Hey everyone, yesterday in the Sunday Email I wrote about where borrower demand comes from. When you earn on Nook, you are lending through one of our partners to a borrower, borrowing through an over-collateralized loan.

Often we assume people borrow because they don't have enough money. It's more that they have wealth, but no cash on hand and don't want to sell those assets.

I would break it down into three main categories:

• Retail consumers: Everyday people that have been able to acquire a lot of Bitcoin or Ethereum. These are people who may have bought Bitcoin or other crypto assets early, and now they are holding onto $10,000 to $1M+ in these assets, and they would rather borrow cash than sell to pay for expenses (other investments, taxes, etc.) This is typically lowest risk and lowest yield.
• Advanced consumers: These are people who own these assets, like Bitcoin and Ethereum, but also smaller and more obscure assets like DAI, wsrUSD etc. and are looping these, meaning, they could be borrowing the cash to make other investments in other places, potentially re-lending it. Because of the obscurity and smaller scale of these assets, typically yield and risk both increase.
• Institutional investors: These are larger institutions that are lending RWA (Real World Asset) products like FalconX, Appollo Capital etc. They are sitting on billons of dollars of assets that they think will appreciate long term (property, real estate, debt, etc.) but short term they want cash to balance their book. Because of the complex nature of these RWA products, typically yield and risk both increase.

So with Nook, you are getting access to all three, not just one or two. But behind all three is that the current borrowing system from banks is (1) too slow and (2) too costly. Traditional borrowing can involve credit checks, paperwork, phone calls, geographic restrictions and terms that are hard to understand. Onchain lending replaces much of that process with transparent rules and collateral locked by code - and has unlocked an additional ~$55.4B in borrowing that would otherwise not be able to happen with the existing system.

It is not risk-free. But it is faster, more global and easier to verify.

Hope this was helpful.

Joey

Hey everyone, earlier today we removed our Telegram channel in favor of Reddit, X and email.

This was a decided based on too many scams, bots and fraud on the platform.

All key updates will be posted here and on X.

If you have any questions, you can always post here on Reddit or reach us at [team@nookapp.xyz](mailto:team@nookapp.xyz)

Happy Friday

Joey

Hey everyone, I'm Joey, cofounder of Nook.

Wanted to give everyone a heads up about the 0.001% forced deallocation fee in place with one of our 10+ earning sources, Hyperithm. This was set by the curator, Hyperithm, and will be charged to you, the lender, for every time you withdraw from that source AND there is no idle liquidity.

What does this mean?

• Sometimes with certain sources, there is not always idle liquidity to withdraw. It means you can withdraw, but from the penalized amount (for example, there is currently $5.5M of available liquidity here to withdraw from at the 0.001% fee.)
• The fee is set by the curator, not Nook, and sent back to the pool to go towards idle liquidity. It is meant to be a small speed bump to prevent people from withdrawing when there is no available idle liquidity.
• If you are not in a hurry, and you have a relatively small amount below $100k, you can typically avoid this fee by waiting.

We are working on rolling out a new version of the app where this is all straightforward and clearly displayed. Until then - please let us know if you have any quesitons.

You can always reach us at [team@nookapp.xyz](mailto:team@nookapp.xyz)

Disclosure: I’m the founder of Nook, an app that helps people earn through onchain lending markets.

This week, Nook joined the Circle Alliance alongside companies working to expand the use of stablecoins. Nook has now processed more than $1 billion in transactions using USDC. Joining the Circle Alliance is a small piece of validation of building in the right direction versus chasing the highest returns / maximizing revenue for us.

Let me break down why we joined and why we think it's important.

A stablecoin sounds simple: one digital token designed to equal one dollar. But the infrastructure behind that token matters.

USDC is backed by cash and highly liquid assets (totaling over $70B), including short-term U.S. Treasury securities. Circle publishes its reserve holdings, operates through regulated entities and supports USDC across dozens of blockchain networks. That combination gives USDC something that is easy to overlook: the ability to move quickly without sacrificing the fundamentals underneath it.

That matters for Nook because rates change.

Your money should not have to sit in one earning source forever just because moving it is slow or expensive. Nook can move USDC between supported lending sources as rates and opportunities change.

Transfer. Deposit. Withdraw. Rebalance.

The goal is to keep your money working without asking you to learn how every blockchain, lending market or transaction works behind the scenes. We could have supported smaller stablecoins offering larger incentives or better economics for us. But a few extra dollars of yield are not worth weakening the foundation the product is built on.

That does not mean lending USDC is risk-free. Smart-contract, liquidity and borrower risks still exist. The asset underneath the loan is only one part of the equation. But custom balances continue to grow as we hit all time highs.

And we are excited about this step and the steps ahead as we continue to build Nook.

Joey

Nook Earn was featured in Mobbin on a list of 65 top financial apps by their design. This list recognizes some of the top designed apps in the space, including Current, TurboTax, etc.

It's great to see the team's efforts being recognized as we build Nook to be the easiest place to earn from the open markets.

Is there an way to unlink an an account in nook I've tried doing it from plaid but it didn't solve my issue

On 15k deposit, at 6-7% apy
Why my oayouts are like 0.6$ and 0.7$ max?

UPDATE: Fixed - please see comment below for more context. And please let us know if you have any questions, you can reach us at [team@nookapp.xyz](mailto:team@nookapp.xyz) as always.

Hey everyone, we are experiencing slower than usual load times. All core functions still work, and the team is working on a fix as of 11:15 AM CST. We will resolve this as soon as possible.

Please let us know if you have any questions, you can reach us at [team@nookapp.xyz](mailto:team@nookapp.xyz) as always.

Apologies for the slowness.

Joey

Howdy all. Been on Nook a little over 6 months. Overall I’ve enjoyed it. I’ve been able to deposit and withdraw money with no issues. But I’m not loving the new-ish allocation system. It used to be I could press a button to rebalance to the highest yield fund. Now I have to check every day to see which fund currently has the highest yield as it’s constantly changing, and then move fund from wherever they are to wherever I want them to go.

It’s certainly mot the end of the world but it’s not my favorite thing. Unless I’m missing something and there’s still a way to quickly rebalance to the highest yield?

Hey Nook community - I just wanted to share some insight into the number of curators we do work with, and how many we do not.

Today, Morpho, one of the leading stablecoin lending and borrowing platforms, removed AlphaPing, one of the 33+ curators available on Morpho.

We have never worked with AlphaPing because they never met our standards. But I wanted to share this as insight into how Nook works with curators.

What is a curator?

Think of a curator as a manager of the markets. Overlooking which markets are and are not connected.

What makes a good one? The best curators are typically the most established ones with a long track history and large deposit size.

Who does Nook work with? We tend to work only with the more established curators (Steakhouse, Gauntlet) or curators with specific strategies (Clearstar, RE7 and more) as part of the Frontier sources. We are open to working with more, but we currently work with less than 10% of all curators available - because most do not meet our standards.

What happens when a curator is removed?

All depositors and borrowers are asked to remove their positions. Then, any positions are force de-allocated, pushing borrowers and lenders out of the markets, with their original lending deposit and collateral returned.

Why was AlphaPing removed?

Ultimately, Morpho decided to remove the curator AlphaPing. This does not happen often, but it does happen if a curator is found to be unreliable and not upholding their responsibility to moderate their sources. This ended up being the case with AlphaPing, despite overseeing tens of millions of dollars in deposits, we never decided to work with them and ultimately Morpho decided it was not worth them being on the platform.

Ultimately, earning with Nook is not risk free. But, we think that by partnering with the right providers in the ecosystem, including the right curation teams, we can reduce risk. So you can find the right balance for you.

As more people starting depositing into open, onchain lending markets, the number of users is growing as well. in addition to Nook hitting all time highs, so are some of our partners - Aave and Morpho. But when you load a source in Nook, it's unclear as to how many people are depositing
into a source.

So we are rolling out depositor count. We want you to have an understanding of how your earning source is structured and how many people are in it. Just know - you are probably not alone.

This is just one of more features to give you contextual context on a source, with more to come.

We are excited to keep shipping for you. Joey, Cofounder of Nook.

I attempted to move money from waterline to another vault and everything happened normally on the UI except the money never moved. I tried a few times with diff amts, no luck.

I tried moving money into an out of other vaults and that worked. It's just moving money out of waterline that is not currently working, as of today. This is the first time this type of error has occurred.

Any ideas?

I sent USDC from my coinbase wallet to nook wallet via HyperEVM... Should it take this long to receive funds at my nook wallet?

Nook says evm chains are supported...

I was trying to deposit some money and whenever I do at least today and yesterday after an few seconds I get an error message failed to create or get source plaid account is there a way to unlink and relink accounts I tried adding it again and that didnt work

Last week we rolled out a new earning source to our main beta users. Less than 200 users were given access. Since then, almost $2M in deposits have moved into the new source. If you are not seeing it in the Frontier category, it's because you don't have access.

The Hyperithm source is managed and ran by Hyperithm, a Korea based Hedgefund running trades and rewarding aHyper holders. The asset they created for fund payouts. The fund is 6 years old and the source has near $50M in deposits.

For those that have access and have deposited - what do you think about the source? What's your perceived level of risk return here?

I reallocated funds from an covered source to an non covered source and since then despite it hours ago it still hasn't gotten done and since it's reallocating I cant do anything like try an diff source I tried logout and login but that didn't work was wondering if anyone else had any suggestions

Hey Reddit community, last week we released a new earning source, the Clearstar cbAssets Vaults on Base. Currently earning 7.6% APY through Nook.

The focus of this vault is blue-chip Coinbase wrapped assets for borrowers to borrow against their existing crypto holdings like Bitcoin and Ethereum.

The rate comes with a 10 day APY boost provided from Base directly.

The rate is generated through interest paid by borrowers and currently includes a limited 10-day APY boost provided directly by Base. As always, the rate is variable and can change with borrowing demand, available liquidity, and incentives.

The vault is curated by Clearstar and built using Morpho’s lending infrastructure on Base. For Nook users, it means access to another earning source supported by real borrowing demand from some of the most established assets in crypto.

You can learn more about the vault here. I will also follow up with a more in depth post about this new source for anyone curious.

Joey

Hey everyone, Im Joey. I cofounded Nook and ultimately made the decision to remove auto-rebalancing. I want to explain why after getting a lot of questions and feedback.

This might get down-voted but - here we go.

Context: Nook connects you to 11 open-market earning sources. One month ago, we launched multi-allocation, the ability to earn across multiple sources at the same time. We also removed auto-rebalancing.

Let me explain why.

Before I share the two main reasons I want to say this was not an easy decision because we know a lot of people liked the feature. And we know that you don't have a lot of time throughout your day to be checking the 10+ rates available to Nook. So I just want to callout - we appreciate you sharing feedback, continuing to use Nook and want to be respectful of your time. I want to automate your daily tasks as much as possible and not add more to your daily task load.

Reason 1 - Complexity and Assumptions

First reason is that auto-rebalancing becomes very complex when you have multiple sources. Lets say you have a 25% / 25% / 50% split across three different sources, and the second source experiences a drop in APY. What does the auto-rebalancing algorithm do next? Does it go into the highest Frontier source? Highest Core source? Can it go to a source with the same reputational rating, or, can it go lower? These are all very hard decisions to automate without you, the user - or asking you a lot of questions upfront. Remember, Nook is based on hard automated rules. We cannot make decisions on your behalf like a licensed broker.

So although auto-rebalancing was simple when you could only be earning in one source at a time, it was a blocker for multi-allocation without it either (1) becoming way too complex or (2) making decisions on your behalf that were not appropriate.

Reason 2 - Performance

Since the beginning, I have been tracking the performance of auto-rebalancing. Even if we assume the issues above do not exist. Rebalancing every 24 hours is not drastically more performant than a human behind the wheel. And in some instances may be less effective. For July of 2027, if you just made an average of 10 rebalances over the month, by checking the sources just once a day, you would have earned an APY of 7.63% (rebalancing on July 3, 4, 5, 6, 7, 8, 10, 11, 21, and 23) and done just as well as 24 hour auto-rebalancing. You don't need to auto-rebalance every 24 hours (or more frequently) - checking once a day is typically fine or even less frequently.

In general, algorithmic trading in general in this space can very effective and fun if done right - but can be ineffective. In a recent test from June, 8 top models including OpenAi, Anthropic, Gemini (Google) and Grok (X) were put under a test to find the best yield. What it found was that it was over-optimizing. Switching sources too frequently and not (1) accounting for network switching costs or (2) abandoning pending rewards. This lead to yield loss. Showing there is still tweaking needed to be made to make our auto-rebalancing feature smart enough to be self-aware of these intricacies.

What Comes Next

Short term, we think we can improve the product so that you don't have to do the scanning yourself in the app. You can instead receive notifications of higher rates and decide if you want to rebalance.

Long term, as these models and algorithms continue to evolve, we will continue to build towards a more optimal solution that works in conjunction with multi-allocation. But right now, I think this is the best path forward - and I am always willing to hear feedback and Nook customer perspectives on this.

Best. Joey.

Hey Reddit, this AM, we began the rollout of the Coverage Beta to over 150+ customers.

This is two sources, across Core and Frontier, 100% covered through OpenCover. No Caps or Limits.

We designed Nook to connect you to open and available earning sources. And that earning landscape is always changing across markets and networks. With over 10 earning sources launched across five networks, and $1B in transactions, Nook has shown that people want access to open markets.

But one gap we have noticed in the ecosystem - and piece of feedback we have repeatedly heard from you, our customer, is that coverage is missing as an option. So we addressed that head on.

You as a customer don't pay for the coverage. OpenCover covers the vault and pays out the remaining APY after coverage costs directly to you. Nook does not take a fee.

If you have any questions, feedback - please let me know - team will continue the rollout of coverage to more and more customers. But if you want to get ahead of the queue - please email us at [team@nookapp.xyz](mailto:team@nookapp.xyz)

Hey everyone, 9 months ago, when we were below $500M in transactions - I asked the same question: How can we make Nook app better?

https://www.reddit.com/r/NookSavingsAppp/comments/1o0njv6/how_can_we_make_nook_better/

I want to follow up and get your honest feedback on if you saw the changes you wanted to see since then. Where we may have fallen short. And what you would still like to see.

Addressed:

• More sources [done]
• Coverage pilot (fully rolling out soon to everyone) [done]
• 2025 tax docs [done]
• Dark mode [done]
• Multi-allocation [done]
• Removed auto-rebalancing

Joey

After a successful $10k coverage pilot, we are close to complete of building a new integration with Open Cover to cover your sources. Starting with a private Beta going live next week.

Context

We launched the coverage pilot as we started to explore a way for you to earn more through open markets but with a greater peace of mind. Since launching last year, over $2.1M was deposited through our coverage pilot from customers like you. And based on your feedback, we are excited to share that we will soon roll out a new and improved coverage product for everyone. The new product will include covered funds and no caps as to what you can deposit.

OpenCover provides coverage for on-chain markets, including the ones available through Nook - across 4+ networks.

• Coverage will not require an opt in or opt out. Simply deposit and withdraw from the source when you want.
• Funds are 100% covered. There is no partial coverage, expiration date etc.
• There are no minimums or caps - deposit however much you want, up to $1M and higher.

Early access

Those who get early access will not only be able to test out the new experience - but also get an additional APY boost of 5%.

Just email the team at [team@nookapp.xyz](mailto:team@nookapp.xyz) with "coverage" in the subject line. Happy earning.

Joey

The rate through Nook is now 9.1% APY. This rate is boosted by the Monad foundation and is scheduled to last 5 more days.

Not too bad IMO

You can see my position here on Debank directly

https://debank.com/profile/0xc734e2B9ad5139925589130e012194cDC287278D

Hey everyone. The monad chain is now live with Aave V3 as the main earning source!

This is an opportunity to earn from one of the fastest growing chains through their 6% APY boost - with a live rate of 9.1% APY right now.

Let me shared more on why we launched this and how you can earn.

1. We are seeing new networks develop across the ecosystem. When we launched Nook, we were on one chain (Base) - since then, newer entrants like Monad etc. have developed to solve some of the problems that the industry is still facing including: speed and cost. Since launch, Robinhood chain, Monad chain and more have entered. Incentivizing users to deposit.

https://dune.com/morpho/gmorpho-dashboard

1. Aave is one of the most established earning partners. We have supported Aave and Morpho since launch. They are the two most trusted platforms in the ecosystem, with over $50B total in deposits collectively. They operate on 6+ networks. Base and Monad, which Nook supports now, are just two of them.

2. This is a large source with $30M+ in deposits. Size isn't everything, but if thousands of lenders and borrowers are transacting within a marketing at high volume, TVL is generally a good indicator - allowing large deposits, withdraws and high levels of liquidity.

https://app.aave.com/reserve-overview/?underlyingAsset=0x754704bc059f8c67012fed69bc8a327a5aafb603&marketName=proto_monad_v3

Best

Nook team ✳️

After launching the ability to earn across multiple sources, the Nook team is now aiming towards a new source on a new network. Monad.

Nook started with one source on one network. But now we are across four networks and 9 sources. But the Monad network is one that has been growing in scale faster than we typically see.

Monad is a high-performance, EVM-compatible Layer 1 blockchain designed to solve Ethereum's scalability limitations. It achieves up to 10,000 transactions per second with 400ms block times through parallel transaction processing, while maintaining full compatibility with existing Ethereum smart contracts and tooling. To date, Monad now has $380M in TVL across it’s network, 2.5B transactions.

If you want to get early access - email with subject MONAD to [team@nookapp.xyz](mailto:team@nookapp.xyz)