eUSD yields generate from LST rebase rewards, translating into an actual yield. Currently, the APR stands at approximately 8%.

eUSD holders earn interest automatically due to Lybra Protocol’s unique design. It functions as follows:

As an example, let's consider a user, Bob, who uses stETH as collateral to mint eUSD. Bob's stETH collateral continues to accumulate rebase yield in the form of additional stETH. Users referred to as Redeemers purchase the rebase yields from Bob's stETH collateral using their eUSD on the Lybra protocol. If no Redeemer steps in, the protocol purchases the yield using its eUSD holdings. Bob receives a portion of the total eUSD proceeds as interest, determined by factors like his LSTs APR, the total eUSD in circulation in that LST pool, the pool's Collateral Ratio, and the overall eUSD supply. This mechanism allows Bob to earn interest on his eUSD automatically for as long as he holds it. The introduction of peUSD ensures this interest accrual continues even if he spends it.

Yes, your wallet balance will increase automatically on a daily basis due to the distribution of the rebase yield.

Indeed, both LBR and peUSD are integrated with the OFT model from LayerZero and can be bridged to any supported L2's. Our journey begins with Arbitrum.

To be eligible for esLBR emission from the Mint Pool, users must maintain at least a 2.5% threshold in Dynamic Liquidity Provisioning relative to their total loan value. If the threshold drops below 2.5%, the user will no longer be eligible for future esLBR emissions. Simultaneously, a bounty equal to the user's ineligible emissions will be placed, which can be purchased by any user at a 40% discount in LBR or eUSD.

If your dLP drops below the minimum 2.5% threshold, you will become ineligible for unclaimed esLBR emissions. However, a bounty equal to the emissions you would have earned during your ineligibility will be set.

Only peUSD that was originally converted from eUSD can be converted back to eUSD. If you have a rebasing LST as collateral asset on Lybra Protocol, you can convert your peUSD back to eUSD through the protocol.

Anyone can buy esLBR from the dLP penalty or advanced vesting bounty at a 40% discount, using either LBR or eUSD. Any LBR received by the protocol will be 100% burnt, while eUSD will be used in the Stability Fund to maintain eUSD's peg.

Lybra does not charge any minting fee for eUSD. However, a 1.5% annual service fee on eUSD circulation is deducted from the rebasing yield, which is then distributed to esLBR holders. For peUSD minters, a 1.5% borrow/repayment fee based on their peUSD debt is charged, and this too is distributed to LBR stakers.

To mint eUSD or peUSD, you need to deposit a minimum of 1 ETH or another supported LST as collateral through Lybra. Once deposited, you can mint eUSD or peUSD against your collateral up to a collateral ratio of 150% (which can be altered in accordance with DAO vote).