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Overflow

With OVFL, PTs give upfront principal and a tradable yield stream, even bootstrapped via flash loans

Overflow

Created At

ETHGlobal New York 2025

Project Description

OVFL is a generalized wrapper for Pendle Principal Tokens (PTs) that immediately returns a user’s contributed principal while streaming, over the PT’s maturity, the embedded discount between the PT’s market price and its face value. For example, depositing $100 USDC to acquire PTs with a $120 face value yields $100 immediately and a $20 stream until maturity. This allows customers to borrow or sell their streams. The real value of OVFL occurs when it's used with flash loans. This allows customers to obtain streams with no collateral then sell or borrow against said stream.

How it's Made

I used Pendle to get the discounted principal for yield bearing assets and used Sablier to stream the discounted portion. I wrote the smart contracts in solidity and used lovable to vibe code the front end in typescript. I used Pendle and Sablier's SDK to make interaction with both protocols simpler.

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