YieldBasis is a liquidity protocol that tries to solve impermanent loss for BTC/ETH LPs by wrapping exposure in a 2×-leveraged Curve position and continuously rebalancing so the position tracks spot while still collecting trading fees. Position tokens like ybBTC represent claims on these managed LPs, making the strategy composable in Ethereum DeFi. The design targets “buy-and-hold-equivalent” price exposure with AMM fee yield.
Because it’s built atop Curve and crvUSD, YieldBasis acts as infrastructure that can feed yield to ETH/LST and BTC holders across the Ethereum stack rather than as a closed silo. The YB token follows a vote-escrow (veYB) model for governance and emissions, steering rewards and parameters over time; adoption ultimately depends on the stability of the leverage/borrowing loop, Curve liquidity, and real-world performance versus simple spot holding.