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Pendle Review

Yield tokenisation with a flat 5% fee

of 10

Pendle tokenises future yield into tradable principal and yield tokens, collecting a flat 5% fee on all yield accrued by yield tokens plus a maturity-scaled swap fee. Its core is BUSL-1.1 and four audit sources are named.

No money changes hands. This is a non-commercial project: no advertising, no sponsored placements, and no affiliate or referral links. Links to the services below earn us nothing. Every overall score is the plain average of the criteria shown on the page, so you can check the arithmetic yourself — see our rating methodology and how the site is funded.

Yield fee

5% of all yield accrued by yield tokens

Swap fee

Maturity-scaled, set by pool deployer; no single figure

Model

Splits yield into principal (PT) and yield (YT) tokens

Licence

BUSL-1.1; change licence GPL-2.0-or-later

Auditors

Ackee, Dedaub, Dingbats, Code4rena

Scores

Fee disclosure
8.0
Licence & code openness
5.0
Audit disclosure
8.0
Custody & control
3.0
Strategy transparency
6.0

Each criterion carries equal weight. The overall score is the average of these 5 scores — (8.0 + 5.0 + 8.0 + 3.0 + 6.0) ÷ 5 = 6.0.

Pros

  • Flat 5% fee on all yield accrued by yield tokens, published clearly
  • Swap fee formula published: scales with time to maturity, set by the pool deployer
  • Auditors named: Ackee, Dedaub, Dingbats and top Code4rena wardens
  • A genuinely distinct model — separating principal from yield into tradable tokens

Cons

  • Business Source License 1.1, not an open-source licence today
  • No custody statement was found on the pages read
  • The swap fee is variable per pool rather than a single figure
  • The overview page returned 404, so the description came from the mechanics pages

A different kind of yield product

Pendle does not compound yield — it tokenises it, splitting a yield-bearing asset into a principal token and a yield token that trade separately on its own AMM. That lets a user sell future yield upfront or buy it at a discount, a genuinely distinct mechanism in this comparison, documented on the protocol's mechanics pages.

Fees, mostly published

Pendle collects a flat 5% fee on all yield accrued by every yield token in existence, which is clear and simple. The swap fee is a percentage that scales with time to maturity and is set by the pool deployer, so it varies rather than being a single published rate.

Licence and custody

The core is Business Source License 1.1, converting to GPL, so not open source today. No custody statement was found on the pages we read, which holds that score down. Auditors are named — Ackee, Dedaub, Dingbats and top Code4rena wardens.

How it compares

Sources

Scored from published primary sources rather than hands-on use. Every figure above comes from one of the pages below, on the date shown. Manufacturers change prices and specifications without notice — if something here no longer matches the source, tell us and we will correct it.

  1. 1.Pendle — fees mechanics — checked
  2. 2.Pendle — core LICENSE (BUSL-1.1) — checked
  3. 3.Pendle — security — checked

Frequently asked questions

What does Pendle charge?

A flat 5% fee on all yield accrued by yield tokens, plus a swap fee that scales with time to maturity and is set by each pool's deployer.

Is Pendle open source?

No. The core repository is under Business Source License 1.1, which converts to GPL-2.0-or-later on its change date.

Nothing here is financial advice. Editorial policy · How we score · How we're funded.