Issue Yield Token
Issuing a Yield Token sells the future yield of your looping position upfront, for cash. Your principal and leverage stay in place, so you keep exposure to the position itself; the buyer receives the yield it generates until maturity. You're trading the yield you'd earn over time for cash today.
While your YT is sold you still hold the position and its debt, so you still carry its liquidation risk and can repay debt to reduce it. The yield, though, goes to the buyer until you buy it back or the term ends.
Listing requirements Two conditions must hold to list: your position LTV must be at or below the max borrow LTV% at listing time, and you must list 100% of the collateral (no partial listings, though buyers can fill your listing partially). Once listed, the collateral is locked. You can still repay debt to lower LTV, but you can't withdraw or unstake collateral until the listing is canceled, bought back, or settled at maturity.
Tokenization happens at first purchase A listed YT isn't minted until the first buyer fills it. If a listing never fills, it's treated as if it was never issued: you keep 100% of the yield, and there's no penalty for listing and not selling. A listing that expires unfilled simply leaves your position untouched.
Listing and the sell queue
You list your YT for sale and it enters a FIFO queue, first in, first out; buyers fill from the front. A listing can fill partially. When it does, your position splits into two independent positions:
The filled portion: YT sold, yield rights handed to the buyer until maturity. Locked.
The remaining portion: still in the queue, cancelable anytime before it fills.
You can cancel only the unfilled remainder. A sold portion can't be re-listed or canceled, and once a listing fills completely the whole position is locked.
Here's a single worked example you can drop into the "How the YT price moves" section. It runs one listing through full fill, partial fill over time, and SLF-rate sensitivity.
Pricing Example: a 90-day YT listing
Setup:
Quantity listed: 10,000 YT representing 10,000 Collateral Token
Maturity: 90 days out (issued May 20, 2026 → matures Aug 18, 2026)
Implied daily rate: 0.020% (0.0002), tracking the SLF reference rate
Asset oracle: $1.00
From the daily rate to a premium:
Total yield to maturity, compounded over 90 days: (1 + 0.0002)^91 − 1 = 1.84% - what the buyer earns holding to maturity
Annualized for display: (1 + 0.0002)^365 − 1 ≈ 7.57% APY
Convert yield to a price: premium per YT = yield ÷ (1 + yield) × oracle = 1.84% ÷ 1.0184 × $1.00 ≈ $0.0181
If fully filled today: 10,000 × $0.0178 ≈ $181 received upfront
Partial fill, over time. The price refreshes as days run down: fewer days left means less remaining yield, so a smaller premium. If your 10,000 YT fills in pieces across the term:
4,000
90
$0.0181
$72.4
3,000
60
$0.0121
$36.4
3,000
30
$0.0062
$18.5
Total
≈ $127
A listing that drips out over the term nets less than one that fills at once ($125 vs $178), because later fills are priced off less remaining yield.
Sensitivity to the SLF rate. The fixed rate tracks SLF, so when SLF moves, the premium moves with it (same 90 days, 10,000 YT, $1.00 oracle):
0.010%
3.71%
$0.0091
$91
0.020%
7.57%
$0.0181
$181
0.030%
11.57%
$0.0271
$271
A higher SLF rate means the buyer is paying for a higher yield, so the premium you collect is larger.
The general form, if you want it as a footnote: premium per YT = (1 − (1 + r)^(−(d+1)) × oracle, where r is the daily rate and d is days to maturity. That's the compact version of steps 1 - 3.
Order settings
Floor - the lowest price (and implied yield) you'll accept, shown against the current SLF rate.
Valid until - the listing expires on this date (default: maturity date) if unfilled.
AoN (all-or-nothing) - fill the entire listing or none of it, no partial fills. Upcoming.
Limit price - set your own price instead of taking the queue rate. Upcoming.
How the YT price moves
The YT price is the value of the yield still to come, from now until maturity. The interface shows it three ways: the YT price (the cash premium), the implied annual APY, and the daily rate.
The daily rate is the per-day yield and the implied APY annualizes it. The YT price is roughly the daily rate times the days left, so as maturity approaches there's less yield left to sell and the price falls toward zero. A buyer earlier in the term pays more; a buyer near maturity pays less.
Buy back
After selling, you can buy back your YT to restore your own yield rights, for instance if you'd rather keep earning the yield yourself. Buying back returns the yield stream to your position.
Release to looping
You can release a YT-issued position back to a normal looping position at any time. Because the buyer is owed the yield accrued so far, that accumulated (self-increased) yield is deducted on release; the rest returns to you as a standard looping position.
At maturity
At maturity the yield rights settle to the buyer: the yield accumulated over the term is deducted from your position and you keep the rest. Expect this deduction and keep headroom for it. Your position must stay below the max borrow LTV (or below the liquidation LTV, if it was migrated from an external market) so that the settlement deduction doesn't push you into liquidation.
If the collateral is liquidated
If the collateral depegs unrecoverably and the YT is liquidated, all of looping positions' active YT listings are canceled, and YT issue from looping positions will receives no further yield because the collateral is depegged. You can then buy back at zero cost: meaning you can release the position without buying back any balance.
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