A step-by-step guide to boosting swETH yield on Equilibria.
Oct 3, 2023
Pendle PT swETH has quickly become one of the largest pools on Equilibria, with a projected boost of 9.71% and a TVL nearing $7.5M at time of writing.
In this guide, we walk you through the process of earning yield on Equilibria and answer all the frequently asked questions.
As a liquid locker for Pendle, Equilibria enables you to enjoy boosted Pendle rewards without needing to hold any vePENDLE.
Pendle pools have an APR range, and by depositing in Equilibria, you can get the higher end of that range. In addition, Equilibria also offers their own incentives that make their pools very attractive.
For example, if you are LPing in the PT swETH pool on Pendle, by being in Equilibria you could receive a 2.1x boost (at time of writing) on the current yield. However, if you were just to deposit in Pendle, you would be receiving the regular yield which is currently sitting at around 4%. Additionally, LPing in Equilibria also gets you extra rewards in the form of Equilibria’s own platform tokens, EQB and xEQB.
To sum up, here are the rewards that swETH holders can enjoy for depositing in Equilibria:
Underlying swETH yield from staking with Swell
Pearls in the Swell Voyage (redeemable for $SWELL tokens at TGE)
Priority token (PT) yield and boosted incentives from Pendle
Swap fees from Pendle
EQB and xEQB token rewards from Equilibria
How to deposit swETH in Equilibria
Follow these steps to boost your swETH yield on Equilibria.
1. Deposit in the PT swETH pool on Pendle
You can deposit ETH directly into the Pendle PT swETH pool, or zap in with a range of Ethereum-based tokens.
Unless you intend to trade your Pendle yield tokens (YT), then we recommend that you activate Pendle's Zero Price Impact Mode to minimize slippage. Refer to the Pendle docs for more information.
2. Deposit your Pendle LP tokens in Equilibria
Locate the Pendle swETH pool on Equilibria, and deposit your Pendle LP tokens. You can also deposit ETH or swETH directly.
3. Optional: Lock your EQB to receive vlEQB
You will receive EQB rewards for LPing on Equilibria. Lock these tokens to get vlEQB, which gives you a share of the total fees generated on Equilibria, plus a share of swap fees and bribe rewards.
vlEQB voting starts each Monday and ends each Wednesday at 6am UTC. Simply vote lock for vlEQB before the updates happen each Thursday at 0:00 UTC, then vote for the swETH pool during the following Monday to Wednesday!
Are Pearls earnt on Equilibria showing on the Voyage dashboard?
Pearls earnt with Equilibria are not currently showing on the Voyage dashboard, and will be added retroactively at a later date.
Is it possible to remove liquidity before the maturity date?
Equilibria has no restrictions around your liquidity, so you are able to deposit and leave your funds in the pool to farm yields with no impermanent loss concerns.
There are no set rules or penalties on maturity if you choose to withdraw early, however, the longer you LP, the more rewards you earn, and the higher APR you receive.
How does Equilibria keep funds secure?
We have adopted a proxy-based approach to implement the contracts to prevent any unexpected issues from affecting the platform.
Equilbria’s smart contracts have undergone multiple audits and we have two audit reports which can be found in our documentation. One of our auditors, Watchdog, is also an auditing partner for Pendle so they are familiar with the contracts code.
We have also recently launched a bug bounty program in partnership with Immunefi that allows us to proactively identify any bugs.
What is the relationship between Pendle and Equilibria?
Equilibria has developed a very strong relationship with Pendle and we are one of the largest holders of Pendle tokens given that our liquidity is related to their token.
Important note: By interacting with smart contracts, you acknowledge and accept the inherent risks — including code vulnerabilities, regulatory uncertainties, and potential for human error — that can result in irreversible losses. Exercise caution and conduct thorough research before participating in smart contract-related activities.