Yield-bearing stablecoins are one of the hottest parts of DeFi and RWA in early 2026
YBS already make up more than $20B and are growing fast. Many people want stable yield without active trading both retail users and institutions.
From 2026–2028, stablecoins could reach $1–2 trillion.
More than 20% may be built-in yield stablecoins (they earn yield automatically, no extra staking).
YBS are not only for "holding and earning interest"
⤷ They are becoming core building blocks of on-chain finance.
1. DeFi capital efficiency
- YBS are used as high-quality collateral on protocols like Aave, Compound, and Morpho.
- You can borrow and still earn yield at the same time
- Morpho vaults auto-move funds to the best risk-adjusted yield.
2. Institutional treasury use
- Companies use YBS instead of idle cash.
- Earn yield 24/7 while staying stable.
- Easy to manage liquidity on-chain.
- Banks and payment firms use YBS for instant settlement and programmable payments.
3. RWA and tokenization growth
- YBS connect TradFi and crypto.
- Backed by tokenized Treasuries or funds.
- Help close the yield gap: Crypto yield: ~8–11% and TradFi yield: ~5–6%
4. Yield trading and derivatives
- On Pendle, yield can be traded separately.
- Create fixed yield products.
- Useful for hedging and planning cash flow.
- Use as collateral and earn yield in @StandX_Official
5. Payments and cross-chain use
- YBS act as programmable money.
- Yield can be auto-routed.
- Instant settlement across chains.
⤷ Yield-bearing stablecoins are becoming the base money of on-chain finance.
YBS already make up more than $20B and are growing fast. Many people want stable yield without active trading both retail users and institutions.
From 2026–2028, stablecoins could reach $1–2 trillion.
More than 20% may be built-in yield stablecoins (they earn yield automatically, no extra staking).
YBS are not only for "holding and earning interest"
⤷ They are becoming core building blocks of on-chain finance.
1. DeFi capital efficiency
- YBS are used as high-quality collateral on protocols like Aave, Compound, and Morpho.
- You can borrow and still earn yield at the same time
- Morpho vaults auto-move funds to the best risk-adjusted yield.
2. Institutional treasury use
- Companies use YBS instead of idle cash.
- Earn yield 24/7 while staying stable.
- Easy to manage liquidity on-chain.
- Banks and payment firms use YBS for instant settlement and programmable payments.
3. RWA and tokenization growth
- YBS connect TradFi and crypto.
- Backed by tokenized Treasuries or funds.
- Help close the yield gap: Crypto yield: ~8–11% and TradFi yield: ~5–6%
4. Yield trading and derivatives
- On Pendle, yield can be traded separately.
- Create fixed yield products.
- Useful for hedging and planning cash flow.
- Use as collateral and earn yield in @StandX_Official
5. Payments and cross-chain use
- YBS act as programmable money.
- Yield can be auto-routed.
- Instant settlement across chains.
⤷ Yield-bearing stablecoins are becoming the base money of on-chain finance.
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