Yield Basis is a Curve-team-launched Ethereum protocol that turns single-asset deposits (BTC variants, ETH) into 2x-leveraged Curve Cryptoswap LP positions whose constant leverage cancels impermanent loss, paying organic trading-fee yield with 1:1 tracking to the underlying.
A plain BTC LP bleeds value against just holding BTC. Yield Basis levers the position to exactly 2× — the ratio where that loss cancels — so it tracks BTC and keeps only the fee yield.
Provide BTC to a normal xy=k pool and every price move — up or down — drags your position below a simple hold. That gap is impermanent loss. Drag the BTC slider and watch the rose curve fall away from the reference line both ways.
Symmetric by design — the plain LP loses to the 50/50 hold whether BTC rallies or dumps. The bigger the move, the wider the bleed. This is the drag Yield Basis is built to erase.
Illustrative values — curves use standard AMM math (LP value = √price); yields and prices are for teaching, not live quotes.
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Standard xy=k AMM LPs suffer impermanent loss whenever the price of either asset moves, capping the after-IL yield a passive LP can earn — particularly painful for BTC LPs who want spot exposure plus trading-fee yield.
Maintain a constant 2x leverage ratio on a Cryptoswap LP via the LEVAMM mechanism. At exactly 2x, the IL drag of the underlying LP is mathematically cancelled, so the yb-LP share tracks the underlying asset 1:1 while accruing trading fees.
First production deployment of arbitrage-driven IL-cancellation for AMM LPs. Built on Curve primitives (Cryptoswap pools, crvUSD borrow markets) by the Curve founding team, allowing seamless integration with the Curve liquidity stack.
Yield Basis is a Yield protocol operating on Ethereum. Yield Basis is a Curve-team-launched Ethereum protocol that turns single-asset deposits (BTC variants, ETH) into 2x-leveraged Curve Cryptoswap LP positions whose constant leverage cancels impermanent loss, paying organic trading-fee yield with 1:1 tracking to the underlying.
Maintain a constant 2x leverage ratio on a Cryptoswap LP via the LEVAMM mechanism. At exactly 2x, the IL drag of the underlying LP is mathematically cancelled, so the yb-LP share tracks the underlying asset 1:1 while accruing trading fees.
DeFi Sentinel rates Yield Basis A with a safety score of 72/100, indicating low-to-moderate risk. The score reflects five risk dimensions: smart contract & technical risk, economic design & market risk, governance & centralization, sustainability & competitive position, and reputation & social trust. Yield Basis has 10 audits on record. DeFi Sentinel's analysis flagged 2 high, 7 medium, 5 low risk alerts across Smart Contract & Technical Risk, Economic Design & Market Risk, Governance & Centralization, Sustainability & Competitive Position and Reputation & Social Trust. As with all DeFi protocols, residual risk remains and users should review the full risk breakdown before depositing.
Yield Basis has a DeFi Sentinel safety score of 72/100 (rating A), last updated July 8, 2026. The score is computed across smart contract & technical risk (30%), economic design & market risk (25%), governance & centralization (20%), sustainability & competitive position (15%), and reputation & social trust (10%).
Yield Basis is deployed on Ethereum.
Yes. Yield Basis has 10 audit reports on record from firms including Statemind, ChainSecurity, Quantstamp. Audit reports and dates are linked under the Resources tab on this page.
