Pendle Unveils sPENDLE Token Upgrade to Strengthen DeFi Yield Infrastructure

TLDR:

• Pendle achieved $5.7 billion average TVL in 2025, up 76% year-over-year with peak of $13.4 billion
• New sPENDLE token features protocol revenue buybacks and 14-day withdrawals or instant 5% fee option
• Platform generated $44.6 million in total fees during 2025, marking 134% increase from previous year
• Boros rates trading venue reached $6.9 billion open interest just four months after official launch

Pendle has introduced sPENDLE, a major upgrade to its native token designed to enhance liquidity and diversify revenue streams.

The world’s largest crypto yield trading platform achieved $5.7 billion in average total value locked during 2025, marking a 76% year-over-year increase. 

This development positions Pendle alongside leading DeFi protocols while expanding its capabilities in onchain yield and rates trading.

Platform Achieves Record Growth Across Key Metrics

Pendle recorded substantial growth throughout 2025, reaching a peak total value locked of $13.4 billion. 

The platform generated approximately $44.6 million in total fees, representing a 134% increase from the previous year. Holders’ revenue climbed to $34.9 million during this period.

Monthly notional trading volume averaged $54 billion over a 90-day trailing period. Daily volumes frequently reached nine-figure amounts, demonstrating consistent demand for fixed yield products. 

These metrics place Pendle among major DeFi protocols including Uniswap, Aave, and Hyperliquid in terms of market presence.

The platform has established itself as a primary venue for tokenized yield trading. Reported realized fees and liquidity depth surpassed several comparable platforms operating in the fixed income sector. 

This performance reflects growing institutional and retail interest in structured yield products within decentralized finance.

TN Lee, co-founder and CEO of Pendle, emphasized the strategic importance of the upgrade. “This upgrade is a structural improvement as we scale both Pendle and Boros,” Lee stated. 

He added that the goal has always been to bring the efficiency and scale of traditional fixed income markets into DeFi, making Pendle a more robust and institution-ready yield infrastructure.

Token Architecture Introduces Enhanced Flexibility

The sPENDLE upgrade implements several operational changes to improve user experience and capital efficiency. Protocol revenue will fund PENDLE token buybacks, with distributions directed to active sPENDLE holders. 

This mechanism creates a direct value flow between platform performance and token holder benefits.

The new liquidity model features a 14-day withdrawal period for standard redemptions. Alternatively, users can access instant redemption by accepting a 5% fee. This dual-option structure balances liquidity needs with protocol stability requirements.

The upgraded token functions as a composable and fungible asset compatible with any decentralized application. 

This design eliminates previous trade-offs between ecosystem participation and liquidity access. Users maintain flexibility regardless of their investment time horizon.

An algorithmic emission model will replace the manual voting system currently in place. This change targets a 20-30% reduction in PENDLE emissions while improving allocation efficiency. 

Existing vePENDLE locks will pause on January 29th, with current holders receiving multipliers up to 4x based on remaining lock duration.

Boros, Pendle’s onchain rates trading venue, has achieved $6.9 billion in open interest four months post-launch. 

The platform generated $301,000 in fees while accumulating $6.8 million in deposits by year-end 2025. 

Boros tokenizes perpetual funding rates, converting previously untradable yield streams into tradable instruments. 

The venue recently listed NVDAUSDC-Hyperliquid, enabling speculation on funding rates for equity perpetual markets.

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