Spectra Launches Interest Rate Derivatives Protocol on Avalanche
Spectra Finance has launched its open-source interest rate derivatives protocol on Avalanche. The platform introduces:
- Fixed Rates through Principal Tokens (PTs)
- Yield Leverage via Yield Tokens (YTs)
- Structured yield strategy liquidity pools
Initial pools feature UTY from XSY Finance and avUSD from Avant Protocol. Liquidity providers can earn from multiple revenue streams including trading fees, fixed-rate spreads, native yield, and protocol incentives.
The protocol builds on Spectra's existing presence on Ethereum, Base, Optimism, and Arbitrum, where it has integrated with PWN P2P markets for enhanced liquidity options.
[Learn more about Spectra](https://www.spectra.finance/)