Rewards

beUSD tokens can be locked in the rewards module to receive non-transferable beUSD++ tokens, granting users the option to choose between guaranteed yield with Bento Savings Rate or speculative yield with Bento Rewards Rate.

Bento’s rewards model is designed to outperform the Bento Savings Rate i.e. native yield of the underlying assets. It incentivizes early entrants and ensures a sustainable flywheel effect.

Uncapped rewards If the Bento Rewards Rate is higher than the boosted Bento Savings Rate, users can claim the tokens.

Guaranteed yield Otherwise, users claim the BSR yield, boosted by the circulating supply of beUSD that is not locked/staked and by exposure to high-yield, long-duration strategies that efficiently match asset-liability durations – like a fractional reserve system.

Governance voting power beUSD++ holders also gain governance voting power, allowing them to participate in key protocol decisions related to the introduction of new collateral assets, strategies, protocols, strategy managers etc.

Junior risk tranche beUSD++ functions as the junior tranche in Bento Protocol, offering insurance coverage to beUSD/beUSD+ against underlying assets loss or protocol failure, while earning a higher yield in return.

Rewards product is suitable for users seeking enhanced real yields on stablecoins or speculative yields in the form of token rewards.