According to data from blockchain analytics platform DeFiLlama, a new yield farming app called Origin Ether (OETH) has amassed a total value (TVL) of more than $12 million just 14 days after launch. TVL is a metric that measures the dollar value of assets within an app’s smart contracts.
Provenance Ether Total Locked 9th-30th May. Source: DeFiLlama
According to a representative of the development team, the app was launched on May 16. Data from DefiLlama shows the app already had $793,000 in its contracts before launch, which may have been provided by team members or other early partners.
When the public launch took place on May 16, Origin ETH deposits quickly piled up, resulting in a TVL of over $13 million on May 30. This equates to about $12.6 million in profit over 14 days.
According to the app’s official documentation, Origin Ether generates revenue from Ether (ETH) by depositing it into multiple liquid staking and DeFi protocols. Specifically, an AMO (Algorithmic Market Operations) strategy is used on the Curve and Convex to maximize returns. Before depositing to Curve and Convex, some ETH is converted into liquid staking derivatives, including Lido Staked Ether (stETH), Rocket Ether (rETH), and Frax Staked Ether (sfrxETH). The protocol’s documentation states that this allows users to receive additional farming rewards from these vendors.
Related: Celsius adds over 428,000 stETH to Lido’s growing withdrawal queue
Ether-Liquid staking protocols allow ETH holders to pledge their coins to a network of providers in exchange for tokens representing those deposits. They have grown in popularity as Ethereum moved to proof-of-stake consensus and enabled withdrawals.
On May 1st, DeFiLlama reported that liquid stake protocols have become the top DeFi category, outperforming the TVL of decentralized exchanges. On May 30, cross-chain bridging protocol LayerZero partnered with the Tenet network to increase the use of liquid staking in the Cosmos ecosystem.
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