Pendle Launches Boros Platform for Trading Bitcoin and Ether Funding Rates
Pendle has launched Boros, a platform on Arbitrum for trading funding rates of perpetual markets for BTC and ETH.
- Boros allows users to trade funding rate exposure using “Yield Units” (YUs), which are akin to Pendle’s Yield Tokens.
- Each YU represents the realized funding yield on 1 unit of notional, like 1 ETH or 1 BTC, until expiry.
- The platform started with capped parameters: $10 million open interest per market and 1.2x leverage.
- Future listings (e.g., SOL and BNB) and integrations (Hyperliquid, Bybit) are planned, focusing on risk management.
- Traders can hedge funding fees by going short on YUs if funding is expected to decrease or long if rates are anticipated to increase.
- Boros Vaults will facilitate liquidity provisioning, allowing LPs to supply capital and earn fees, PENDLE incentives, and positive carry from APR shifts.
- PENDLE incentives will be allocated based on order flow and filled notional, with additional referral programs and fee rebates launching soon.