Full-service investment company Genesis Block Ventures (GBV) announces an investment in Pendle Finance. Genesis Block Ventures would accelerate the development of the tokenized yield platform, to enable a wider community of users to actively manage their DeFi yields.
Pendle Finance is a protocol that enables the tokenization and trading of future yield. With the creation of a novel AMM that supports assets with time decay, Pendle gives users more control over future yield by providing optionality and opportunities for its utilization. It also offers traders a more capital-efficient way for them to gain exposure to future yield, without the need for an underlying collateral.
In April, Pendle completed a $3.7 million seed funding round. Genesis Block Ventures participated in the round, along with other big-name investors including Mechanism Capital, CMS Holdings, Spartan Group, DeFi Alliance, HashKey Capital, Lemniscap, imToken, Crypto.com Capital, Signum Capital, and Taiyang Zhang (co-founder & CEO of Ren Protocol).
At Genesis Block Ventures, our mission from day one has been to build the future through blockchain technology. We have invested in some of the most prominent blockchain startups, such as Serum, Rari Capital, Alpha Finance, Manifold, SuperFarm, among others, making sure that these projects achieve success through strategic partnerships and guidance.
Pendle: Tokenization and Trading of Future Yield
Tokenizing and trading future yields represents a vast and mostly untapped market in the crypto space. Pendle’s design is inspired by coupon stripping in the bond market, where the coupon is separated from the underlying bond, and Pendle extends the concept to DeFi. Due to the fungible nature of yield in DeFi, such yield stripping mechanics can be applied to all yield-bearing assets. This opens up the possibility to create more structured products and assets for traders and arbitrageurs, improving the capital efficiency in DeFi.
With the emergence of DeFi, we are seeing finance being rebuilt on open rails. And in a healthy and mature capital market, yields can be traded to hedge risk. We believe that Pendle’s unique value proposition will build one of the pillars in the next-gen DeFi system.
“With yield-bearing assets being the foundation of the DeFi ecosystem, Pendle is uniquely positioned to unlock and accelerate market demand. We couldn’t be more excited to support Pendle on this journey!” — Leslie, Co-Founder and Partner at Genesis Block Ventures.
Through the investment, Genesis Block Ventures will help further expand Pendle’s opportunities in the crypto and DeFi space. We are excited to participate in the journey to create the next layer of DeFi yield markets!
About Pendle Finance
Pendle enables the tokenizing and trading of future yield by leveraging on base yield layers, such as lending protocols (Aave, Compound) and vaults (Harvest, Yearn), which has achieved significant success in DeFi with proven economic benefits.
With Pendle, future yield can be separated from its underlying asset and traded independently. Pendle is powered by an AMM specifically designed to support tokens with depreciating time value, creating a new avenue to trade these types of DeFi derivative. Pendle focuses on developing this layer of yield derivatives – expanding the supported token pairs, creating market depth, and growing the ecosystem.
About Genesis Block Ventures
Genesis Block Ventures (GBV) is a full-service investment company closely working with Genesis Block HK, Asia’s leading digital asset over-the-counter (OTC) trading center.
As a private investment company with a mission of building the future through blockchain technology, Genesis Block Ventures is an active participant in the DeFi revolution, and has grown a thriving network to form an effective ecosystem for all aspects of blockchain, crypto, and DeFi projects.