After close to a year of development, security reviews, and product testing, Exponent v2 is now live for everyone on Solana mainnet, setting a new standard for portfolio construction and yield management across onchain rate markets. The new platform launches today with flagship markets and a $200K+ reward campaign.

DeFi is taking over legacy finance, and as more issuers and yield assets come onchain, there is a growing need for a platform that helps participants manage these yield markets, along with the exposure and risks that come with them.

Each new asset brings a new type of participant with specific risk and return requirements. As DeFi has matured, products have grown more complex and active management has become essential to generating returns with a proper risk-reward balance. With assets and onchain products becoming more sophisticated, yield participants need a platform with the tools to construct portfolios in DeFi and express their edge.

We’ve built Exponent v2 to step into that gap:

Introducing Exponent v2 - Built For Those Who Outperform

Exponent v2 is the platform for onchain yield management, enabling market participants to construct their portfolios based on their edge and outperform market rates.

v2 is built on Exponent Core, the battle-tested, open-source, and leading yield-stripping infrastructure on Solana, which has facilitated billions in interest-rate swap trading volume and undergone numerous audits by tier-1 security firms.

With this new program suite, the new Exponent platform is evolving from an interest-rate swap exchange into the premier platform for onchain portfolio construction in DeFi, spanning fixed-rate markets, yield hedging, and directional ways to outperform market rates.

v2 is a suite of yield management programs built around interest-rate primitives like yield swaps, with several pillars that make Exponent the premier platform for managing yield portfolios:

Institutional-grade Hybrid Liquidity for Interest Rate Trading

Our goal with v2 has been to empower active onchain participants further, starting with the trading experience. Trading rates is fundamentally different from trading traditional assets, and inefficient price execution can deter larger participants from interacting with DeFi markets.

The protocol’s liquidity engine has been completely revamped, featuring a hybrid order book and active AMM-based model that offers multiple times the capital efficiency users have been used to on Exponent v1:

Interest-rate Order Book

Exponent v2 introduces a novel, fully onchain order book for trading fixed-rate and yield exposure, solving some of the biggest pain points when trading onchain rates:

• Any rate size can be traded, while still earning yield as orders get filled.

• Rather than entering a trade at market price, the Exponent order book quotes markets in Implied Rates, enabling traders to precisely define how they enter and exit a yield swap.

• It enables professional market makers to quote with their own strategies and provide deep liquidity to rate markets.

• It unlocks market-driven discovery for pricing onchain rate markets.

The Rate Order Book is especially useful for:

• fixed-rate buyers who want to lock a minimum target return

• yield traders who want to buy or sell YT at a precise implied yield

Rate CLMM

Providing liquidity for rate markets can be very attractive, but it was not flexible in the previous Exponent AMM. While the Order Book is better suited for more established and larger interest-rate markets such as credit and staking, or markets with existing depth and liquidity, AMMs remain a great bootstrapping mechanism for onchain markets.

In this v2 model, the Exponent Rate CLMM is a first-of-its-kind active DEX for sophisticated liquidity providers looking to apply different strategies to provide liquidity for rate markets and capture fees their way, not through fixed parameters.

Exponent Rate CLMM (rCLMM) is optimized for active liquidity providers looking to profit from interest-rate movements on volatile and long-tail rate markets, such as RWAs:

• Actively manage liquidity provisioning into rate ranges, offering greater liquidity and capturing more fees for higher returns with less capital

• Rate traders can access deeper liquidity with less impact, while requiring less capital from LPs

• Dynamic fees, allowing LPs to take on different degrees of risk when providing liquidity in active ranges

• One-sided liquidity to gradually enter or exit PT fixed-rate positions

Strategy Vaults - Easy Access to Portfolio Construction in DeFi

As we built v2, one thing became clear: actively managing rates and yield market strategies is not for everyone. It takes time, effort, and expertise. With that in mind, we wanted to make it easier for a broader range of participants to access the kinds of interest-rate strategies some of the best crypto managers are running, and enable less sophisticated users to better construct their onchain portfolios.

Exponent Strategy Vaults offer a simpler way to access managed yield strategies built on top of Exponent’s interest-rate markets and/or combined with leading protocols on Solana.

Curated by professional managers, they allow users to deposit assets and gain exposure to professional interest-rate swap strategies without manually managing interest-rate instrument positions such as PT/YT and their maturities.

Strategy Vaults are one of the most important unlocks on v2, enabling users to easily add managed strategies to their portfolios such as:

• Fixed-rate looping

• Rate market making

• Diversified yield exposure to an asset in one click

The first set of Strategy Vaults unveiled at launch are:

• Solstice Fixed Yield Looping – Curated by Allez Labs

  The signature @Solsticefi PT-eUSX/USX looping strategy on @Kamino, now accessible to all in one deposit. No manual looping, rollover, or rate management. Everything done for you.

• OnRe Growth – Curated by Loopscale Asset Curation

  A USDC-denominated yield vault offering one-click exposure to the best of @OnReFinance's ONyc yield opportunities across fixed-rate, looping, and lending.

• Raiku SOL DeFi – Curated by RockawayX

  A flagship SOL vault, aimed to offer the best risk-adjusted SOL returns across DeFi.

Exponent Strategy Vaults are fully onchain-enforced strategies powered by the Squads Smart Account, and the most powerful cross-protocol vault infrastructure on Solana to date.

Risk-Tranching Swaps – Principal Protection on Rate Assets

No protocol is better positioned to offer risk management for onchain yield assets. As one of the first platforms to list new yield assets on Solana, Exponent has become the place where onchain capital goes to construct yield positions around them.

But one key piece has been missing to complete that experience: protection. The inability to protect invested principal keeps some participants from entering onchain yield markets and their opportunities. Coupled with Exponent’s yield exchange, this creates a more complete platform for portfolio construction in DeFi.

Capital protection is a critical piece of infrastructure for scaling institutional activity in DeFi. Exponent is building the risk-tranching standard for Solana, launching first in partnership with OnRe and its ONyc reinsurance asset in Q2.

The Alpha Phase opens today, ahead of a public rollout in the coming weeks. Asset managers and users with $5M+ to allocate can reach out at exponent.finance/tranching.

Exponent v2 Security - Framework and Process

Security has been our number one priority ahead of releasing the new Exponent platform, with close to $1M allocated across security audits, fuzzing, a bug bounty program, and a public competition.

A dedicated Security page is available on the Exponent app for anyone who wants to understand the measures in place to protect the protocol, including security audit reports and operational security: app.exponent.finance/security

Exponent v2 programs went through 12 audits by independent tier-1 security firms, alongside several phases of security work before audits and public launch.

How to Get Started with the Exponent v2 $200K Rewards Campaign

v2 launches today with a limited number of flagship Strategy Vaults, new markets, launch incentives, and a brand new app built for the next phase of Exponent.

Over $200K in rewards are allocated to participants over the next 30 days for the launch, incentivizing flagship markets and Exponent’s new suite of products such as Rate Limit Orders, rCLMM, as well as Strategy Vaults such as OnRe Growth and Solstice Fixed Yield Looping:

Get Started on the Brand New Exponent Platform

The new app has been built to help onchain participants outperform market rates. It gives users a unified place to express views on rates, deploy strategies, and manage their yield positions based on their edge.

It supports:

• Markets page for interest-rate swap trading

• Liquidity page for capturing trading fees and spread

• Strategies page to access managed Strategy Vaults

• Dashboard for a unified view of your Exponent positions and their management

• Security page for an easy understanding of the protocol’s security framework

• Rewards Hub to not miss any live opportunities

As v2 is built on Exponent Core, existing users do not have to migrate their interest-rate positions. Liquidity providers can move their positions to the new CLMM in one click through the dashboard page.

Use the Rewards Hub to learn more about Exponent v2’s new products and their associated rewards to get started: app.exponent.finance/rewards

We’re excited to begin this next stage of Exponent together. During the next few months, we will be adding a wide range of features and new markets onto the platform as we continue progressing toward making Exponent the ultimate tool for onchain capital to manage yield portfolios in the most advanced way.

Visit app.exponent.finance to get started, and follow x.com/exponentfinance for in-depth breakdowns of v2’s core new products alongside how-to videos.