Pendle (PENDLE), launched in April 2021, is a decentralized finance (DeFi) protocol on Ethereum that enables tokenization and trading of future yield, offering users advanced yield-management strategies. By splitting yield-bearing assets into Principal Tokens (PT) and Yield Tokens (YT), Pendle facilitates fixed-yield investments and yield speculation. Its native token, PENDLE, powers governance and incentives.

Key Features

  • Yield Tokenization: Splits assets into PT (fixed yield) and YT (variable yield), enabling strategies like fixed-income staking or yield trading.
  • High TVL Dominance: Holds >50% market share in yield-management DeFi, with ~$2.5B in PT used as collateral across money markets.
  • Multi-Chain Support: Operates on Ethereum, Arbitrum, Optimism, and BSC, with plans for further chain integrations.
  • Ecosystem: Trades on 108+ exchanges (e.g., Binance, Coinbase) and 164+ markets, with wallet support like MetaMask and Coinbase Wallet.

PENDLE Token

  • Purpose: Used for governance, vote-locking (vePENDLE), and earning trading fees within the Pendle ecosystem.
  • Supply: ~162M PENDLE in circulation, with a maximum supply of 281.5M.
  • Contract Address: On Ethereum, PENDLE’s contract is 0x808507121b80c02388fad14726482e061b8da827 (addable to MetaMask) CoinGecko CMC.

Who Are the Founders of PENDLE?

Pendle was developed by a pseudonymous team, with no named founders disclosed. Backed by YZi Labs (formerly Binance Labs), it raised no formal ICO but gained traction through community adoption and partnerships with protocols like Eigenlayer. Governance is managed by vePENDLE holders via a DAO.

What Makes PENDLE Unique?

Pendle stands out in Web3:

  • Yield Trading Innovation: Enables users to lock in fixed yields or speculate on variable yields, attracting DeFi and TradFi interest with a $400T market potential.
  • vePENDLE Governance: Vote-escrowed PENDLE holders vote on protocol parameters and earn fees, enhancing decentralization.
  • Liquid Restaking Points: Supercharged in 2024 by integrating Eigenlayer’s restaking and LRT “points” trading, driving $5B+ TVL.

PENDLE Network Upgrades (2025)

  • Converge Integration (Q2 2025): Joined Converge as a core app, enabling yield trading on dollarized assets, boosting TVL by 10%.
  • Points UI Update (March 2025): Enhanced UI for tracking LRT points exposure and leverage, improving user experience.
  • Arbitrum Scalability (June 2025): Optimized AMM pools on Arbitrum, increasing trading efficiency by 15%.

How Is PENDLE Secured?

Pendle and PENDLE are secured through:

  • Ethereum PoS: Leverages Ethereum’s Proof-of-Stake for transaction and contract security.
  • Smart Contract Audits: Regular audits (auditors undisclosed) ensure protocol integrity across chains.
  • DAO Governance: vePENDLE holders vote on upgrades, reducing centralized control.
  • SY Token Standard: Uses EIP-5115 for secure yield tokenization, minimizing vulnerabilities.

Conclusion

Pendle (PENDLE) is a leading DeFi protocol for yield tokenization, with a 162M circulating supply. Listed on 108+ exchanges, its innovative PT/YT model, $5B TVL, and 2025 upgrades like Converge integration position it as a key player in yield management. While its pseudonymous team and complex strategies may pose barriers, Pendle’s scalability, Eigenlayer synergy, and growing adoption make it a standout in Web3, though price volatility remains a risk.