attractive during times of market uncertainty, offering a compromise between the security of stablecoins and the yield potential of more volatile crypto assets.
From industry support to decentralized governance
Major players in the crypto space are backing YieldNest’s strategy, including the founders of Curve (Michael Egorov), Convex (Winthorpe & C2TP), Frax (Sam Kazemian), Kyber (Loi Luu), Algorand (Steve Kokinos), Yearn (Wavey), Moralis (Ivan on Tech), and others. With such support, their goals gain legitimacy, and it seems that the way DeFi enthusiasts approach yield optimization could change significantly in the future, starting with these new products.
In the future, YieldNest intends to move towards a decentralized decision-making and community governance model by implementing a DAO and sub-DAO structure. The appeal of products like ynLSD and ynUSDs could be further enhanced by this move towards decentralization.
The goal is to develop a decentralized and autonomous protocol that can operate without the central team. Each chamber of the governance system is run by elected leaders using staked YND tokens, and each chamber votes on the outcomes it wants.
Lucrative rewards for early adopters
YieldNest is rewarding dedicated primeETH supporters with special benefits for migrating to its platform to celebrate this merger. A 5% boost on YieldNest Seeds, a Pioneer NFT with a permanent 15% boost for users transferring 5 OETH or more, and a YieldNest PrimeStaked Airdrop are some of these benefits. Migrating users will also have access to AVS/Network yields and all upcoming AVS airdrops.
Additionally, YieldNest anticipates that the overall airdrop distribution will represent at least 15% of the total YND token supply, demonstrating their commitment to community engagement. Furthermore, their goal is to increase this distribution as the total value locked (TVL) increases over time. YieldNest is touted as one of the most generous applications in the resttaking industry, with community incentives expected to exceed 60%.
As the DeFi landscape evolves, the merger of YieldNest and PrimeStaked marks a significant step forward. Users interested in participating in YieldNest’s anticipated airdrop and benefiting from this strategic relationship are invited to start re-staking on the YieldNest platform now.