Summary
A proposal to increase the supply cap of PT-sUSDe-15JAN2026 on the Plasma Instance.
All cap increases are backed by Chaos Labs’ risk simulations, which consider user behavior, on-chain liquidity, and price impact, ensuring that higher caps do not introduce additional risk to the platform.
PT-sUSDe-15JAN2026
PT-sUSDe-15JAN2026 has reached its supply cap of 800 million tokens, indicating persistent demand to loop the asset with stablecoins on the Plasma instance of Aave.
Supply Distribution
The supply distribution of PT-sUSDe-15JAN2026 is moderately concentrated, with the top supplier accounting for less than 16% of the total, while the top five users represent 46% of the market. As can be observed in the plot below, the suppliers are utilizing PT-sUSDe-15JAN2026 as collateral to recursively borrow stablecoins, thereby leveraging the position and capturing the spread between the underlying yield of the principal token and the interest paid on the associated debt and collateral positions.
Most users are borrowing USDT0, with a small minority taking on USDe debt. Given the close price correlation of the principal token of sUSDe and the stablecoins, the risk of liquidation in the market is minimal.
Market & Liquidity
At the time of writing, PT-sUSDe-15JAN2026 has over $21 million in liquidity within the Pendle AMM. The projected slippage on a 20 million PT-sUSDe-15JAN2026 sell order for USDT0 would be limited to 25 basis points, supporting a moderate increase of the supply cap.
Since our last review, the implied yield of the asset has increased substantially by over 50 basis points, reaching 5.93%. Considering the current borrow rate of USDT0 at 4%, the strategy presents substantial net profits, which can be attributed in part to the improved capital efficiency of the collateral as the LT and LTV ratios have increased with approaching maturity. Specifically, given the current LT of 92% and a rate differential of 1.9%, the net yield of the strategy can exceed 20%.
Recommendation
Given the persistent demand to loop PT-sUSDe-15JAN2026, safe user behavior, and significant on-chain liquidity, we recommend increasing the supply cap of the asset on the Plasma instance.
Specification
| Instance | Asset | Current Supply Cap | Recommended Supply Cap |
|---|---|---|---|
| Plasma | PT-sUSDe-15JAN2026 | 800,000,000 | 1,200,000,000 |
Next Steps
We will move forward and implement these updates via the Risk Steward process.
Disclosure
Chaos Labs has not been compensated by any third party for publishing this AGRS recommendation.
Copyright
Copyright and related rights waived via CC0.