🐧The mPENDLE Liquidity Pool on Pendle Finance

Long - Short mPENDLE yield!

The mPENDLE liquidity pool on Pendle Finance allows PENDLE holders to convert their tokens into mPENDLE and trade the yield of mPENDLE tokens. Users can take long or short positions by buying or selling Yield Tokens. The mPENDLE pool brings multiple benefits to Penpie and we anticipate greater adoption of mPENDLE by Pendle liquidity providers.

The mPENDLE pool enables mPENDLE users to trade Principal and Yield Tokens, creating more opportunities for active user engagement rewards. The listing could boost mPENDLE demand and conversions, further stabilizing mPENDLE and enhancing benefits on Penpie through higher APYs.

mPENDLE Pool Incentives

Pendle offers yield incentives to liquidity providers based on the amount of vePENDLE votes allocated to each pool.

To motivate vePENDLE holders to support the mPENDLE pool, Penpie will allocate active engagement rewards from its vePENDLE towards PNP buybacks. These will be distributed as voting incentives for the mPENDLE pool.

Penpie introduced the mPENDLE pool, offering mPENDLE holders rewards for their active user engagement, without the need for direct vePENDLE locks.

Benefits of the mPENDLE Liquidity Pool

- SY Yield from mPENDLE staking

- PT Fixed Yield from PT discounts

- LP pool swap fees

- $PENDLE emissions

A key feature is the automatic buyback and reinvestment mechanism. When SY Yield generates $PENDLE, the contract seamlessly converts through Penpie's Smart PENDLE converter. If the mPENDLE/PENDLE peg falls below 95%, the Smart Converter purchases mPENDLE on PancakeSwap using the PENDLE. This automated process creates continuous support for mPENDLE.

At discounts below 5%, tokens directly convert to mPENDLE 1:1 using the Smart Converter. This strategic conversion expands Penpie’s vePENDLE holdings, increasing potential PENDLE incentives and solidifying Penpie’s position across the ecosystem.