Wave 9: Hyperdrive Adds Moonwell Flagship ETH Vault and Staked WELL
Hyperdrive is integrating with the Moonwell Flagship ETH Vault and adding Staked WELL, which is now available for users.
We’re excited to announce that the Hyperdrive Protocol (developed by DELV; this instance operated and managed by the Element DAO) is expanding its presence on Base. Today, Hyperdrive is integrating with the Moonwell Flagship ETH Vault and adding Staked WELL, which is now available for users.
“Hyperdrive is poised to become the go-to fixed-rate DeFi solution on Base, and we’re glad that it’s growing in this ecosystem,” said Charles St. Louis, CEO of DELV. “By integrating with the innovative Moonwell Flagship ETH Vault, Hyperdrive will deliver new opportunities for users and provide them with exposure to Moonwell and Morpho.”
What is the Moonwell Flagship ETH Vault?
Moonwell is a decentralized lending and borrowing platform that provides a range of DeFi services, including liquidity provisioning, lending, and borrowing non-custodial assets.
The Moonwell Flagship ETH Vault is built on the ERC-4626 standard and is part of the wider Moonwell ecosystem. It allows users to deposit Ethereum (ETH), which is lent out to borrowers on Morpho markets. On Hyperdrive, users can receive staking yield and get exposure to Moonwell token (WELL) and Morpho.
Hyperdrive users can participate in the Moonwell Flagship ETH Vault at an initial fixed APR of 8%.
How to Get Started with the Moonwell Flagship ETH Vault
The Moonwell Flagship ETH Vault lets users access yield opportunities while gaining exposure to Moonwell and Morpho by depositing ETH. If you want to provide liquidity, here’s how it works:
- Access the Hyperdrive app.
- Deposit ETH into the Moonwell Flagship ETH Vault on Hyperdrive by navigating to the LP tab.
- Participate in Hyperdrive’s optimized liquidity pools. You’ll gain access to returns from staking and trading fees, as well as exposure to Moonwell and Morpho.
And if you’re a trader, here’s what you can do:
- Access the Hyperdrive app.
- Deposit ETH into the Moonwell Flagship ETH Vault on Hyperdrive.
- Open a long position at a fixed rate or a short position at a variable rate.
What is Staked WELL?
Staked WELL represents a user’s position in Moonwell’s Safety Module. The WELL token is Moonwell’s native governance and utility token. Token holders can participate in governance by voting on protocol upgrades and changes, and WELL can also be used for staking, incentives, and providing liquidity.
Hyperdrive users will be able to access Staked WELL at an initial fixed APR of 10.53%.
How to Get Started with Staked WELL on a Hyperdrive Pool
If you want to provide liquidity, here’s how it works:
- Acquire Staked WELL by purchasing WELL on an exchange and staking it on the Moonwell platform.
- Access the Hyperdrive app.
- Deposit Staked Well on Hyperdrive by navigating to the LP tab.
- Participate in Hyperdrive’s optimized liquidity pools. You’ll gain access to returns from staking and trading fees.
And if you’re a trader, here’s what you can do:
- Acquire Staked WELL by purchasing WELL on an exchange and staking it on the Moonwell platform.
- Access the Hyperdrive app.
- Deposit Staked Well on Hyperdrive.
- Open a long position at a fixed rate or a short position at a variable rate.
We’ll have more YieldFest integrations and deployments to share in the coming weeks, so stay tuned to hear about the latest updates.
Missed our earlier posts? Check out Part 1, Part 2, Part 3, Part 4, Part 5, Part 6, Part 7, and Part 8 to learn about our other integrations. Plus, read YieldFest’s kickoff announcement for more details (including our role as a non-exclusive service provider to the Element DAO).
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Note: This blog post is general in nature and for informational purposes only. It is not legal, tax, investment, financial or other advice, nor is it a comprehensive or complete statement of the matters discussed. It is not a recommendation of an investment strategy and should not be used as the basis of any investment decision.
All transactions and investments involve risk, and past performance does not guarantee future results. Certain complex strategies carry additional risk and are not appropriate for all users. As with any DeFi or crypto position, you may incur losses. You alone are responsible for evaluating the benefits and risks associated with any decision to use Hyperdrive and the risks or concerns with any underlying yield source.
Hyperdrive is not currently available in certain jurisdictions, such as the USA and the UK.