Every month, the Origin team publishes an update to our token holders and the broader community. We hope you enjoy our July 2024 edition.
Get a birds-eye view on what Origin accomplished in July below.
Welcome back to another Token Holder Update! Over the course of July, Origin delivered on the DAO’s vision for a strengthened OETH, secured new yield opportunities on Arbitrum and Ethereum, and continued to expand the Automated Redemption Manager with nearly $500 million in volume since launching in stealth earlier this year.
Alongside these product and engineering developments, we’ve brought on new team members to help us build faster and bolster our community efforts. Some of our highlights from July include:
Without further ado, let’s delve into these developments and more in this month’s Token Holder Update.
New OETH yield mechanics make Origin Ether stronger, more composable, and higher yielding.
Last month, Origin Ether became a true liquid staking token after divesting its LST collateral and adding support for Beacon Chain staking. In doing so, OETH has become more integration-friendly, as its 100% collateralized by ETH and earns yield directly from Ethereum staking. We anticipate that Origin Ether’s design changes will act as a catalyst for integrations, evidenced by new money market support for OETH on Ethereum and Arbitrum.
Origin Ether integrates with ssv.network and P2P for Beacon Chain staking. In doing so, OETH leverages distributed validator technology (DVT) to make our staking setup more robust. DVT decentralizes validator keys, allowing Ethereum to scale without compromising security. For end users, DVT reduces centralization and slashing risks, helping provide higher risk-adjusted returns on OETH. Ssv.network also incentivizes the use of DVT by offering SSV token incentives, which are harvested as extra yield for OETH holders.
Asynchronous, zero-fee OETH redemptions are coming soon, and once supported, instant redemptions will be powered by Origin’s Automated Redemption Manager for 1:1 swaps back to ETH.
We believe that instant redemptions to ETH will significantly improve Origin Ether’s positioning in liquid staking. Powered by the ARM, this innovation will greatly improve Origin Ether’s efficiency, making it an extremely attractive LST for protocols. Whereas other LSTs face slippage for instant redemptions, OETH will let users and protocols swap out of OETH at a 1:1 ratio. Removing slippage opens the floodgates for protocols to put their ETH to work, knowing they can swap back to ETH when liquidity is needed.
DeFi yield opportunities for OETH are increasing – find them in one place on our new DeFi page.
Origin Ether’s utility is constantly growing with strategic integrations that unlock new yield opportunities for holders. The brand new DeFi Opportunities page is your gateway to explore leading integrations on Ethereum Mainnet and Arbitrum. The page highlights categories, TVL, and APYs for each OETH (or wOETH) integration, complete with usage guides to help you get started earning with OETH across DeFi.
The page features diverse opportunities, including the recent additions of an incentivized Dolomite wOETH pool on Arbitrum and a Morpho market on Ethereum Mainnet. Users can supply wOETH collateral in each case, borrow WETH, and repeat the process to loop their positions and maximize APYs. Check out our guide to using OETH on money markets for further details on leveraged staking strategies that currently earn up to 50% APY.
The ARM is reaching new heights as it approaches half a billion dollars in volume.
The Automated Redemption Manager saw substantial growth on its stETH/ETH pool in July. Aggregate volume on this single pool surpassed 140,000 ETH and is quickly approaching half a billion dollars, with the majority of volume being sourced from stETH whales on 1inch and CoWSwap.
In line with this success, we’ve recently announced our plans to increase asset support on the Automated Redemption Manager. By broadening the types of assets supported by the ARM, we aim to increase liquidity across the LST sector and beyond. Excitingly, the next asset to be added to the Automated Redemption Manager will be Origin Ether.
The OETH/ETH pool on the ARM will be granted special privileges to make OETH the most liquid LST available in DeFi. The spread on the OETH/ETH pool will be set to zero, offering true 1:1 swaps on Origin Ether with zero slippage. In doing so, users and protocols can easily swap into OETH to earn staking yield while having the assurance of instant redemptions with zero losses.
Join us in welcoming Clément and Ivy to Origin Protocol!
Origin expanded in July with two new hires to the team. In an effort to deliver quickly on our product roadmap, we brought on a new Solidity Engineer with deep experience in DeFi. Clément Moller joined Origin in July to help build the ARM, OETH, and expand Origin’s presence on layer 2 networks. Prior to joining Origin, Clément built critical infrastructure at Swell Network, Prisma Finance, and StakeDAO.
Additionally, Origin welcomed Ivy Lee as our new Community Manager for China. Ivy's role will be instrumental in growing and nurturing our Chinese communities through targeted initiatives and activations. This strategic hire underscores Origin's commitment to expanding our global reach, particularly in the Chinese market. Bringing extensive experience with DeFi projects and communities, Ivy is well-positioned to drive engagement and growth in this key region.
Learn how OETH and OUSD work nonstop to deliver passive yield to your wallet.
Origin Ether’s 30-day trailing APY sat above 3.1% in July, earning holders marginally more yield than Lido’s stETH or Rocket Pool’s rETH. Origin Ether’s yield was temporarily reduced due to its divestment of stETH, but now that OETH is 100% collateralized by ETH, we anticipate that yield will normalize over the coming weeks.
Origin Dollar’s 30-day trailing APY achieved 6.5% in July. Nearly half of Origin Dollar’s collateral is allocated to the Morpho Aave USDC strategy, earning lending rates and an allocation to MORPHO at TGE. 32% of OUSD collateral is used in the Morpho Aave USDT strategy, while Origin Dollar’s DAI collateral earns yield through the MakerDAO DSR.
Thank you for reading through our July Token Holder Update! We look forward to seeing you back here next month when we’ll share our progress from August. Origin is gearing up for more layer 2 expansion, new asset support on the ARM, and exciting OETH yield opportunities on top protocols. To the the first in the know, be sure to follow us on X.
Interested in learning more about Origin’s accomplishments in July? Here are some of our favorite articles to get you up to speed:
Lastly, be sure to mark your calendars for August 5th at 12 pm ET (4 pm UTC). We’ll be joining Arbitrum in Discord for our community call. Alpha will be dropped!
