What is Lulo?
Lulo is a stablecoin yield product that gives you diversified exposure to leading lending protocols with built-in protection. Lulo uses a systematic allocation informed by TVL and rate to distribute your deposit across high-quality protocols. The S&P 500 approach, applied to stablecoin yield.
The Problem with DeFi Yield Today
Most yield products in DeFi rely on active managers making discretionary decisions about where to allocate capital, with little visibility into the underlying logic. Depositors often cannot verify where their funds are deployed or how risk is being managed, and when something goes wrong, they are dependent on a team reacting quickly enough to mitigate losses. This kind of opacity runs counter to the transparency that decentralized finance was designed to provide.
How Lulo Is Different
Lulo takes a different approach by replacing discretionary decision-making with transparent, rules-based allocation:
- Systematic allocation. Capital is distributed across protocols based on their TVL and lending rate, so larger, higher-performing protocols receive a greater share of your deposit.
- Built-in protection. Coverage is enforced at the smart contract level and designed to handle a total loss in any single integrated protocol. If a covered protocol fails, compensation is handled programmatically without requiring manual claims or approvals.
- Fully verifiable. Every position, allocation, and coverage mechanism is recorded on-chain, allowing you to independently verify how your capital is deployed at any time.
Two Ways to Earn
Lulo offers two products designed for different risk preferences:
- Protected. Provides stable yield with smart-contract-level coverage against protocol failures, ensuring that your principal remains protected in the event of an underlying protocol issue.
- Boost. Offers higher yield in exchange for underwriting the coverage system, meaning you earn more but accept first-loss exposure if a covered protocol fails.