If you're keeping an eye on the Solana ecosystem, you've probably heard about Hylo—a decentralized finance (DeFi) protocol that's making waves with its stablecoin and leveraged assets. Recently, analytics firm Pine Analytics dropped a thread breaking down Hylo's key metrics, showing some seriously impressive growth. Let's unpack what they shared and what it means for users and investors in the space.

Rapid Deposit Growth

Hylo has seen its deposits explode over the past month and a half, jumping from $2.1 million to a whopping $22.7 million. This kind of surge points to growing trust and adoption in the protocol. For those new to this, Hylo allows users to deposit liquid staking tokens like jitoSOL (which is basically staked SOL that you can still use in DeFi while earning rewards) and borrow against them.

Current Deposits and Borrowing

Right now, Hylo holds $22.7 million in jitoSOL deposits, with users borrowing $12.3 million in stablecoins against that collateral. What's even more eye-catching is the stablecoin supply growth—it's up about 1,000% in just the past month, mirroring the deposit boom. This suggests Hylo is becoming a go-to spot for leveraging Solana assets without the usual headaches.

Collateralization and Leverage Details

Diving deeper, Hylo's stablecoin, hyUSD, is currently 179% collateralized. That means for every dollar of hyUSD in circulation, there's $1.79 worth of backing—pretty solid for stability. On the flip side, xSOL (Hylo's leveraged SOL token) offers 226% price exposure to SOL. As SOL's price climbs, hyUSD gets even more over-collateralized, reducing risks, while xSOL's effective leverage dials back a bit to keep things balanced.

Staking and Yields

One of the coolest features? Users can stake their hyUSD to earn yields from the protocol's underlying jitoSOL. Currently, 69% of all hyUSD is staked, which shows how popular this is. Over the last 30 days, staked hyUSD has delivered an annualized yield of around 16.5% APY. That's attractive for anyone looking to put their stablecoins to work without much risk.

Why This Matters for Solana DeFi

Hylo's growth isn't just numbers on a chart—it's a sign of maturing DeFi on Solana. With no liquidation risks for xSOL and a self-contained protocol (no third-party dependencies), it's designed for security and simplicity. If you're into amplifying your SOL exposure or earning yields on stables, this could be worth exploring.

For a deeper look, check out Pine Analytics' full dashboard on Dune. And if you want the original thread, head over to X.

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