Comprehensive Analysis Report on the YieldBasis Project

YieldBasis Overview: YieldBasis, founded by Curve's Michael Egorov, is a DeFi protocol designed to eliminate impermanent loss for liquidity providers while offering sustainable yields on Bitcoin (BTC) through a leveraged automated market maker (AMM) model.

Launch and Adoption: The protocol launched its mainnet in September 2025, quickly gaining traction with a $60 million liquidity injection from Curve DAO and a presale on Kraken, aiming for a total value locked (TVL) of $100 million within six months.

Technical Innovations: YieldBasis employs a unique auto-rebalancing mechanism that maintains liquidity provider value during price fluctuations, allowing for a 2x leveraged position in BTC and crvUSD, with historical backtests indicating potential annual returns of around 20%.

Market Potential: With the growing demand for BTC yield and a projected DeFi TVL exceeding $200 billion in 2025, YieldBasis positions itself as a key player in the market, appealing to both retail and institutional investors through its compliance features and community-driven initiatives.