what's Twyne?

Twyne is a DeFi protocol built on Ethereum that enhances money markets by addressing key inefficiencies in traditional lending platforms. It enables lenders to utilize idle capital more effectively while allowing borrowers to access higher leverage without increasing liquidation risks. By integrating with protocols like Euler, Twyne creates specialized vaults that boost loan-to-value (LTV) ratios, such as increasing stETH-ETH loops from 14x to up to 32x, all while keeping collateral secure on the underlying platform. The protocol operates through permissionless, composable mechanisms where extra leverage is backed by creditors and priced via risk premiums. This allows for advanced strategies like leveraged carry trades, where liquidity remains in the vault and users can overclock positions (e.g., LLTV up to 98%). Twyne focuses on e-mode assets and plans to expand to other pairs, ensuring higher yields for participants without compromising safety. Twyne's design emphasizes simultaneous optimization for both lenders and borrowers, reducing idle funds (over 50% in many markets) and preventing early liquidations through enhanced credit power. It launched on Ethereum mainnet in September 2025, providing tools for synthetic trades and multi-loop amplification.

Twyne supports up to 24x leverage on Pendle.