Pendle reaches $111M TVL on Monad, becoming the chain's fifth-largest protocol in under a month.

Pendle, a yield tokenization protocol, has quickly grown to $111 million in total value locked (TVL) on the Monad blockchain, making it the fifth-largest protocol there since its launch on June 19, 2026. This rapid growth is driven by the adoption of the AUSD stablecoin and strong liquidity incentives, including up to $75,000 weekly rewards for liquidity providers. Pendle allows traders to split yield-bearing assets into principal and future yield tokens, enabling trading of future interest payments. Despite its success, questions remain about the sustainability of its aggressive incentive model. Pendle's ecosystem now holds over $1.14 billion TVL across all chains, with Monad representing about 10% of that total.