Yield Basis, or YB, is a new decentralized finance (DeFi) protocol designed to solve one of crypto’s oldest challenges: earning meaningful yield on Bitcoin without exposure to impermanent loss. Founded by Michael Egorov, the creator of Curve Finance, YB has quickly become one of the most anticipated DeFi launches of 2025. But what is YB, and how does it plan to change Bitcoin yield?
What is YB and Who Created It?
YB was developed by Michael Egorov, best known for founding Curve Finance, one of DeFi’s most widely used liquidity platforms. Built on Curve’s stable and proven infrastructure, YB focuses specifically on optimizing Bitcoin yield in a safe and efficient way.
The protocol officially launches in late 2025, backed by the Curve DAO and major DeFi stakeholders.
What Problem is YB Trying to Solve?
For years, Bitcoin holders faced a dilemma: keep BTC idle with minimal yield or risk it in liquidity pools that expose them to impermanent loss. Typical lending platforms often offer less than 1% yield, while DeFi pools can be risky.
YB’s mission is to eliminate this trade-off, allowing Bitcoin liquidity to flow into DeFi safely.
How Does YB Eliminate Impermanent Loss?
YB uses an autoleverage AMM (Automated Market Maker) mechanism built on Curve’s crvUSD stablecoin. By automatically leveraging and rebalancing liquidity positions, the protocol keeps a user’s exposure aligned with Bitcoin’s value.
Half of all trading fees are directed toward this rebalancing process, ensuring that liquidity providers don’t suffer impermanent loss.
How Do Users Earn Yield with YB?
Yield in YB comes mainly from trading fees, making it more sustainable than token-emission-driven models. Users who provide liquidity receive tokenized assets like ybBTC or ybETH, which can be staked for extra rewards.
This structure allows Bitcoin holders to earn competitive yields without worrying about losing out when BTC’s price moves.
Why is YB Aligned with Curve Finance?
In September 2025, the Curve DAO approved a 60 million crvUSD credit line for YB to seed liquidity pools. This strong support connects YB directly to Curve’s ecosystem. In return, YB will allocate 7.5% of its token supply to Curve DAO incentives, reinforcing their partnership.
This alignment ensures that YB inherits Curve’s liquidity depth and governance model.
How is YB Launching Its Token?
YB is set for a high-profile token launch with both a decentralized and centralized listing. The IDO (Initial DEX Offering) will run from September 29 to October 5, 2025, on Legion, followed by a listing on Kraken Launch from October 1 to October 2.
The tokenomics include a 1 billion total supply, with 2.5% allocated for the public sale. Governance will be managed via veYB, a vote-escrow system similar to Curve’s veCRV.
Why Does YB Matter for Bitcoin Holders?
By removing impermanent loss and enabling higher yields, YB could unlock billions of dollars of idle Bitcoin liquidity. Its focus on sustainability, strong Curve integration, and governance model make it a critical new building block for DeFi.
For BTC holders seeking safe yield, YB could be a game changer.
Conclusion:
YB represents a breakthrough in Bitcoin yield optimization. By combining Curve’s trusted infrastructure with innovative mechanisms to eliminate impermanent loss, it provides a safer, more efficient way to earn yield on BTC.
As it heads into its public token launch and mainnet debut, YB has the potential to reshape how Bitcoin integrates into the broader DeFi economy.
