# Spectra Overview

The Spectra protocol is permissionless, meaning its services are entirely open for public use. Anyone can create new markets at will, swap yield derivatives, or become a liquidity provider. 

Below, you'll discover its key objectives and features.

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These docs are non-technical. If you are looking for more technical / developer-friendly documentation, see the [Developer Docs](https://app.gitbook.com/o/XoxwwSCKBogRRIE6gTlQ/s/cXt3S5lwK1ZdxfuW16Uj/).
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## **Protocol Primitives**

Spectra's Yield Token and Principal Token, minted on top of ERC-4626 interest-bearing tokens, are core protocol primitives. Spectra separates the right to principal from future yield via a process called yield tokenization. This process unlocks new financial possibilities beyond standalone interest-bearing tokens.

## **Core Use-Cases**

* Permissionless Pool Creation
* Fixed Rates
* Yield Trading

These key use cases can be abstracted into other narratives, such as upfront yield, discounted tokens, fixed savings, or fixed lending activities. 

## **Key Objectives**

* Empowering DeFi with a permissionless protocol for interest rate derivatives
* Delivering cutting-edge solutions that can be seamlessly incorporated, built upon, and utilized by builders and other platforms in the DeFi ecosystem.
* Upholding decentralization as a fundamental value, promoting community-driven growth via a DAO while the core team diligently and sustainably progresses the protocol

## Entity Breakdown

Spectra is a decentralized interest rate derivatives protocol with different entities and individuals contributing to its development and adoption. 

* **Spectra Protocol:** A decentralized, permissionless interest rate protocol that permanently exists on the Ethereum Virtual Machine. 
* **The Spectra App**: a flagship interface that allows easy interactions with the Spectra protocol. Multiple protocol interfaces can exist. 
* **Spectra Governance:** A governance system for governing the Spectra Protocol, enabled by the APW token.
* [Perspective SAS](https://www.perspective.fi/): A company that develops the Spectra Protocol and the Spectra App.