Improved Capital Efficiency

To benefit from Helio’s yield, the protocol converts user BNB into aBNBc that accumulates liquid staking rewards.

During this phase, Helio Protocol will offer a compelling alternative to existing protocols and serve as a digital system for a wide variety of decentralized financial operations.

Users with a collateralized BNB position can take out a loan via the Helio Protocol payable in HAY destablecoins. The collected borrowing interest along with the liquid staking rewards from collateralized BNB will be deposited and held in the Helio Revenue Pool. The Helio Revenue Pool will be subject to community governance via the Helio DAO to redistribute its liquidity accordingly.

Helio Protocol is able to provide greater capital efficiency due to HAY being a fully redeemable destablecoin with a strategy to generate yield against BNB collateral while minimizing risk via liquid staking. At any time, the protocol allows holders to redeem their HAY for the underlying BNB collateral along with any additional yield that has been generated. The standard waiting time for withdrawal of the BNB collateral is between 7-13 days. Alternatively, users may choose to withdraw the corresponding aBNBc at any time instead.