Spectra

Spectra is a permissionless EVM-centric interest rate derivatives protocol that tokenizes yield-bearing assets into Principal Tokens (fixed rates) and Yield Tokens (variable yield exposure). It offers fixed-rate yield locking, yield trading, and curated MetaVaults for automated rollovers across maturities. The protocol serves DeFi users seeking predictable income, leveraged yield exposure, and passive liquidity provisioning across multiple chains.

Spectra turns interest-bearing assets (tokens that grow in value over time, like shares in a lending pool) into two separate pieces: Principal Tokens (PT) and Yield Tokens (YT). Each piece lets you earn in a different way.

PT holders lock in a fixed return. You buy PT at a discount (less than face value). When the token matures, you redeem each PT for one full unit of the underlying asset — so your profit is the discount you bought at. This works as long as the underlying doesn't produce negative yield (which is rare).

YT holders collect all the variable yield the original asset earns while it grows, including any loyalty points from outside programs. You can claim that yield at any time. Because YTs are cheaper than the full asset but give you the same yield, they offer leveraged exposure (roughly 10–50 times) — meaning small yield changes have a bigger effect on your return.

Liquidity providers (LPs) earn from five sources at once:

• Swap fees when people trade in the IBT/PT pools
• The natural yield the deposited interest-bearing token already earns
• Fixed-rate yield from any PTs held inside the pool
• SPECTRA token rewards from the protocol
• Extra incentives from third-party programs

MetaVaults are pre-built, curator-managed vaults that automatically move your liquidity between different maturity dates. The curator handles the rollovers, so you don't have to track expiry dates or manually reinvest — your yield keeps compounding.

Fees work on two levels. First, a swap fee on pool trades is split three ways: 60% goes to veSPECTRA voters (people who lock the protocol's token), 20% to LPs, and 20% to Curve DAO. Second, a 3% fee is taken from all yield earned by YT holders (including points) and sent to the Spectra DAO treasury.