Liquity's Stablecoin LUSD Returns to Peg

**BOLD Stability Pools** from Liquity V2 are delivering a 7% APR yield with a unique risk profile that sets them apart from traditional DeFi offerings. **Key Features:** - Fully onchain and verifiable yields - No leverage or duration risk - Zero counterparty risk - No TradFi dependencies - No centralized issuer This positions BOLD as a distinct alternative to T-bill wrappers and other DeFi yield products that typically carry additional risk vectors. The Stability Pool mechanism provides transparent, sustainable returns without relying on traditional financial infrastructure or centralized entities. For users seeking stable yields with minimal trust assumptions, BOLD presents a compelling option in the current DeFi landscape.

Frankencoin (ZCHF) has formalized its partnership with Mt Pelerin, a Swiss crypto service provider, enabling seamless integration between both platforms. **Key Features:** - Users can now buy ZCHF on Ethereum through Mt Pelerin - Direct swapping with other supported cryptocurrencies - Cash-out functionality to bank accounts in fiat - 3% interest rate offered on ZCHF holdings The integration represents a practical step forward for Swiss franc-backed stablecoins in the crypto ecosystem, providing users with straightforward on/off-ramp services. [Full proposal details](https://github.com/Frankencoin-ZCHF/Frankencoin/discussions/94) [Learn more about the integration](https://www.mtpelerin.com/blog/zchf-frankencoin-now-live-in-our-service)

**Frankencoin is adding BOLD and ysyBOLD as collateral options**, unlocking access to Liquity V2's ~$120M TVL user base. **Key benefits of BOLD integration:** - No freeze function or blacklist - Permissionless mint/redeem capabilities - ETH-native backing - Yield-bearing nature (ysyBOLD) This move strengthens Frankencoin's alignment with Ethereum-first principles while providing users with a robust, yield-bearing collateral alternative. The integration represents a strategic expansion of collateral options for the protocol.

Yearn Finance has introduced **ysyBOLD**, a new product that brings yield generation to Liquity V2 collateral. **Key Features:** - Auto-compounds Liquity V2 yield at approximately 6% APR - Transforms idle collateral into a productive, yield-bearing asset - Enhances capital efficiency without adding operational complexity - Available through DeFi Saver integration The product continuously optimizes earnings across Liquity V2's Stability Pools, automatically reinvesting returns. This development marks a significant improvement in DeFi capital efficiency, allowing users to earn passive income on their collateral while maintaining their positions. ysyBOLD can be accessed directly through [DeFi Saver's platform](https://app.defisaver.com/liquityV2/smart-wallet/eth/staking/ybold).

Frankencoin is integrating BOLD and ysyBOLD as collateral for minting ZCHF. The decision centers on several key features: **Security Features:** - No freeze function or blacklist capabilities - No upgrade or pause functions - Permissionless mint and redeem functionality **Technical Advantages:** - ETH-native backing provides stability - ysyBOLD offers yield-bearing properties - Users can redeem BOLD at $1 for ETH collateral anytime The integration positions BOLD as a censorship-resistant stablecoin option within the Frankencoin ecosystem.