Earn Fixed Yield on Rate-X – Convert Floating Yield to Stable Returns – Check NOW

Most on-chain yields float with market conditions. Rate-X standardizes those flows and lets you split a yield bearing asset into two claims. Principal Token captures the principal you get back at maturity. 

Yield Token captures all the yield between now and that maturity. If you want fixed income behavior, you hold or synthesize PT and offload YT. That converts your floating APY into a fixed return profile you can plan around.

The building blocks

Standard Token
Rate-X wraps supported yield sources into a Standard Token that accrues the underlying yield. This gives a single accounting unit for the system.

Principal Token
PT represents the present value of the principal in that Standard Token. PT accretes toward par at maturity. Hold to maturity and you redeem 1 PT for 1 unit of ST, which then redeems into the underlying asset. That accretion is your fixed yield.

Yield Token
YT represents the right to the variable yield generated until the expiry date. YT goes to zero at expiry because the yield window ends. PT returns to par at the same time.

How Rate-X converts floating yield to fixed

There are two practical paths.

Path A. Use the Earn Fixed Yield function
Deposit the supported yield asset into the Earn flow. Rate-X synthesizes the PT exposure for you by combining positions in ST and YT under the hood. 

You exit any time before maturity by unwinding back into ST plus YT and trading out of YT in the AMM. Hold to maturity to realize the fixed rate embedded in PT.

Path B. Mint and strip manually
Bring one unit of a supported Standard Token, mint one PT and one YT, then immediately sell the YT in the AMM. 

You now hold PT exposure only. Your return is the PT discount accreting to par at maturity.

Both paths achieve the same thing. You give up the variable stream today and receive a defined payout later. The price at which you sell or hedge YT determines the fixed rate you lock.

Where the fixed rate comes from

PT trades at a discount to its par value because time remains until maturity. That discount implies an annualized fixed rate. If there are 180 days left and PT trades 2.0 percent below par, the simple annualized rate is about 4.0 percent before fees. 

If the market expects higher future APY, YT is more valuable and PT must trade cheaper to compensate, which raises the fixed rate. If expected APY falls, the opposite happens.

A concrete walkthrough

1. Choose a market and expiry you understand. Example mSOL with a December maturity.
2. Decide your route. Either use Earn Fixed Yield or mint and sell YT yourself.
3. Check depth and slippage on the YT side. Your fixed rate depends on the price you get for YT.
4. Execute in small clips to reduce price impact.
5. Track PT’s discount and time to maturity. If you need to exit early, you can unwind before expiry by splitting to ST and YT and selling PT back into the pool.
   

How to estimate your fixed APY

Step 1. Observe PT price relative to par.
Step 2. Convert the discount to a simple annual rate using time to maturity.
Step 3. Adjust for protocol fees and gas.
Example. PT trades at 0.970 with 270 days left. Simple annualized gross rate is roughly 0.030 divided by 270/365, which is about 4.06 percent. If you paid some slippage to sell YT, your net goes down by that amount. If the protocol charges a fee on yield accrual or unclaimed balances after expiry, include those in your net estimate.

Fees and frictions to model

Trading fees
AMM trades when you sell or buy YT to set your fixed rate.

Yield position fee
Rate-X charges a fee on yields generated by your positions. If the underlying emits 10 percent, the protocol takes a small slice of that yield.

Expiry housekeeping
If you forget to claim after maturity, an annualized fee on unclaimed tokens can start after a grace period. Claim on time to avoid this.

Network costs
You are on Solana, so fees are typically small, but priority settings still matter during rush periods.

Why fixed yield is useful

Budgeting and liability matching
If you run a treasury, stable APY lets you match near term obligations without worrying about incentive cycles or utilization swings.

Hedging floating exposure
If you are long a floating yield source elsewhere, selling YT and holding PT here creates a natural hedge that stabilizes your cash flows.

Points and incentive noise management
Points seasons and reward toggles can push YT around. Locking fixed yield through PT removes the guesswork if you only care about a stable return.

Risks to respect

Underlying source risk
PT depends on the integrity of the yield source. Slashing, depegs, or policy changes flow through.

Liquidity and slippage
Depth can thin out during volatile windows. Your fixed rate is sensitive to the price you receive for YT.

Early exit risk
Before maturity, PT price can move with rates and inventory. If you must unwind early, your realized return may deviate from the headline fixed rate.

Operational risk
Wrong market, wrong expiry, or missed claims can dent returns. Use reminders and record your maturities.

Advanced tactics

Laddering
Split deposits across multiple expiries. This smooths reinvestment risk and keeps some capital unlocking every month or quarter.

Opportunistic rolls
If YT becomes rich because incentives spike, sell more YT and enhance your fixed rate. If YT cheapens, consider buying some back and rolling to a later PT.

Hedged carry
Pair a PT ladder with a small, time boxed long YT around known catalysts. Keep the YT notional modest relative to PT so the net stays close to fixed.

Step by step checklist

1. Connect wallet and pick Earn or Mint routes.
2. Verify market, expiry, and pool depth.
3. Simulate your fixed APY from PT discount and time to maturity.
4. Execute in measured clips, confirm receipts, and record maturity dates.
5. Monitor only two variables after that. Time left and claim status.
6. Claim at maturity and recycle into the next ladder if desired.

Conclusion

Turning floating yield into a predictable return on Rate-X is straightforward once you see the split. Principal Tokens accrete to par and give you the fixed leg you can budget around, while Yield Tokens carry the variable stream you can sell or hedge away. 

The fixed rate you realize is simply the PT discount annualized and adjusted for trading and protocol costs, so your edge is in picking liquid markets, sizing to minimize slippage, and claiming on time.

Treat this like building a simple, on-chain income ladder. Choose expiries that match your needs, execute in measured clips to lock a clean rate, and track only two things after entry: time to maturity and claim status. 

If you need flexibility, you can unwind before expiry, but the cleanest outcome is to hold PT to redemption and roll forward. Used with basic discipline, Rate-X turns noisy incentive cycles into stable, repeatable returns you can plan around.