Hermetica and Velar Team Up for 5% Annual Yield on USDh
Hermetica has joined forces with velar to provide a 5% annual yield for traders using the Bitcoin-backed stablecoin USDh. This collaboration is available through Velar’s perpetual futures exchange on the Stacks network.
The partnership allows traders to earn yield on USDh while engaging in leveraged Bitcoin trading. Typically, collateral remains idle when traders deposit stablecoins to open leveraged positions.However, with this new feature, users can now earn a weekly yield on their USDh collateral.
Perpetual futures are crypto derivatives that allow traders to speculate on Bitcoin’s future price without owning it. Velar PerpDEX brings this trading to Bitcoin’s DeFi ecosystem via the Stacks network.
USDh is a synthetic stablecoin pegged to the U.S. dollar and backed by Bitcoin. Unlike traditional stablecoins, it earns yield automatically. Hermetica claims it is indeed the first stablecoin to offer yield in Bitcoin-native DeFi.
Perpetual futures enable traders to speculate on Bitcoin’s future price without owning the asset. Traders can go long or short using leverage, which can amplify both gains and losses. Velar perpdex brings this trading to Bitcoin’s DeFi ecosystem via the Stacks network, which adds smart contract functionality on top of Bitcoin.
Key benefits of this integration include:
- Earning a weekly yield on USDh collateral
- Trading Bitcoin with leverage while earning passive income
- Efficient capital use for traders
This innovation could attract more users to Bitcoin-based DeFi by offering a way to earn passive income while actively trading BTC. The new feature is designed to make capital use more efficient, perhaps boosting the appeal of Bitcoin-based DeFi.
For more details, visit Velar PerpDEX and Hermetica for more information.
