TL;DR
- Ledger added yields of up to 9.9% for stablecoins in its Live app, without custodians or manual management of smart contracts.
- The tool works in partnership with Kiln Finance and protocols like Aave, Compound, and MorphoLabs, always with funds stored in the physical wallet.
- Level reported a 9.28% annualized yield for its slvlUSD, though it is only available outside the U.S. due to regulatory restrictions.
Ledger expanded the features of its Live app with an option that allows generating yields on stablecoins, without giving custody of funds to third parties.
The platform now offers annual rates of up to 9.9% for those who deposit assets like $USDT, $USDC, $USDS, and $DAI. This new feature allows users to participate in DeFi protocols without relying on centralized exchanges and without manually managing smart contracts.
Ledger Partners with DeFi Protocols
Through a collaboration with Kiln Finance, Ledger connects its service with well-known protocols such as Aave, Compound, MorphoLabs, Spark, and Sky. In this way, users access yields that are higher than those typically offered by traditional exchanges, where rates rarely exceed 3%. The operation is carried out from the same Ledger Live app, with assets always secured in the user’s physical wallets, eliminating intermediaries and reinforcing individual control over the funds.
The appeal of this tool lies in its ability to bring decentralized finance closer to those who prioritize self-custody and seek passive income with stablecoins, without facing the usual complexities of DeFi infrastructure. Users can move and withdraw their assets at any time, without the restrictions imposed by custodians or external platforms.
The Popularity of Stablecoins with Yields
In addition to this initiative, other DeFi market companies have also reported updates. The Level protocol reported that its stablecoin slvlUSD achieved an annualized yield of 9.28%, based on its latest income distribution. The formula used considers the income generated by the protocol, divides it by the average daily market cap of slvlUSD since the last distribution, and then annualizes it with compound interest. This yield positions slvlUSD as one of the stablecoins with the highest returns at the moment.
However, just like with other DeFi products, these rates do not guarantee stability in the future. Additionally, Level’s stablecoin is restricted for U.S. users due to regulatory issues. Self-custody services and yield options with stablecoins continue to grow in popularity in the market, offering solutions that combine security, profitability, and decentralization.
