Sonic Ecosystem Stablecoin Strategy Explained: How the Rings+Pendle+Silo Combination Achieves 15% Annual Yield and Airdrop Arbitrage

Written by: Lawrence, Mars Finance

1. The Rise of Sonic in a Bear Market: Stablecoin Strategies as a Safe Haven for Funds

According to Defillama, Sonic experienced a 36% increase against the trend in the TVL of the top 12 public chains over the past month.

Amid the panic of Bitcoin briefly falling below $75,000 and Ethereum losing the $1,500 mark, the Sonic chain (formerly Fantom) has become a rare growth pole in the crypto market, with a total locked value (TVL) exceeding $1 billion and a month-on-month growth of 30%.

Behind this phenomenon is the "Stablecoin Yield Matrix" strategy led by Andre Cronje (AC) — through nested protocol design, upgrading the single-layer yield of traditional DeFi to a three-dimensional growth model of "base yield + leverage amplification + points airdrop."

From the data, the outstanding amount of Sonic ecosystem stablecoins has exceeded 400 million USD, accounting for over 40% of the TVL. Among them, the yield networks constructed by protocols such as Rings Protocol, Silo Finance, and Lombard Finance have created an average annualized stable return of 12-20%, far exceeding the yields of CeFi wealth management and government bonds. This attractiveness has even driven funds on the Ethereum and Solana chains to flow into Sonic through cross-chain bridges, forming a "bear market capital siphon effect."

2. Profit logic disassembly: why is Rings+Pendle+Silo the current optimal solution?

3. Rings Protocol: The underlying infrastructure for returns

As the "stablecoin hub" of the Sonic ecosystem, Rings Protocol achieves cross-chain yield aggregation through Veda Labs' Boring Vaults. After depositing USDC, users can mint the over-collateralized stablecoin scUSD (base annualized rate of 3.7%) and further stake it to generate yield-bearing tokens stkscUSD (annualized rate of 5.8%). This process not only locks in the base yield but also grants a 2x Sonic points bonus—these points will be redeemable for the future airdrop of the Sonic mainnet token $S.

Technical Highlights:

Collateral Diversification: scUSD is over-collateralized by LBTC, eBTC, and WBTC at a 1:1 ratio, reducing the volatility risk of a single asset.

Decentralized sources of income: Boring Vaults diversifies funds into Ethereum blue-chip protocols like Aave and Compound, avoiding the risk of a Solo chain protocol collapse.

2. Pendle Finance: Secondary Leverage of Yield

Holders of stkscUSD can tokenize their earnings through Pendle Finance by purchasing PT-wstkscUSD (annualized 8.7%) or YT-wstkscUSD (floating yield). Based on a principal of $100,000, this step alone can increase the annual earnings from $5,800 to $8,700, and PT tokens can be traded on the secondary market, preserving liquidity.

Mathematical verification:

Annualized Return = ( 1 + 5.8% ) × ( 1 + 8.7% ) − 1 ≈ 15.12%

3. Silo Finance: The Ultimate Hunt for Airdrop Points

By depositing PT-wstkscUSD into Silo Finance, users can earn daily GEM airdrop points. Based on historical data, every $1 deposited can yield an average of 0.003 GEM per day. Assuming the launch price of GEM is $0.1, the potential annual airdrop value is approximately $120. If Sonic mainnet points and Rings protocol points are combined, the overall return can exceed 20%.

3. Risk Hedging: Potential Vulnerabilities in Nested Strategies and Countermeasures

Despite the significant returns of this combination, three major risks must still be taken into account:

Cross-chain bridge security risks

The Sonic official bridge is the only channel for cross-chain funds. If it encounters a hacker attack similar to Poly Network, it may result in asset loss. It is recommended to diversify funds across multiple cross-chain periods and set automatic redemption trigger conditions.

Liquidity mismatch risk

It takes a 5-day waiting period to redeem USDC from scUSD, and it may not be possible to withdraw in a timely manner during extreme market conditions. The strategy is to retain 20% of the position for emergency adjustments and to use the perpetual contracts on the Shadow Exchange for hedging.

Valuation fluctuation risk of points

The airdrop rules for Sonic points and GEM have not yet been clarified, and there is a possibility of unmet expectations. Put options can be purchased using tools such as Siren Protocol to lock in the minimum value of points.

IV. Practical Operation Guide: Five Steps to Build a Profit Fortress

Basic Layer Configuration (60% Position)

Deposit USDC into Rings Protocol, mint scUSD and stake to generate stkscUSD.

Target: 5.8% fixed income + 2x Sonic points

Leverage level amplification (30% position)

Buy PT-wstkscUSD through Pendle, locking in an annualized 8.7%.

Strategy: Choose a 3-month term to balance returns and flexibility.

Airdrop Layer Hunting (10% Position)

Deposit PT-wstkscUSD into Silo Finance to accumulate GEM points.

Note: Set a take-profit threshold (e.g., automatically convert to USDC when the GEM price reaches $0.15)

Hedging Layer Insurance (Dynamic Adjustment)

Open a USDC/USDT perpetual short position on Shadow Exchange, covering 20% of the position value.

Tool: Use 5x leverage, set stop-loss point at 1% de-pegging of USDC.

Monitoring and Rebalancing

Daily check the Sonic Gateway cross-chain bridge status and the protocol APY fluctuations.

Weekly reinvestment returns, optimizing returns with Veda Labs' automatic compound interest robot.

5. Ecological Panorama Outlook: Sonic's Stablecoin Ambition

AC recently revealed that Sonic Labs is developing an algorithmic stablecoin protocol, planning to achieve a floating return of 4.9-23% through a dynamic interest rate model. Although this initiative is seen by some observers as "repeating the mistakes of Terra," its innovation lies in:

Source of income linked to real assets: Cash flow generated through LBTC staking supports the value of stablecoins, avoiding the pure algorithm collapse like UST.

Multi-protocol risk isolation: Returns are generated collectively by protocols such as Rings, Lombard, and Ether.fi, and the failure of a single protocol will not trigger systemic risk.

If the plan succeeds, Sonic may become the first public chain to realize "programmable stablecoin yields," further consolidating its position as a hub for defensive assets in a bear market.

6. Conclusion: Rational Allocation, Riding Through Cycles

In the darkest moments of the crypto market, the Sonic ecosystem has demonstrated that the resilience of DeFi does not rely on token speculation, but on the real value created by cash flow, through the combination of "stablecoins + nested protocols." For investors, the strategy of Rings + Pendle + Silo is not just a yield tool, but a philosophy of survival—diversifying risks through protocol collaboration, laying out the future through a points system, and combating volatility with stable income.

As AC stated when Sonic was launched on the mainnet: "A bear market is a touchstone for quality protocols and an opportunity for rational investors to redistribute wealth." In this war without gunpowder, choosing the right combination of protocols may be more important than predicting market ups and downs.