OutStake

OutStake is a protocol entirely built around yield-bearing tokens, introducing the first non-USD stablecoin model tied to yields rates. Compared to other yield token protocols in the market, such as Pendle, OutStake offers greater flexibility, enhanced composability, and provides higher returns along with multiple sources of income. The assets supported by OutStake form the foundational support for the Outrun ecosystem, providing a stable base for the entire system. Specifically, OutStake operates as follows:

  1. A New Staking Model Based on Yield-bearing Tokens: OutStake adopts a unique design that allows users to control the yields generated by their assets. Through OutStake, users can mint Principal Tokens (UPT) by staking their assets, thereby unlocking liquidity for their staked assets and utilizing these tokens across a range of DeFi applications.

  2. Interest-Rate-Linked Stablecoin (YT): The value of an interest-rate-linked stablecoin is directly tied to interest rates. The economic model built around it provides stakers with higher income and a variety of revenue sources. It is highly composable, allowing developers to create new products around it, thereby enriching the Outrun ecosystem.

  3. Universal asset principal token (UPT): UPT is a omnichain universal principal token supported by LayerZero, enabling it to be seamlessly transferred across different blockchains to amplify its network effect. The Principal Tokens (PT) of the same underlying asset type can be converted into UPT (such as PT-Stone, PT-stETH, PT-rETH, etc.). This allows the UPT liquidity of different yield-bearing tokens under the same underlying asset type to be shared, thereby enhancing the combinability of UPT and reducing the difficulty of liquidity accumulation for yield-bearing tokens.

  4. Position Option Tokens(POT): These option tokens represent the right to redeem the yield-bearing token at the end of its lock-up period. This option allows users to trade for a fixed interest rate without trading the UPT itself, thereby enhancing capital efficiency.

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