The YieldSync Plugin enforces that all liquidity in the pool is managed through it, using a specialized NonfungiblePositionManager contract to block direct liquidity additions.
It uses TWAP data to manage yields accurately, with APRs set by the protocol owner for flexibility. Upon adding or removing liquidity, the plugin calculates yield based on how long the liquidity was held, automatically distributing some of this yield as voting incentives when liquidity is decreased.
The YieldSync plugin extends beyond LSTs and LRTs to include various interest-bearing stablecoins. Notable examples include Ethena's sUSDe, Ondo's USDY, Mountain Protocol's USDM, Avalon Labs' sUSDA, and Frax's sfrxUSD, among other non-rebasing tokens that accrue value over time. This capability allows for broader integration and management of yield-generating assets within the DeFi ecosystem.
