Prisma is excited to have both Convex and Yearn, two of the largest and leading liquid lockers, integrating vePRISMA to help optimize and expand opportunities for Prisma users. Similar to their role in the Curve ecosystem, these liquid lockers play a crucial role within the Prisma ecosystem by unlocking instant liquidity for PRISMA holders and optimizing yields on Prisma for vault owners and LP’s.
Liquid lockers accumulate and perpetually lock governance tokens like PRISMA every week, and in the case of Prisma this optimizes returns of depositors through Prisma’s boost mechanism.
Boosting on Prisma
Boosting is an exciting feature available to locked PRISMA holders. By locking PRISMA, users get access to boosted emissions - a bonus - earning up to 2x the rate of unboosted rewards. The more PRISMA a user locks and the longer the lock duration, the more lock weight they receive.Users that would like to automate their operations would benefit from depositing their PRISMA into liquid lockers, making it easier to earn yield on Prisma. Liquid lockers aggregate PRISMA from users and lock them perpetually in return for providing a 1:1 derivative of PRISMA that is transferable. Additionally Prisma vault users and LP’s can access boosted rewards.
Liquid lockers provide Prisma users with:
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Instant liquidity: holders of vePRISMA derivatives like cvxPRISMA and yPRISMA are transferable.
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Boosted rewards: Prisma LP’s enjoy added boosts through Convex while Prisma vault users can choose between Convex and Yearn to utilise their lock weight & enjoy boosted rewards.
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Prisma protocol rewards: holders of cvxPRISMA and yPRISMA are eligible to receive native yields once implemented.
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Incentives: cvxPRISMA holders receive additional CVX rewards, and Yearn has approved an incentive program rewarding yPRISMA holders with additional stETH rewards.
Liquid lockers enhance the Prisma protocol, and working with mature protocols like Convex, Yearn and their communities is a great opportunity to create more value within the Prisma ecosystem.
About Convex
Convex, a bluechip among DeFi protocols, has been the leading yield aggregator with its ever-expanding flywheel of veTKNS. As one of our earliest partners, Convex is thrilled to welcome cvxPRISMA into its family and expand its service to the Prisma community. With its major stake in Curve vote weight, Convex will be partnering with Prisma, enabling vePRISMA holders to enjoy a large boost and allowing them to claim their vePRISMA as liquid, all while optimizing their yield for maximum efficiency.
With other blue-chip protocols such as FXS and an expanding list of new innovative protocols under its belt, Convex has the potential to build unique synergies and yield opportunities for vePRISMA holders through their cvxPRISMA product.
About Yearn
Yearn, a long time DeFi bluechip, has established itself among DeFi's biggest yield aggregators and is a central player in the Curve wars. With the launch of the Prisma protocol, they are now excited to be joining as a partner to build the yPRISMA liquid locker. By continuing to build upon its large lock position (currently 2nd biggest behind Convex), Yearn will extend the benefits of its vePRISMA position to users, with the goal of optimizing passive yield for yPRISMA holders.
Just as Prisma itself has found great success by working closely with ecosystem partners, Yearn has plans to do the same. Using its relationships, other products, and veCRV position to bring unique advantages to the yPRISMA product.