Contango

**Contango releases comprehensive PT trading guide** covering leveraged Principal Token strategies on Pendle. **Key trading considerations:** - Research underlying assets thoroughly before trading - Choose quote assets carefully to minimize market impact - Longer maturities generally safer than short-term trades - Exit early if unable to handle volatile markets at maturity **Critical risks highlighted:** - MEV attacks without protection can cause significant losses - Oracle type affects liquidation risk - avoid market rate feeds - YT speculation can drive PT prices down, affecting returns **Technical mechanics explained:** - PT loops combine fixed yield lending with variable rate borrowing - Profit = PT yield minus borrowing costs, minus fees and slippage - Positions must be manually closed after expiry to avoid ongoing costs Guide emphasizes education over speculation, warning that **uneducated PT trading often results in losses**. Contango automates complex looping strategies but traders must understand all variables affecting their positions.

**Contango launches its longest-dated instrument** featuring PT-stcUSD from Cap Money protocol. **Cap Protocol Overview:** - Offers two main products: cUSD (dollar-denominated) and stcUSD (yield-bearing) - cUSD reserves backed by blue-chip stablecoins: USDC, USDT, pyUSD, BUIDL, BENJI - stcUSD generates yield for holders **Key Details:** - New instrument now available for trading on Contango - Built on variable rate markets with leverage capabilities - Documentation available at [docs.cap.app](https://docs.cap.app/) **Risk Warning:** Leverage trading carries significant risks. Users should understand Contango's mechanics before participating. Full documentation at [docs.contango.xyz](https://docs.contango.xyz/) *Always conduct your own research before trading.*

**syrupUSDC looping is now live** against both USDC and USDT through Morpho Labs and Euler Finance. **Key details:** - Earn **Drips rewards** only on Morpho positions - Get **$SYRUP tokens** at season end - Keep loops open longer for **extra Drips** **Current rates:** - Borrow rates: 2-3% - Underlying syrupUSDC yield: 7-8% + Drips - Initial capacity: 20M ⚠️ **Risk warning:** Trading on leverage carries significant risk. Understand the mechanics before participating. [Learn more about Contango](https://docs.contango.xyz/)

**Resolv Labs** has relaunched PT-RLP with a new expiry date, continuing their innovative approach to stablecoin risk management. **The USR/RLP System:** - **USR**: Overcollateralized stablecoin backed by ETH and stETH - Uses short futures positions to hedge price movements - **RLP**: Liquidity pool token that absorbs market risks - RLP holders receive higher profit shares in exchange for risk exposure **Key Features:** - True delta-neutral strategy eliminates market exposure - RLP price represents ETH backing value per token - Risk Premium rewards distributed to RLP holders **Important Warnings:** - Complex multi-layered product requiring full understanding - Trading on leverage carries significant risks - Not financial advice Read the full documentation at [Resolv's litepaper](https://docs.resolv.xyz/litepaper) before trading. *Understand the mechanics before participating in these sophisticated DeFi instruments.*

**Level-related trading pairs have been delisted** from the exchange as of September 30, 2025. **Key points for traders:** - Positions can still be closed despite delisting - **Liquidity is shrinking** on underlying markets - High market impact expected when trading This follows a pattern of delistings, with over 20 trading pairs removed in late 2023 for failing to meet listing criteria. **Traders should act carefully** when closing positions due to reduced liquidity conditions.

**PT-cUSDO from Clearstar Labs** is now live on Morpho Labs, expanding access to this yield-bearing stablecoin derivative. **What is USDO?** - OpenEden's "OpenDollar" - a rebasing yield-bearing stablecoin - Generates yield from T-Bills and reverse repo operations - cUSDO is the wrapped, non-rebasing version **Key Details:** - Previously launched in July with three trading pairs (RLUSD, USDC, USDT) - Powered by Euler Finance - Now available on Morpho Labs platform **Important Warnings:** - Trading on leverage carries significant risk - Users should research thoroughly at [openeden.com](https://openeden.com/) - Contango operates on variable rate markets - understand the mechanics before trading - Read documentation at [docs.contango.xyz](https://docs.contango.xyz/) *This expansion provides more options for traders interested in RWA-backed stablecoins, but requires careful consideration of risks.*

Circle's euro-backed stablecoin EURC has been added as a quote currency for five trading pairs on Aave's Base deployment: - ETH/EURC - weETH/EURC - wstETH/EURC - cbETH/EURC - cbBTC/EURC EURC maintains a 1:1 euro peg and is available across 38 blockchains via API3 Market. **Important**: Trading involves leverage risk. Users should review [Contango documentation](https://docs.contango.xyz/) before engaging with variable rate markets.

**Critical Deadline**: January 31st, 2025 is the final day to claim oTANGO tokens. After this date, all unclaimed tokens will automatically be transferred to the Contango treasury. Currently, 16.9% of tokens remain unclaimed. Token holders can claim through https://app.contango.xyz/otango/claim *Important Notes*: - Claiming is separate from exercising oTANGO - oTANGO remains exercisable after the claim deadline - Always verify links to avoid scams *Risk Warning*: Contango operates on variable rate markets. Users should understand the mechanics before trading or staking.

PumpBTC has integrated with Contango, offering new trading opportunities through MorphoLabs and zerolendxyz. Users can now trade two pairs: - pumpBTC/cbBTC - pumpBTC/WBTC *Key highlights:* - 2x PumpBTC points available on leverage trades - PumpBTC functions as Liquid Staking Solution for Babylon Labs - Babylon protocol uses Bitcoin to enhance proof-of-stake chain security **Important:** Trading involves significant risk. Users should review documentation at pumpbtc.gitbook.io before participating.

Contango has completed its final Phase 2 points distribution, allocating 1M weekly points plus 4,166 bonus points for bug reporting. This marks the conclusion of the Phase 2 oTANGO airdrop qualification period. Key points: - Weekly distributions based on volume and open interest - Special 3x multiplier applied to KelpDAO and ether.fi pairs - Phase 3 introduces new TANGOnomics framework Users who participated in Phase 2 have secured their position for the upcoming oTANGO airdrop.