Pendle launches on Robinhood Chain to launch sNET Marketplace

Pendle launches its first income trading pool on Robinhood Chain

Pendle officially launched its first income trading market on Robinhood Chain, providing sNET holders with the opportunity to obtain fixed income and variable income positions. The market will expire on September 17, 2026.

Core Points

• Pendle has been deployed in Robinhood Chain, and sNET is officially launched as its first supported market.
• sNET Marketplace allows users to separate and trade principal and future earnings components.
• Robinhood Chain was launched on July 1 and is an Ethereum Layer 2 network built based on Arbitrum technology.
• According to reports, Pendle's total locked value (TVL) at the time was approximately US$1.23 billion.

Pendle officially joins the Robinhood Chain ecosystem

Pendle announced on September 4 that its protocol is now running on Robinhood Chain, adding fixed income products and revenue trading capabilities to the network's decentralized finance (DeFi) ecosystem. This deployment is led by the sNET market, which has an expiration date of September 17. Pendle did not disclose the assets it plans to introduce or the specific timetable, only saying that as the ecosystem expands, more products will be launched one after another.

sNET is issued by NetNet Capital and is a form of pledge for the Robinhood Chain native reserve supporting token NET. According to NetNet's public information, the protocol serves as NET's reserve manager, and assets held in its treasury include USDG stablecoins. Users who pledge NET can receive sNET and are eligible to receive the distributed income generated based on the agreement pledge model. In addition, NetNet also acquires assets for its treasury through bond sales. Its model draws on the reserve-backed token system, in which market participants exchange specific NETs at a discounted price, and protocols control the liquidity of deposits. Although NetNet claims USDG is one of the assets held by its treasury, the value of NET and sNET's return still depend on the reserve of protocols, market structure, and the security and stability of smart contracts.

Introducing sNET to Pendle will allow traders to separate the principal of the asset from the proceeds it may generate by September 17. This structure breaks down a single revenue-producing position into multiple components that users can trade based on expectations of future returns.

Analysis of sNET's principal and income splitting mechanism

According to the Pendle documentation, the agreement first packages the supported income assets in a "standardized income" format, and then splits the position into principal tokens (PT) and yield tokens (YT).

Principal token (PT): represents the underlying principal and can be redeemed when the market expires. PT can also be traded before this date, allowing buyers to purchase future principal at current market prices.

Revenue token (YT):Gives holders the right to generate income from the underlying assets until the market expires. Holders can collect accrued returns through the Pendle interface, but once the market expires, YT will stop generating revenue. Therefore, unless the base interest rate or incentives change to support demand, the value of YT will decline as the maturity date approaches.

For the sNET market, September 17 is the point when PT can be redeemed and YT stops collecting returns. Traders who buy PT can seek implied fixed returns by holding positions to maturity, while traders who buy YT bet on changes in sNET yields over the remaining term.

Pendle calculates the implied annualized percentage return (APY) based on the relative prices of PT and YT. While the platform describes the interest rate obtained through PT as a fixed APY, its terms state that the figure is based on the purchase price and an implied annualized return assuming the position remains open until maturity, not a contractual guarantee.

Buying YT amplifies exposure because traders pay the cost of the earnings component rather than the full cost of the underlying asset. Pendle warned in its filing that if the revenue collected before maturity is less than the amount paid out for YT, the long-term return on earnings could be negative.

Liquidity providers face different combinations of returns. Pendle said its pool of funds contains PT and standardized income assets, and providers may receive transaction fees, underlying income, implicit returns from PT, and available protocol incentives.

Robinhood Chain: The rise of another DeFi protocol

Robinhood opened the chain's public main network on July 1, a permission-free Ethereum Layer 2 network built based on Arbitrum technology. The network uses ETH to pay transaction fees, supports Ethereum-compatible wallets, and publishes transaction data to Ethereum.

Its first infrastructure and transaction partners include Uniswap, Pleiades, Alchemy, BitGo and Chainlink. Robinhood said the network is designed to serve tokenize financial assets, lending, trading and applications that use real-world assets in smart contracts.

Johann Kerbrat, executive vice president of Robinhood Crypto, said during the launch of the main network that decentralized finance provides functions that traditional markets cannot provide, but historically requires certain technical knowledge to use them. "We combine the best experiences of traditional finance and DeFi to extend financial ownership to every corner of the world."

Activities have grown rapidly since launch. Previous reports showed that Robinhood Chain handled approximately US$945 million in decentralized exchange (DEX) transaction volume on August 25, higher than its historical single-day record of US$563 million set on July 8. In less than two months, the cumulative DEX trading volume exceeded US$47 billion, and as of the end of August, the total value of locked positions reached approximately US$1.4 billion.

Since the opening of the Internet, Uniswap has been the main mobility venue. In August, its stock token trading volume exceeded US$1 billion, covering the combined redemption of multiple tokenized stocks rather than deposits or activities of a single asset.

According to a recent revenue report, Robinhood Chain generated $4.01 million in app revenue on September 2 from $4.45 million in fees. Data from DeFiLlama showed that on the day of measurement, it outperformed Solana, Ethereum and Tron, although most of the fee activity came from trading apps and memin platforms rather than tokenized stocks.

Robinhood has launched a 90-day promotion that covers Gas fees for qualifying transactions completed through Robinhood Wallet. The subsidy is expected to end around September 29, and users using third-party wallets will still have to pay ETH network fees.

Access restrictions for U.S. users

Robinhood describes its blockchain as "permission-free," meaning users can connect to supported decentralized wallets without opening a Robinhood brokerage account. The company also stated that online activities are separate from the investments and balances it holds through brokerage services and centralized crypto services.

However, limitations remain at the application and asset levels. Robinhood said that even though its Stock Tokens tracks companies listed on U.S. exchanges such as Apple, Alphabet and Nvidia, U.S. residents cannot use the tokens. Stock Tokens are debt securities issued by Robinhood Assets Jersey Limited that provide economic exposure to the reference securities. Robinhood's disclosure document states that token holders do not receive legal or beneficial ownership of the underlying shares, including shareholder voting rights.

Pendle's announcement did not say whether its sNET market is geographically restricted or whether Robinhood Wallet will directly display the product to U.S. users. Access through a network without permission does not mean that a particular interface or financial product is legally available in all jurisdictions.

Pendle's multi-chain expansion layout

Prior to the deployment of Robinhood Chain, Pendle was operating on multiple networks including Ethereum, Arbitrum, BNB Chain, Base, Mantle, Optimism, HyperEVM, Monad, and Plasma. Its early Plasma extensions introduced five markets linked to assets such as USDe, sUSDe, USDai and syrsupUSDT.

DeFiLlama data shows that as of the time of report, the total value of locked positions in Pendle products was approximately US$1.23 billion, of which Ethereum accounted for more than half. Data providers also recorded approximately $542 million in decentralized exchange trading volume for Pendle over the past 30 days.

On September 4, PENDLE prices were close to US$1.90, rising by about 1.2% in 24 hours and 9.1% in 7 days. Based on approximately 172 million tokens in circulation, its market value is approximately US$327 million.

CoinGecko data shows that NetNet's NET price traded around US$1,012 on the same day, with a 24-hour range of approximately US$863 to US$1,371. The data provider puts its outstanding market value at approximately $4.5 million and points to NET-USDG on Uniswap V4 as its most active trading pair.