The DeFi protocol aiming to make stablecoin economics more capital efficient has found a new platform to do so
DeFi Protocol Overnight has launched USD+ — a yield-bearing stablecoin — on the BNB blockchain to aid its mission of upgrading Liquidity Pools across the ecosphere.
Overnight Expands to BNB Chain
Overnight has launched its flagship stablecoin, USD+ on the Binance Chain. Being a Yield-Bearing Stablecoin, users earn yields from the stablecoin just by holding it.
This move, as Overnight’s Founder, Maxim Ermilov puts it will revolutionize stablecoin frameworks:
“The Hassle of navigating DeFi is a challenge for a novice user. Overnight makes Yield-Farming as simple as buying a token, which is now available on the BNB Chain. The motivation for doing so boils down to it possessing a vast DeFi ecosystem, having the second highest TVL among chains, and a well-established infrastructure with performance suitable for mass adoption — all of which are ideal for Overnight.”
The BNB Chain is a Proof-of-Stake (POS) Blockchain often seen as an alternative to the POW-intensive Ethereum chain with gas fees for the chain being 20x lower than the latter.
What sets BSC apart from other POS Blockchains is that it utilizes a Proof of Staked Authority (PoSA) consensus. The algorithm uses 21 validators and is capable of producing a new block every 3 seconds. This provides DeFi app developers with the high-speed infrastructure required to compete against traditional software-based lending or borrowing apps.
Feats thus Far
USD+ allows the holder to receive daily profit payouts from its Yield-strategies — this is also applicable when used in Liquidity Pools. Hence, for this reason, the stablecoin has infamously become the ideal Yield-option for Liquidity Providers who earn yields from USD+ in addition to gauge pool rewards and swap fees.
In accordance, the stablecoin has amassed a whopping $4M TVL on Polygon and a staggering $2.1M in Liquidity on the chain.
Moreover, the Overnight protocol has also introduced an innovative hedged strategy that allows the user to Yield-Farm with reduced exposure to the markets. This involves borrowing the asset used to Yield-Farm (e.g, MATIC) instead of buying it; the end result has been it being profitable since inception owing to how the strategy is incorporated. The team hopes to introduce this to the BNB Chain at some point in light of the overwhelming demand surfaced for this product on Polygon.
Partnering up with Cone — a ve (3,3) DEX — on BNB Chain
The Overnight team is gearing up to launch USD+ in sync with the ve (3,3) DEX — Cone Exchange — and has received a veNFT (governance token) that entitles the protocols to incentivize emissions where it deems worthy.
The concept of ve (3,3) was initially introduced by Solidly and its unique features have been incorporated by other DEXes across DeFi (Velodrome, Dystopia, etc). The DEX offers an in-house stable swap (sAMM) and a volatile swap (vAMM) to account for frictionless trading between correlated and uncorrelated assets at near 0 slippages.
The team behind Cone is the same as that of Dystopia — also a ve (3,3) DEX on Polygon that currently has $20M in TVL — and in accordance, brings tremendous experience to the table when it comes to building innovative DEXes within the DeFi ecosphere.
Overnight hopes to replicate the success that it has had on Dystopia i.e, continuing to generate lucrative volume and simultaneously offering Yield-Farmers immense returns on their Liquidity Provisions.
About Overnight
Overnight is a DeFi protocol behind USD+ stablecoin which is fully collateralized by USDC and USDT; users earn an average of 8–12% APY through its secure and vigorously tested yield-farming strategies with profits paid out daily — it’s sure, simple, liquid, and hassle-free.
Overnight is backed by world-class investors, including the likes of the founders of Coinlist and Polygon. Overnight is led by aspiring fintech leader — Maxim Ermilov — who holds a background in BCG Financial practice and is a renowned entrepreneur. Moreover, Overnight was recently accepted into two esteemed crypto accelerator programs: UC Berkeley’s Blockchain Xcelerator and Binance’s BNB MVB IV Incubation Program.
