Usual Pill Booster Strategy

The Usual Pill Booster Strategy is designed to help you maximise Pill rewards by efficiently utilising Usual’s stablecoin. This strategy converts your chosen input token into USD0, upgrades it to the locked USD0++ for enhanced yield, and optionally adds liquidity on Pendle for additional rewards—all in a single, efficient transaction.

Deploy to Experience:

• Maximised Rewards: Gain RWA (Real-World Asset) yield with USD0 while maximising Pill rewards.

• Efficiency and Convenience: Enter and optionally boost your position in one seamless transaction.

• Enhanced Yield: Convert to USD0++ to lock in higher yields.

• Optional Pendle LP: Further amplify your Pill rewards by providing liquidity on Pendle.

How it Works?

Strategy Operations

1. Swap Input Token to USD0:

The strategy begins by swapping your input token, which can be any supported stablecoin or ETH/WETH, to USD0 using Console’s best available route through its swap meta-aggregator.

2. Convert to USD0++:

Once USD0 is acquired, it is automatically staked and upgraded to USD0++, the locked version of the stablecoin that offers enhanced yield through exposure to real-world assets.

3. (Optional) Provide Liquidity on Pendle:

If you opt for the Pendle action, the strategy mints USD0++ LP PT (Principal Token) tokens, which are then deposited into the USD0++ PT pool on Pendle with an expiry on 31/10/24. This step maximises your Pill rewards by earning additional yield from liquidity provision.

Position Management

After deploying the strategy, you have the flexibility to manage your position directly using Brahma Connect or Wallet Connect:

• Adjust Pendle LP Position:

You can manually adjust your Pendle LP position at any time, allowing you to increase or decrease your liquidity as market conditions change or as you see fit.

• Swap USD0++ Back to USD0 on Curve:

If needed, you can convert your USD0++ back to USD0 using Curve.

Risks

Engaging with the Usual Pill Booster Strategy involves several risks that users should be aware of:

• Smart Contract Risks:

The USD0 and USD0++ tokens, as well as the Pendle LP positions, are based on smart contracts. These contracts could potentially contain vulnerabilities that might be exploited, leading to loss of funds or other unintended consequences.

• Market Volatility:

The yield and rewards associated with USD0++ and Pendle LP positions can be affected by market fluctuations, including changes in interest rates, demand for liquidity, and overall market sentiment. This can impact your returns.

• Liquidity Risks:

The USD0++ is a locked version of USD0, meaning it is subject to a longer lock-up period, which could limit your ability to access your funds quickly (a Curve pool for USD0/USD0++ allows for swapping between the tokens). Additionally, liquidity on Pendle might not always be sufficient, potentially leading to slippage or delays in exiting your position.

For a more detailed analysis of the risks, please refer to Usual’s risk documentation.

Contracts Used

• USD0 Token: Etherscan Link

• USD0++ Contract: Etherscan Link

• Pendle USD0++ PT Pool: Pool Page

Additional Resources

• Usual Money Docs: Visit Usual’s Documentation