Collateral Yield

What does it mean to earn yield on collateral assets?

Hubble has developed a platform where your deposited collateral assets don’t simply lie dormant. Instead, borrowers will have the option to earn yield on their deposited assets.
With other collateral debt position (CDP) borrowing platforms, when you deposit your tokens to borrow a stablecoin, you lose the ability to earn yield on those tokens.
With Hubble, you can leverage the power of composability (smart contracts interacting with each other on the same network) to put your tokens to work and generate yield while still held in Hubble's borrowing contract.
The ability to opt into yield strategies with single-asset tokens will go live later this year.

How can I start earning yield on my collateral?

By depositing mSOL to mint USDH on Hubble, your collateral will generate yield from Solana's PoS staking rewards. Marinade's mSOL token will automatically reflect the yield earned.

On which collateral assets can I earn yield?

The number of assets that can earn yield will increase as Hubble’s partnership portfolio increases. Eventually, our goal is to have yield strategies available for all the tokens accepted on the platform.

Does yield strengthen my LTV/Collateral ratio?

Yes. Your earned yield will increase the health of your account as it increases the value of your collateral. You can even use the additional value from a yield strategy to help pay down your USDH loan.