‘Overnight’ stands for overnight interest rate, the interest rate one receives by lending money for the shortest duration possible - 1 night. Overnight is a DeFi protocol specialising in delta-neutral strategies. Core products include:
- USD+ - a 1:1 USDC pegged token with a daily profit payout
- ETS - delta-neutral yield generating strategies
- Insurance - reserves allocated to cover the first loss on USD+
Overnight DAI+ ($DAI+) is a 1:1 DAI pegged decentralized stablecoin by Overnight on Optimism and Arbitrum. DAI+ consist of aDAI (Aave) and USD+. It has been designed for boosted pools (Balancer and Beethoven) on Optimism. It cannot be minted separately. DAI+ is a yield-generating stablecoin yielding 8-12% pa, via daily rebase. It is fully backed by a portfolio of liquid, yield generating, low risk DeFi assets (mostly, lending protocols and stable-to-stable liquidity pools in a way that allows to
- avoid losses and generate profit every day
- mint and redeem DAI+ against DAI instantly on request.
DAI+ is used for
- liquidity management - temporary parking of spare stablecoin cash
- AMM trading and
- leveraged yield farming.
DAI+ brings the benefit of capital efficiency to stablecoin usage, i.e. extra yield on idle stablecoins and/or used in major protocols DAI+ is currently on Optimism, Arbitrum and expanding to other chains.
