Yield Streams

BounceBit has a multifaceted framework designed to maximize the potential yields for asset holders within its ecosystem. The system is divided into three primary yield streams, each offering unique opportunities for users to grow their assets.

Ecosystem Yield

The ecosystem DeFi yield stream within BounceBit capitalizes on the various DeFi applications and opportunities available within the BounceBit onchain ecosystem. Users can engage in activities such as liquidity provision, yield farming, and participating in new project launches or governance mechanisms. By actively participating in the BounceBit ecosystem, users can earn yield in the form of transaction fees, governance tokens, or other incentives designed to reward ecosystem engagement.

Infrastructure Yield

BounceBit’s infrastructure yield is anchored in its staking framework. Users are incentivized to stake their BounceBit tokens, thereby directly enhancing the chain’s security and stability. Participation in this process is twofold: validators operate nodes to maintain network integrity, while stakers contribute to the consensus via Proof of Stake. The tangible return on these critical activities comes in the form of staking rewards—yield that is accrued from the network’s transaction fees and the unlocking of BB coins through the PoS protocol. A portion of staking rewards is reserved as incentive for staking BB-Tokens after subscribing to a strategy vault. This model not only enables a sustainable ecosystem for yield accrual but also reinforces the foundational strength of the BounceBit network.

Strategy Yield

Within BounceBit’s ecosystem, the third avenue of yield generation is through a CeFi framework, woven into the platform’s architecture. User’s contributions to TVL are securely managed by Ceffu's regulated custodial services, assuring both compliance and safety. These assets are then mirrored via Ceffu’s MirrorX service, a key integration by BounceBit that maintains the onchain visibility and transparency of these assets.

Users can explore various vault strategies offered in collaboration with established asset managers, details of which are available in the asset manager directory. This includes participating in funding rate arbitrage opportunities on Binance and exploiting differences between futures and spot market prices.