Primary Market

The Primary Market is where you interact directly with the Yield Forge smart contracts — depositing liquidity to mint PT + YT, or redeeming PT after maturity.

Think of it as the "factory": you bring raw materials (LP tokens), and it produces PT and YT.

Minting (Depositing)

When you click Add Liquidity on a pool page, here's what happens under the hood:

1. You provide both tokens of the pair (e.g., WBTC + USDT)
2. The protocol deposits them into the underlying AMM (e.g., Uniswap V4)
3. You receive an equal amount of PT and YT

This increases the total supply of PT and YT for that cycle.

Redeeming (After Maturity)

Once the cycle matures, PT holders can redeem:

1. You submit your PT to the protocol
2. The protocol burns the PT
3. It withdraws the proportional liquidity from the underlying pool
4. You receive both tokens back in your wallet

Fees

Yield Forge charges zero protocol fees for minting and redeeming. You only pay:

• Gas fees for the transactions
• Any slippage from the underlying protocol when liquidity is added/removed

!TIP The primary market is for entering and exiting positions at face value. If you want to trade PT at a discount (or premium), use the secondary market.