Lybra Finance has officially entered a new chapter with the successful launch of Lybra V2, now live as of August 31. This upgrade marks a pivotal evolution in the protocol’s capabilities, introducing improved mining mechanics, extended migration incentives, and strategic integrations designed to expand its footprint in the LSDfi (Liquid Staking Derivatives Finance) ecosystem.
Whether you're a long-time user or newly exploring decentralized finance solutions, Lybra V2 delivers enhanced functionality, greater rewards, and broader interoperability across chains. Let’s explore what’s new, how to transition smoothly, and the exciting developments shaping Lybra’s future.
How to Migrate to Lybra V2
Transitioning from Lybra V1 to V2 is a critical step for all users holding LBR tokens, eUSD, or liquidity provider (LP) positions. The migration ensures continued access to staking rewards, governance rights, and participation in the upgraded ecosystem.
For those seeking detailed, step-by-step guidance, an easy-to-follow migration guide is available, complete with annotated screenshots to simplify the process.
👉 Discover how to maximize your DeFi rewards with seamless migration steps.
Notably, several major centralized exchanges (CEXs) have confirmed automatic migration support, meaning users holding LBR on these platforms do not need to take manual action:
- Kucoin
- Gate.io
- OKX
- Crypto.com
- MEXC
However, if you hold your assets on other exchanges, decentralized exchanges (DEXs), or in personal wallets such as MetaMask, you must manually migrate using the official instructions.
For specialized roles like CR Guardians, Redemption Providers, and Liquidation Providers, continuity is straightforward—simply re-enroll in your respective roles within the V2 interface just as you did in V1.
Adjustments to Phase 2 of the Lybra V2 Mining Program
The V2 Mining Program entered Phase 2 on September 14 at 13:00 UTC, bringing a series of user-focused improvements designed to boost yield potential and accessibility.
Key updates include:
- dLP threshold reduced from 5% to 2.5%, making it easier for smaller liquidity providers to qualify for enhanced rewards.
- Migration Rewards deadline extended indefinitely, giving users more time to transition without penalty.
- Bounty Discount adjusted from 50% to 40%, balancing incentive structures while maintaining program sustainability.
- Daily base emissions increased to 81,927.38 esLBR, up from the originally planned 54,618.25 esLBR—representing a significant uplift in reward distribution.
- Boost Mechanism optimized for better performance; the updated version went live on September 15 at 13:00 UTC. Users currently enjoying boosted yields must re-click the boost button to reactivate their status under the new system.
These refinements reflect Lybra’s commitment to fairness, inclusivity, and long-term user engagement. For full technical details, refer to the official Medium announcement.
Extended Migration Rewards and Critical Deadlines
To encourage early adoption and smooth transition, Lybra has extended its Migration Rewards program indefinitely—a welcome move for users who may have been waiting for optimal conditions.
Participants who engage in mining activities during the initial phase of V2 will receive a 1.5x bonus on top of base emissions. Eligible activities include:
- Minting eUSD or peUSD
- Providing LP to LBR/WETH
- Providing LP to peUSD/USDC.e (on Arbitrum)
- Providing LP to eUSD/3CRV
While eUSD holders face no deadline for migration, LBR V1 holders must act by September 30 at 24:00 UTC. Failure to migrate by this date will result in holding a non-tradable version of LBR, effectively locking access to future utilities and rewards.
This hard deadline underscores the urgency for V1 token holders to complete their transition promptly.
👉 Learn how top DeFi protocols are optimizing yield strategies in 2025.
LayerZero Integration: Enabling Omnichain peUSD
One of the most transformative updates is Lybra’s integration with LayerZero, a leading omnichain interoperability protocol. This partnership brings seamless cross-chain functionality to peUSD, the DeFi-optimized variant of eUSD.
By leveraging LayerZero, Lybra eliminates the need for:
- Replicating liquidity pools across every supported chain
- Complex bridging and wrapping procedures
- High transaction fees associated with traditional cross-chain transfers
As a result, peUSD can now move efficiently between networks with minimal cost and friction—making it one of the most technically advanced interest-bearing stablecoins in the market.
This integration positions Lybra at the forefront of omnichain innovation, enabling users to deploy capital across ecosystems without sacrificing yield or security.
For an in-depth look at how this works, check out Lybra’s LayerZero deep dive.
Partnership with Pendle: Boosting eUSD Yields
In another major development, Pendle Finance has integrated eUSD into its yield-tokenizing platform. The PT-eUSD pool is now live on Ethereum, allowing users to unlock additional yield layers from their eUSD holdings.
By providing liquidity to the PT-eUSD pool, users can:
- Earn swap fees generated by trading activity
- Access supplementary incentive programs
- Achieve compounded returns through structured yield products
Since launch, annual percentage yields (APYs) for eUSD liquidity providers on Pendle have ranged between 44% and 146%, showcasing strong market demand and effective capital efficiency.
The pool reached a total value locked (TVL) of $1.24 million within just 24 hours, signaling robust community confidence and early traction.
This collaboration enhances eUSD’s utility beyond simple minting and staking, transforming it into a versatile asset within yield optimization strategies.
Strategic Alliance with Silent DAO
Lybra has also announced a partnership with Silent DAO, integrating its privacy-preserving Silent Protocol into the Lybra ecosystem.
This integration will introduce compliant privacy features into the protocol—allowing users to conduct sensitive transactions with enhanced confidentiality while adhering to regulatory standards.
Unlike opaque privacy solutions that raise compliance concerns, Silent Protocol enables selective disclosure and auditability where needed, striking a balance between user protection and transparency.
This move signals Lybra’s intent to innovate responsibly, ensuring long-term sustainability in an evolving regulatory landscape.
👉 See how next-gen DeFi platforms are combining privacy and compliance.
Looking Ahead: The Future of LSDfi
The launch of Lybra V2 isn’t just an upgrade—it’s a redefinition of what’s possible in the LSDfi space. With cutting-edge features like omnichain peUSD, high-yield Pendle integrations, and privacy-enabled transactions via Silent DAO, Lybra is positioning itself as a leader in scalable, user-centric DeFi infrastructure.
As the ecosystem continues to grow, staying informed is key. Follow Lybra Finance on X (@LybraFinance) for real-time updates, upcoming feature launches, and community events.
Frequently Asked Questions (FAQ)
Q: What happens if I don’t migrate my LBR before September 30?
A: If you fail to migrate your LBR tokens by September 30 at 24:00 UTC, you will retain ownership of a non-functional V1 token that cannot be traded or used within the V2 ecosystem.
Q: Is there a deadline for migrating eUSD?
A: No. There is currently no deadline for eUSD holders to migrate their balances. However, early participation grants access to bonus rewards during Phase 2 mining.
Q: Do I need to re-enable my boost after the September 15 update?
A: Yes. All users benefiting from the Boost Mechanism must re-click the boost button after the September 15 optimization to maintain their boosted yield status.
Q: Which exchanges automatically migrate LBR?
A: Kucoin, Gate.io, OKX, Crypto.com, and MEXC have confirmed automatic migration for users holding LBR on their platforms.
Q: How does LayerZero improve peUSD functionality?
A: LayerZero enables seamless cross-chain transfers without requiring duplicate liquidity pools or complex bridging steps, reducing costs and improving capital efficiency.
Q: Can I earn yield on eUSD outside of Lybra?
A: Yes. Through the Pendle integration, eUSD holders can provide liquidity to the PT-eUSD pool and earn additional yields ranging from 44% to 146% APY since launch.
Keywords: Lybra V2, eUSD, peUSD, DeFi mining, LSDfi, LayerZero integration, Pendle Finance, Silent DAO