Exponent is a set of multiple programs on the Solana blockchain that powers the suite of products available on exponent.finance. Exponent protocol’s mechanisms bring new primitives to Solana DeFi, ranging from fixed income products, to a yield AMM for fixed-term assets, and yield trading.

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Exponent 101 — Architecture Overview

Exponent has been built to enable users to exchange variable yields for fixed yields within Solana DeFi. To enable this, Exponent’s architecture features several mechanisms, each with their own characteristics.

As a broad overview, the protocol features:

  • A Standard for Solana Yields implemented per yield market, wrapping DeFi products of underlying protocols for compatibility with Exponent’s yield stripping and AMM

  • Exponent Yield Stripping - a mechanism similar to bond stripping in traditional finance, creating fixed-term assets from DeFi markets for yield trading

  • Time-Dynamic AMM: an automated market maker (AMM) specifically built for yield trading and assets with maturities created through Exponent Yield Stripping

The core mechanisms behind Exponent, such as Exponent Yield Stripping or the Time-Dynamic AMM, are part of exponent-core, which has been audited by multiple security firms.