Bento Earn

While the Cambrian explosion of new liquid staking, restaking, RWA, CeFi yield, lending, AMM protocols has fueled TVL in DeFi, it has also made it increasingly challenging for yield farmers to manually allocate capital in efficient and optimal ways. Yearn has demonstrated that smart contracts can automate the rebalancing of funds across various strategies to optimally earn lending interest, market-making fees, and rewards tokens. Bento builds on this concept by deploying the underlying collateral assets to a diversified set of yield-earning strategies, rebalancing over time to achieve best yields while diversifying risk.

Bento Dollars do not automatically earn a yield, rather these must be staked or locked in some specific contracts in order to start earning. Bento offers two mechanisms for the yield generation:

• Savings beUSD can be staked in the savings module to receive beUSD+, the liquid staked version of beUSD that represents the senior risk tranche in the Bento Protocol. beUSD+ offers low-risk, diversified, all-weather yields by earning the Bento Savings Rate (BSR). BSR acts as a benchmark for digital dollar yields, providing passive exposure to aggregated and optimized yields from a range of blue-chip stablecoins, platforms, and strategies across DeFi, CeFi, and TradFi ecosystems.

• Rewards beUSD can be locked in the rewards module to receive beUSD++, non-transferable tokens representing the junior risk tranche in the Bento Protocol. This enables Bento reserve allocation to high-duration, high-yield assets by efficiently matching asset-liability durations. Users can choose between guaranteed native yield via the boosted Bento Savings Rate or speculative yield in the form of token rewards via the Bento Rewards Rate.