Pendle has changed the fee structure for PT Looping, its automated leverage tool for Principal Tokens. The new automatic adjustment model charges around 10% of a loop’s annual percentage yield, or APY, with a maximum fee of 10 basis points, or 0.10%. The project said the change will reduce fee burdens compared with the previous structure when Principal Tokens are nearing maturity or the APY is low. The prior structure charged a flat 5 basis points on total notional assets, alongside trading fees and gas costs. PT Looping automates a strategy in which users borrow assets against Principal Tokens posted as collateral, use the proceeds to buy more Principal Tokens, and post them again to increase the investment size. Pendle announced the update on September 18, 2026, after August 2026 incentive programs that provided an additional 2% APY boost and raised pool caps to $15 million for selected opportunities.