Yield Basis (YB): The Next Big Digital Asset You Need to Know About!

Yield Basis (YB) is shaking up decentralized finance by tackling one of crypto’s biggest puzzles, earning real yield on Bitcoin without losing value.

Created by Michael Egorov, the mind behind Curve Finance, YB offers a secure way to generate returns from Bitcoin liquidity.

Backed by the Curve DAO and major DeFi players, this project is drawing major attention from investors looking for sustainable yield solutions.

Let’s dive deeper into what makes YB such a game changer for Bitcoin holders and how it plans to transform DeFi in 2025.

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Key Takeaways

1. YB is founded by Michael Egorov, the creator of Curve Finance, and focuses on optimizing Bitcoin yield safely.

2. It eliminates impermanent loss using an autoleverage AMM system powered by Curve’s crvUSD stablecoin.

3. The upcoming YB token launch offers users a new opportunity to earn yield on Bitcoin without taking unnecessary risks.

What Is Yield Basis (YB)?

Yield Basis, or YB, is a decentralized finance protocol built to help Bitcoin holders earn stable yields.

It is designed to merge the security of Curve Finance’s infrastructure with a new mechanism that protects users from impermanent loss.

This innovation opens the door for Bitcoin to work actively in DeFi instead of sitting idle in wallets.

The Creator and Foundation

YB was developed by Michael Egorov, best known for launching Curve Finance, one of the most trusted DeFi liquidity platforms.

His experience in designing stable, capital-efficient systems shaped YB’s architecture. The protocol builds upon Curve’s reliability while introducing unique yield optimization techniques tailored for Bitcoin.

YB’s official launch is set for late 2025, backed by Curve DAO and a lineup of major decentralized partners.

The close integration with Curve ensures that YB inherits strong liquidity support and a governance model that prioritizes transparency and sustainability.

Why YB Stands Out

Unlike traditional lending or yield farming platforms, YB does not rely on inflationary token rewards.

Instead, it provides returns generated mainly from trading fees and efficient liquidity usage. This model aims for sustainable and consistent yield rather than speculative, short-lived gains.

Read Also: Bitcoin Correction Before the Boom? Analysts Eye $150K by Year-End

How Does YB Work?

The heart of YB lies in its autoleverage AMM mechanism, a smart system built to optimize yield while maintaining Bitcoin’s exposure.

This mechanism is powered by Curve’s crvUSD stablecoin, which allows users to contribute liquidity without being affected by impermanent loss, a common risk when trading volatile assets.

Eliminating Impermanent Loss

Impermanent loss occurs when a token’s price changes relative to its pair in a liquidity pool. YB addresses this by automatically leveraging and rebalancing liquidity positions.

The autoleverage AMM adjusts positions based on market conditions, keeping a user’s exposure closely aligned with Bitcoin’s performance.

Half of all trading fees collected on the platform are redirected toward this rebalancing process. This ensures liquidity providers maintain their Bitcoin value while earning yield from trading activity.

How Users Earn Yield

Users who deposit BTC or other supported assets receive tokenized representations like ybBTC or ybETH. These tokens can be staked to earn additional rewards, adding a layer of passive income.

Most importantly, the yield comes from actual trading activity, making it more reliable and less dependent on external incentives.

Through this structure, YB creates a circular system where liquidity providers, traders, and the protocol itself benefit symbiotically.

Read Also: Polymarket Crypto Bets: 71% Chance Bitcoin Hits $126K in October 2025

Why YB Matters for Bitcoin Holders

YB’s design solves a long-standing issue in DeFi: earning on Bitcoin without compromising security.

Traditional lending platforms often give returns of less than 1%, while DeFi pools expose users to volatility and impermanent loss. YB bridges that gap by offering safe, market-driven yield.

Strategic Partnership with Curve Finance

In September 2025, the Curve DAO approved a 60 million crvUSD credit line for YB to seed liquidity pools.

In return, YB will allocate 7.5% of its token supply to Curve DAO incentives, creating a mutually beneficial ecosystem. This partnership gives YB access to deep liquidity and community governance from day one.

Token Launch and Governance

The YB token launch is among the most anticipated events in DeFi this year. It features a total supply of 1 billion tokens, with 2.5% allocated for the public sale.

The IDO runs from September 29 to October 5, 2025, on Legion, followed by listings on Kraken Launch from October 1 to 2.

Governance will be managed through veYB, a vote-escrow model similar to Curve’s veCRV, allowing users to participate in decision-making and rewards distribution.

The Bigger Picture

By removing impermanent loss and enabling higher, more sustainable yields, YB could unlock billions of dollars in idle Bitcoin liquidity.

This could mark a new era where Bitcoin actively participates in decentralized finance rather than passively holding value.

Read Also: U.S. Government Shutdown Sparks Flight to Gold & Bitcoin: What’s Next for Markets?

Conclusion

Yield Basis (YB) represents a major step forward in Bitcoin yield optimization. With its smart autoleverage AMM, transparent governance, and strong Curve Finance roots, it creates a safer and more efficient way for BTC holders to earn. Its focus on sustainability and real yield makes it a promising addition to the DeFi space.

As YB heads toward its public launch, Bitcoin investors looking for reliable yield opportunities should keep an eye on this protocol.

And for those ready to trade or invest safely, Bitrue offers a secure, user-friendly platform for exploring YB and other digital assets.

With its advanced trading tools and strong security, Bitrue makes crypto investing easier and safer for everyone.

FAQ

What is Yield Basis (YB)?

YB is a DeFi protocol that allows users to earn sustainable yield on Bitcoin without facing impermanent loss. It’s built by Michael Egorov, the founder of Curve Finance.

How does YB prevent impermanent loss?

YB uses an autoleverage AMM mechanism that automatically adjusts liquidity positions using Curve’s crvUSD stablecoin, keeping your exposure stable.

How can I earn yield with YB?

By providing liquidity in Bitcoin or Ethereum, users receive ybBTC or ybETH tokens, which can be staked for rewards generated from trading fees.

When will the YB token launch?

The YB token will have its public sale from September 29 to October 5, 2025, with listings on major platforms like Kraken Launch.

Why should Bitcoin holders care about YB?

YB enables Bitcoin holders to earn real yield safely, bridging traditional BTC holding with decentralized finance opportunities.

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