Go long on yield
Step-by-step — get leveraged exposure to Stellar yield by holding YT through Spield's Long Yield flow.
Going "long yield" means betting that the realized yield will be higher than the market's current implied APY. You express it by holding YT. This is the higher-risk, higher-upside side of Spield.
This is an advanced, higher-risk flow
YT can decay to zero by maturity if the position earns little. Only go long yield if you understand that you can lose the amount you put in. Read Understanding the risks first.
The idea in one line
Buy YT cheaply → if yields run hotter than the market expects, your YT earns more than you paid. A small amount of USDC controls the yield of a much larger position — that's the leverage.
How the Long Yield flow works
Behind a single click, the app:
- Mints PT + YT from your USDC (via the engine), then
- Sells the PT back into the market,
leaving you holding YT for a small net cost.
Walkthrough
Open Markets → Long Yield
Select Markets, then switch to the Long Yield tab.
Enter how much to spend
Type the USDC amount. The app previews:
- YT received — your yield exposure,
- USDC recovered — from selling the PT,
- net cost — what you actually pay, and
- an approximate leverage figure.
Confirm the routed trade
Approve the steps in your wallet. The app runs them in sequence and shows progress ("Step 1/2 / 2/2"), then refreshes once complete.
Manage your YT
Your YT now earns yield to maturity. Claim accrued yield in USDC whenever you like; the YT keeps earning. You can also sell or recombine to exit.
When does YT pay off?
YT is profitable when the yield it collects (plus any value left at exit) exceeds your net cost. In short:
| Scenario | YT outcome |
|---|---|
| Realized yield beats the implied APY | YT wins — you captured the upside. |
| Realized yield ≈ implied APY | Roughly break-even. |
| Realized yield falls short | YT underperforms; it can decay toward zero by maturity. |
Claiming yield
You don't have to wait for maturity to take profit. Open your position and claim — Spield pays the accrued yield in USDC and your YT keeps running. Claim as often as you like.
Exiting
- Sell YT back through the market (routed), or
- Recombine equal PT + YT into USDC if you hold both.
Next, the income side: provide liquidity.