Defi Vaults https://paragraph.com/@Defivaults undefined Tue, 21 Apr 2026 16:56:18 GMT https://validator.w3.org/feed/docs/rss2.html https://github.com/jpmonette/feed en Defi Vaults https://storage.googleapis.com/papyrus_images/8f71f9e974c88452e19859b38709be64 https://paragraph.com/@Defivaults All rights reserved <![CDATA[DeFi Vaults Issue #71]]> https://paragraph.com/@Defivaults/defi-vaults-issue-71 zgQgaRfwS0VX8Ruu94Au Mon, 23 Oct 2023 00:00:00 GMT ⚡️What’s new?⚡️

🏦 DeFi Vaults: The Best LST and Stablecoin Yield Opportunities

📊 Charts & Stats: Explosive Volume Growth on Arbitrum and Solana: Farmer's Guide to Maximizing Gains

🌾 Yield Farming 101: Pendle to Aave strategy via Arbitrum

🐦 Last Week in Crypto Twitter (CT): Exploring MakerDAOs RWA revenue, iShares Bitcoin Trust is registered with the DTCC, Solana Hackathon recieves 900+ submissions, and more.

🏦 DeFi Vaults

Liquid Staked Tokens

Stablecoin Yields List

Ethereum

Polygon

Optimism

Avalanche

Arbitrum

zkSync

📊 Charts & Stats

Arbitrum experiences 33% increase in volume and Solana experiences 90% increase in volume WoW

Crypto prices are on the rise, along with on-chain volume. Notably, two networks have witnessed significant surges in volume: Arbitrum and Solana!

Solana

Solana has experienced a 90% increase in volume, facilitating $637.15M worth of trades in the last 7 days:

The top three Dexes by volume are Orca, Raydium, and Lifinity:

How to benefit as farmer?

The price of $SOL has increased 37% over the last 7 days (leading to more on-chain trading and speculation):

Fortunately, on Solana, Drift Protocol stands as the leading derivatives exchange, offering cross-margined perpetual futures for Solana. This platform allows traders to speculate on price movements, enabling both long and short positions.

However, that doesn't exactly qualify as farming. Nevertheless, Drift offers users two avenues to earn yields through simple one-click deposit vaults, each with its own associated risks:

Method 1: Drift Liquidity Provider

  1. Becoming a Liquidity Provider (LP):

    • Users can become LPs by allocating margin into any perpetual market offered by the vAMM. LPs increase liquidity and collateralization in the market and earn a rebate from taker fees.

    • LPs on Drift acquire opposing positions from new trades against the vAMM, regardless of the vAMM's net position. This means LPs are effectively investing in an active liquidity provision strategy on Drift's vAMM.

  2. Trading Fees & Funding:

    • 80% of taker fees collected by the vAMM are given out to LPs based on the pro-rata liquidity they provided.

    • This fee improves the cost basis of the positions acquired by LPs.

    • LPs with unsettled positions can participate in funding payments once positions are settled. The vAMM acts as the custodian for funding payments until positions are settled.

    • LPs only earn funding on settled positions to prevent abuse and ensure fair distribution.

  3. Leverage for LPs:

    • Users have the option to LP with leverage, which increases their risk of liquidation.

    • Liquidation removes LP shares before liquidating positions, giving LP shares more leeway.

    • The amount of margin available for LPs is calculated based on their unsettled position and open orders.

    • Unsettled positions are treated like regular market positions without unrealized funding payments. Leverage increases the risk of liquidation, but LP shares are removed prior to liquidating positions.

  4. Risks & Other Considerations:

    • When LPs remove their liquidity, it decreases the parameter k and may lead to more slippage for traders. In certain circumstances, a user may be blocked from burning their LP shares.

    • it's possible for LPs to accumulate large directional positions at times. This can lead to losses even with a small amount of LP shares or with 1x leverage. LPs are compensated for this risk by earning fees but are not guaranteed to profit.

Method 2: Insurance Fund Staking

  1. Becoming an Insurance Fund Provider:

    • the Insurance Fund is a vital component of Drift Protocol, providing a safety net for users in case of market disruptions or insufficient margin.

    • It acts as a safety net to cover bad debts and maintain the protocol's solvency.

  2. Fee's and Funding:

    • Users can stake assets (USDC, BTC, ETH, SOL) into the corresponding Insurance Fund to earn a share of fees from the Revenue Pool.

    • This staking carries the risk of potentially resolving bankruptcies or deficits in the vAMM.

    • The Fund is replenished by both stakers and the protocol through fees from liquidation, trading, and borrowing.

    • Exchange fees collected in USDC are pooled in the USDC pool, which supports bankruptcies in each perpetual market.

  3. Fund Utilization:

    • The Insurance Fund is used to cover liabilities in case of user bankruptcy.

    • It pays off spot market balances in full and up to the set maximum insurance limit for perpetual markets.

  4. Risks & Other Considerations:

    • If losses in a market exceed the token balance in the Insurance Fund for that market, a socialised loss occurs.

    • This means that losses are spread across all users' deposits and positions.

    • Perpetual traders and lenders contribute to cover these excess losses on a pro-rata basis.

Arbitrum

Arbitrum has experienced an ~33% increase in volume, facilitating $1.8b worth of trades in the last 7 days:

The top three Dexes by volume are Uniswap, GMX, and Trader Joe:

How to benefit as farmer?

Assuming trading stays at current levels, or trends higher, you can provide liquidity to the pairs that experience the highest volume/accrue the highest fees. Here are some examples below:

Uniswap pools with highest fee's 👇

Trader Joe pools with highest fee's 👇

Additionally, there are other protocols including Gains network, Aave, and Balancer that are benefitting as shown through their increase in yield opportunities.

🌾 Yield Farming 101

Pendle to Aave strategy

Strategy

Farm Diversified Stablecoins on zkSync Era: Farm BUSD/USDT and Use $CAKE farm rewards to create USDC/LUSD

  1. Deposit $500 into gDAI liquidity vault on Pendle (18% APY)

  2. Claim & unwrap gDAI sy rewards

  3. Unlock gDAI on Gains Network

  4. Deposit DAI into Aave (9% APY)

  5. Borrow LUSD (-3% APY)

  6. Rinse and Repeat

Risks:

  • Smart Contract risk from interacting with multiple protocols

🐦 Last Week in Crypto Twitter (CT)

MakerDAOs RWA revenue:

iShares Bitcoin Trust is registered with the DTCC:

Weekly stablecoin roundup courtesy of Bluechip:

Winter Soldier explains pull vs. push based oracles:

Solana Hyperdrive Hackathon receives over 900 submissions:

That's all for this issue of DeFi Vaults, stay up on your research, and happy farming!

Thanks for reading Defi Vaults Newsletter! Subscribe for free to receive DeFi yields, and insights straight to your inbox, every week.

]]> defivaults@newsletter.paragraph.com (DeFi Kai) <![CDATA[DeFi Vaults Issue #70]]> https://paragraph.com/@Defivaults/defi-vaults-issue-70 O92S2nBPAZV0GP2XDRg7 Sun, 15 Oct 2023 00:00:00 GMT ⚡️What’s new?⚡️

🏦 DeFi Vaults: The Best LST and Stablecoin Yield Opportunities

📊 Charts & Stats: zkSync accounts for 7.74% of the total on-chain volume leading to Great Yield Opportunities for Farmers

🌾 Yield Farming 101: zkSync Stablecoin Strategy -PancakeSwap to Maverick Protocol

🐦 Last Week in Crypto Twitter (CT): Is Solana the perfect network for payments?, $USDR depeg, Yearn updates tokenomics, and more

🏦 DeFi Vaults

Liquid Staked Tokens

Stablecoin Yields List

Ethereum

Polygon

Optimism

Avalanche

Arbitrum

zkSync

📊Charts & Stats

zkSync Experiences High on-chain Volume leading to Great Yield Opportunities for Farmers

TL;DR:

  • zkSync ranks #3 in DEX volume, an impressive feat considering it holds the 19th position in total value locked (TVL) among all Layer 1 and Layer 2 solutions.

  • The cumulative volume on zkSync ($8.30 billion), contributes to a substantial 7.74% of the total on-chain volume.

  • Currently, zkSync boasts approximately 155% more Daily Active Addresses than Base and processes about 129% more transactions.

  • Stablecoin farmers can reap the benefits of high double-digit yields, thanks to the elevated on-chain volume. This, in turn, leads to more robust fees for liquidity providers (LPs).

Primer on zkSync Era

zkSync Era is a layer 2 protocol designed to enhance Ethereum's security and capabilities through zero-knowledge cryptography. It employs a robust ZK technology stack, incorporating an LLVM-based Solidity compiler, an acclaimed GPU prover, and the cutting-edge Redshift proof system. This combination drastically reduces transaction costs to a fraction of a penny. Additionally, zkSync Era offers cost-effective storage, significantly decreasing expenses compared to Layer 1.

What's The Alpha?

zkSync has handled an immense volume of transactions. Over the past seven days, traders have executed swaps amounting to a staggering $573.7 million in DEX volume:

DEX Volume & DEX TVL

While holding the #19 spot for overall TVL, zkSync ranks among the top 3 chains by DEX volume. This highlights the active trading ecosystem on zkSync, with traders capitalizing on the network's low fees and high-speed transactions:

Overall TVL

Upon closer examination of zkSync's standing among Layer 2 networks, it holds the #4 position, positioned just below Base:

L2 TVL & Market Share

However, it's worth noting that its position is dynamic and subject to change. Currently, it's approximately $133 million below Base in terms of TVL, a relatively narrow margin.

Moreover, zkSync boasts approximately 155% more Daily Active Addresses compared to Base. Impressively, it has recently surpassed Base in Daily Transactions, processing about 129% more transactions than Coinbase's L2:

zkSync vs. Base Daily Transactions
zkSync vs. Base Daily Active Addresses

How Does This Affect Farmers?

zkSync is handling a substantial volume relative to its TVL, and this increased volume results in higher fees, benefiting liquidity providers (LPs).

To begin our search for yield, we can turn to Maverick Protocol, one of zkSync's largest DEXes, currently holding the #3 spot in terms of 7-day DEX volume:

Volume by DEX

Upon closer examination of the LP vaults, we find numerous double-digit APRs available:

Farmers should monitor zkSync's volume as the weeks progress, as currently, the yield opportunities are abundant. Additionally, zkSync is preparing for an upcoming airdrop, which is anticipated to substantially boost on-chain volume!

A clear illustration of how trading volume impacts fees can be observed on Pancakeswap through zkSync. Upon examining farms on PancakeSwap, it becomes evident that the LP fee APR (auto-compound yield) surpasses the farm APR (in $CAKE rewards) for many of the stablecoin LPs:

if you're interested in farming on zkSync, i've provided a list of bridge's here.

zkSync supports swaps from Arbitrum, BNB Chain, Ethereum, and more!

Happy Farming! 👩‍🌾

🌾 Yield Farming 101

zkSync Stablecoin Strategy -PancakeSwap to Maverick

Strategy

Farm Diversified Stablecoins on zkSync Era: Farm BUSD/USDT and Use $CAKE farm rewards to create USDC/LUSD

  1. Swap $500 50/50 for $BUSD and $USDT

  2. Create BUSD/USDT LP on Pancake Swap

  3. Enter BUSD/USDT LP Farm for a ~19% APR

  4. Swap $CAKE rewards 50/50 for $USDC and $LUSD

  5. Create USDC/LUSD LP on Maverick Protocol

  6. Enter USDC/LUSD LP Farm for a ~20% APR

Risks:

  • Smart Contract risk from interacting with multiple protocols

  • Price divergence risk: Depending on the parameters you set for liquidity provision you're LPs profitability may vary

🐦 Last Week in Crypto Twitter (CT)

USDR Depeg

Solana shows promising future of facilitating payments worldwide

Solana Token2022 is making waves!

The DeFi Investor documents the latest developments in DeFi

Yearn updates tokenomics

That's all for this issue of DeFi Vaults, stay up on your research, and happy farming! 👩‍🌾

Thanks for reading Defi Vaults Newsletter! Subscribe for free to receive DeFi yields, and insights straight to your inbox, every week.

]]> defivaults@newsletter.paragraph.com (DeFi Kai) <![CDATA[DeFi Vaults Issue #69]]> https://paragraph.com/@Defivaults/defi-vaults-issue-69 QxD7ndWKdtrKCg6rRjbl Mon, 09 Oct 2023 00:00:00 GMT ⚡️What’s new?⚡️

🏆 Biggest Winners & Losers: Blockchain's sorted by DEX Volume and TVL

🏦 DeFi Yield Overview: Stablecoin yields on multiple chains (Polygon, Ethereum, Arbitrum, Avalanche, and Optimism)

⛓ On-chain Narrative: Battle of the L2s: Base vs. Optimism

💸 Stablecoin Yield Finder: Using capital efficiency (Volume/TVL) to find yields

🏆 Biggest Winners & Losers

Total Value Locked (TVL)

Source: Artemis Terminal

DEX Volume

Source: Artemis Terminal

🏦 Yield Overview

Liquid Staked Tokens

Stablecoin Yields List

Ethereum

Polygon

Optimism

Avalanche

Arbitrum

⛓ On-chain Narrative

Battle of the L2s: Base vs. Optimism

Source: L2 Beat

Base, an Ethereum layer-two (L2) blockchain developed by Coinbase, has been generating a lot of buzz, and TVL.

While Base has yet to surpass Optimism in Total Value Locked (TVL), the introduction of major DeFi protocols on Base is undeniably boosting its TVL. Even though Base hasn't outperformed Optimism in TVL at this point, it has demonstrated impressive figures in terms of Daily Active Addresses and Transactions:

Source: Artemis Terminal

Base's on-chain performance will be a key point of interest in the upcoming months. Nevertheless, it's worth noting that Base's success will, in fact, have positive repercussions for Optimism. This is due to the fact that Base is built using the open-source OP Stack in partnership with Optimism. Moreover, both networks have concurred that Base will allocate 15% of its net revenue towards supporting public goods on Optimism. Additionally, Base will have the potential to acquire up to 2.75% (equivalent to 118 million $OP) of the OP token supply over the course of the next six years.

💸 Stablecoin Yield Finder

Capital efficiency, also known as the ratio of volume to Total Value Locked (TVL), is the most effective method for identifying optimal yields. A higher ratio signifies that the fees generated by the volume are in proportion to the TVL. Here's why:

  • Liquidity Providers (LPs) receive a percentage of the fees generated from the overall volume. Therefore, if there is an increase in volume to offset the Total Value Locked (TVL), it leads to higher yields ⬆️.

Let's use the capital efficient method to spot lucrative Stablecoin vaults on zkSyncEra. We can see the most capital efficient DEXs on zkSyncEra are as follows:

Source: DefiLlama

Maverick Protocol Stablecoin yields

PancakeSwap Stablecoin yields

zkSwap Finance Stablecoin yields

Thanks for reading Defi Vaults Newsletter! Subscribe for free to receive DeFi yields, and insights straight to your inbox, every week.

]]> defivaults@newsletter.paragraph.com (DeFi Kai) <![CDATA[DeFi Vaults Issue #68]]> https://paragraph.com/@Defivaults/defi-vaults-issue-68 1VZxQXaxbbxdJZmKUwgI Sun, 01 Oct 2023 00:00:00 GMT ⚡️What’s new?⚡️

🏦 DeFi Yield Overview: Stablecoins & LSTs

💸 Stablecoin Yield Spotlight: JEUR/PAR Vault via Polygon

🐦 Deep Dive: Parcl: DeFi Meets Real-estate on Solana

🏦 Yield Overview

Liquid Staked Tokens

Stablecoin Yields List

Ethereum

Polygon

Optimism

Avalanche

Arbitrum

💸 Stablecoin Yield Spotlight - JEUR/PAR via Polygon

🏡 Parcl: DeFi Meets Real-estate on Solana

TL;DR

  • Parcl is a decentralized application (dApp) on Solana that aims to democratize access to real estate investing.

  • The platform enables users to invest in and trade real estate markets (using USDC) in various locations, including New York, California, and Paris.

  • A "parcl" is a digital representation of the price per square foot in a specific geographic area, backed by crypto assets.

Introduction

Parcl is a Solana dApp extending access to real estate investing for the masses. Real estate has long been a cornerstone of the “American Dream,” yet participation demands large amounts of capital as well as exceptional credit. With Parcl, users can invest in real estate with any amount of funds!

Parcl allows users to invest in and trade geographical real estate markets on the Solana blockchain—including New York, California, Florida, and more— which can be used for directional investment and hedging.

What are Parcl’s? — How Does Parcl Work?

A Parcl is a digital representation of the price per square foot in a given geographic area collateralized by crypto assets. Parcl uses real estate listing data, real estate transaction data, property tax record data, and geospatial data to create the ‘Parcl Price Index.’

Using the Parcl price index, Parcl determines the price per square foot of a specific neighborhood or city to determine the price of the corresponding parcl.

Homeowners Association NFTs

Parcl’s homeowner association (HOA) NFT grants holders perks including early access to trading, liquidity pools, staking rewards, future airdrops, and more. the HOA NFTs give users a chance to own an asset that will give them real utility stemming from a platform with a unique use case.

How To Invest In a Parcl?

Methodology

Parcl features a simple interface where users can buy (long) or short real estate markets —through the purchase of Parcl's— depending on how they think the market will move.

If you think a city's real-estate market value is going down from the current price you can open a short position, and if you think the price is going up you can open a long position. If the price moves in the direction you’ve predicted you’ll be in profit and can close your position at any time to realize the value of your investment. Inversely, if the price moves in the opposite direction of what you predicted, you might consider cutting your losses or holding on until the price movement changes.

Furthermore, whichever position type (long or short) makes up a majority of the pool, will decide the fees paid for entering the pool. For instance, since the majority of the positions for the Brooklyn parcl are long if you open a long position, you’ll pay lower fees than if you were to open a short position.

Once a user deposits USDC for a long or short position, they’ll receive a Parcl liquidity pool (LP) token to represent their share in the pool.

Users seeking a neutral position can provide liquidity to pools with high trading activity to earn fees on trades.

How To Use Parcl

  1. Visit App.Parcl.co and connect your Solana wallet.

  2. Swap to USDC

  3. Pick a real-estate area

  4. Buy the asset (long), if you believe the price will go up

  5. Short the asset, if you believe the price will go down

  6. Exit position at your desired price

]]> defivaults@newsletter.paragraph.com (DeFi Kai) defi blockchain yieldfarming <![CDATA[DeFi Vaults Issue #67]]> https://paragraph.com/@Defivaults/defi-vaults-issue-67 QBTVZ4ra1yq9s87xF3WF Tue, 15 Aug 2023 00:00:00 GMT ⚡️What’s new?⚡️

🏦 Stablecoin Vault Spotlight: USDT/USDC.e 14% APY!

🧪 Yield Farming 101: Weighted Stablecoin basket via Picnic Protocol

🐦 Last Week in Crypto Twitter (CT): Reserve Protocol rebrand, Bullish case for crypto in Thailand, Solana developer interviews Anatoly, and more

🏦 USDT/USDC.e 14% APY!

The MAI/USDC.e pair on Beefy Finance (Via Arbitrum) has a 18% APY! It's also averaged a 19% APY since it's inception!

📑 Liquid Staked Tokens

📑 Stablecoin Yields List

Ethereum

Polygon

Optimism

Avalanche

Arbitrum

🧪 Yield Farming 101

Strategy

Picnic protocol, on Polygon, allows you to create custom weighted baskets of yield bearing assets. We can use Picnic to create a basket of diversified stable coins. All rewards are auto-compounded into the original position with the ability to rebalance at later dates.

  1. Create a basket with USDC/DAI, USDC/axlUSDC, and jEUR/PAR on Picnic

  2. Watch the basket and rebalance with other assets to achieve your desired APY

Risks:

  • Stablecoin depeg risk

  • Smart contract risk

🐦 Last Week in Crypto Twitter (CT)

Reserve Protocol rebrand:

Security Researcher shares resources for understanding Lending markets:

Is Thailand the next hub for crypto? Sanjay shares his bullish take:

Helium Mobile launches unlimited text/talk and data for $5/month for Miami residents:

Aave's GHO stablecoin experiences depeg:

Mert from Helius Labs interviews Anatoly to discuss the future of Solana:

Binance Labs buys CRV to help Curve recover:

]]> defivaults@newsletter.paragraph.com (DeFi Kai) defi blockchain yieldfarming <![CDATA[DeFi Vaults Issue #66]]> https://paragraph.com/@Defivaults/defi-vaults-issue-66 k4PimGY7C33gTD3bUuE3 Mon, 07 Aug 2023 00:00:00 GMT ⚡️What’s new?⚡️

🏦 Stablecoin Vault Spotlight: MIM/USDC.e/USDT 8% APY

🧪 Yield Farming 101: 'Balancer Boosted Aave V3 USD' Yield Strategy

🐦 Last Week in Crypto Twitter (CT): New Ethereum Bitcoin Bridge, 0xMantle: the new L2 catching buzz on CT, Curve hack postmortem and more

🏦 MIM/USDC.e/USDT 9% APY!

We talked about the MIM/USDC.e/USDT vault on Beefy (via Arbitrum) last week while it was at 8.73%, and now it currently still sits at 8.63% APY.

It's TVL increased by $100k and the TVL now sits at ~$2.3M. It's also worth noting, this vault has remained above a 4.5% APY for 3 months and counting!

Note: USDC.e is a token representing USDC on Avalanche that was bridged from the Ethereum blockchain via the Avalanche Bridge.

📑 Liquid Staked Tokens

📑 Stablecoin Yields List

Ethereum

Polygon

Optimism

Avalanche

Arbitrum

🧪 'Balancer Boosted Aave V3 USD' Yield Strategy

Strategy

The Balancer Boosted Aave V3 USD pool is a basket of the three most popular stablecoins (DAI, USDC, and USDC), and the pool is also receiving high ARB and BAL emissiions for stakers. You can direct your rewards to gDAI, and GLP to expand your portfolio into more stablecoins and bluechip assets.

  1. Deposit USDC into the Balancer Boosted Aave V3 USD pool on Balancer

  2. Swap $BAL rewards for DAI on Uniswap

    a. Stake DAI for gDAI on Gains Network

  3. Swap $ARB rewards for USDC on Uniswap

    a. Buy $GLP on GMX

    b. Stake GLP on GMX

Risks:

  • Stablecoin depeg risk

  • Smart contract risk

🐦 Last Week in Crypto Twitter (CT)

There is now a 2-way bridge between Ethereum and Bitcoin. Saying that this is huge is an understatement. Exchange of value between these two chains, which I believe will remain dominant, is going to be essential for larger players to get involved. Great development, cool innovation, and hopefully we can look forward to more to come!

Dr. Doom’s trading threads of the week:

A new L2 is catching some buzz on CT and I have no idea what it is. Some decent alpha here about this early ecosystem. Intriguing enough to maybe get me on the computer to explore. Let’s get a short summary together:

Degen Sensei’s short and sweet summary of their current interests in this market:

Richard Heart gets sued by the SEC for the securities fraud HEX. Thank god his bad choice in clothing can be punished

Due to a bug in the Vyper code, multiple Curve pools were drained by a hacker on July 30th. Here is the post mortem:

Read more:

]]> defivaults@newsletter.paragraph.com (DeFi Kai) defi yieldfarming <![CDATA[DeFi Vaults Issue #65]]> https://paragraph.com/@Defivaults/defi-vaults-issue-65 5f3qmV0vOC0AguSwweZH Mon, 31 Jul 2023 00:00:00 GMT If you've been wondering why the look of DeFi Vaults has changed, I have switched my newsletter service provider from Substack to Paragraph.xyz!

Paragraph is a truly decentralized publishing platform that allows me to own my work (via ARweave) and connect with you guys in new ways (collectible posts, token-gated posts, wallet notifications etc.)

Hope you guys like the new look ;). Now, on to latest DeFi alfa:

⚡️What’s new?⚡️

🏦 DeFi Vault Spotlight: MIM/USDC.e/USDT >5% APY

🧪 Yield Farming 101: $GHO Ce/DeFi Stablecoin Strategy

📊 Charts & Stats: Introducing the DeFi Vaults Stablecoin Dashboard

🐦 Last Week in Crypto Twitter (CT): Frax experiments with tbills for V3, Liquity V2 is on the horizon, Optimism introduces new SuperChain governing structure, and more.

🏦 DeFi Vault Spotlight: MIM/USDC.e/USDT

This MIM/USDC.e/USDT vault on Beefy (via Arbitrum) hasn't dropped below a 5% APY since it's inception! It also has a TVL of ~$2.2M which is a great sign for users with <=$10k funds, as your deposits won't rapidly dilute the rewards.

Note: USDC.e is a token representing USDC on Avalanche that was bridged from the Ethereum blockchain via the Avalanche Bridge.

Risks:

  • MIM depeg risk

  • USDC.e

    • depeg risk

    • bridge hack

  • USDT depeg risk

View more Stablecoin yields, here.

🧪 Ce/DeFi Stablecoin Strategy

Ce/DeFi Stablecoin Yield Farming Strategy

Strategy

Balancer's GHO/Boosted Aave v3 USD pool (via Ethereum) is receiving heavy emissions 💸. The pool currently holds a TVL of $5.5M and is rewarding depositors with a 17%-37% vAPY! I don't expect these emissions to last forever, so in order to diversify your position you can swap your $BAL rewards to crvUSD and deposit in Conic's Omnipool for 17%. This also helps maintain the APY of your initial deposits in Balancer as your not contributing to diluting the GHO/Boosted Aave v3 USD pool further.

  1. Deposit $GHO into the GHO/Boosted Aave v3 USD pool on Balancer

  2. Swap $BAL rewards for $crvUSD on Uniswap

  3. Deposit $crvUSD into Omnipool on Conic Finance

Risks:

  • Stablecoin depeg risk:

    • GHO

    • USDC

    • USDT

    • crvUSD

  • Smart contract risk from depositing funds in multiple protocols

📊 DeFi Vaults Stablecoin Dashboard

I've compiled my top picks for stablecoin vaults on each chain and compiled them into a neat dashboard with the help of @backtest_dummy (Blockchain data scientist).

The point of this dashboard is to provide you a quick overview of some of the best stablecoin yields on chain (Ethereum, Arbitrum, Optimism, Polygon, and Avalanche).

I am tracking the following metrics for each chain:

  • DEX volume

  • Stablecoin TVL

And the following metrics for each vault:

  • TVL

  • APY

Arbitrum Stablecoin Vaults Metrics

This dashboard tracks the following vaults:

Ethereum

Polygon

Optimism

Avalanche

Arbitrum

I am planning on adding links to each of the vaults within the dashboard, adding new vaults and chains, and including some other cool features to enhance overall UX/UI. Happy farming 🌾 👻.

🐦 Last Week in Crypto Twitter (CT)

For those who didn’t see on my Twitter, this is a bearish opinion on Pendle that was very thought provoking to read:

Liquity V2 looks to be interesting. They’re targeting hedging with this upgrade.

GRAIN airdrop eligibility list is live! Depending on your size, it’s not very much. In addition, the liquidity is pretty thin at this time and a lot of airdrop farmers are looking to dump. So, what am I going to do? I’m going to drop it in an LP and yield off of it because by the time I claim, the token value is going to drop pretty quickly. We need to give GRAIN time to get some fundamentals in line before the returns are nice, so if you believe in them long term, selling this airdrop for Pennies isn’t really worth it:

Pendle will be deploying on Manyle, a newer alt L1 that has caught some buzz on CT:

Interesting news from Optimism, giving the community power over the SuperChain:

Additional:

Frax is experimenting with RWAs and tbills, for V3 Launch:

Thanks for reading the Defi Vaults Newsletter! Subscribe for free to receive DeFi yields, and insights straight to your inbox, every week.

]]> defivaults@newsletter.paragraph.com (DeFi Kai) <![CDATA[DeFi Vaults Issue #64]]> https://paragraph.com/@Defivaults/defi-vaults-issue-64 1VCHOuFOTCr1Wm4yras5 Wed, 26 Jul 2023 00:00:00 GMT ⚡️What’s new?⚡️

🏦 DeFi Vault Spotlight: crvUSD Omnipool (10.9% APY).

🧪 Yield Farming 101: Lifinity Flare NFT Loan Strategy.

📊 Charts & Stats: Exploring the Top Real World Assets Protocols on DeFiLlama: stUSDT, Ondo Finance, and MatrixBlock.

🐦 Last Week in Crypto Twitter (CT): Arbitrum votes on emergency response team, MIM is live on Kava chain, DeFi watchlist's, and more.

🏦 DeFi Vault Spotlight

crvUSD (10.9% APY) via Conic Finance Omnipool

crvUSD is Curve Finance's over-collateralized decentralized stablecoin. CRVusd positions can be created with wstETH, wBTC, sfrxETH, and ETH.

CRVusd metrics (TVL & APY)

Checkout more pools and spot the latest stablecoin alfa using my new dashboard.

NOTE: Currently, data is only available up to 7/21/23. I will be updating the dashboard over the next week to refresh data every 24 hours. In the future, I will be working towards implementing features like projected APY, links to pools, etc. If you have any feedback, send me an email or DM me on Twitter :).

🧪 Yield Farming 101

Lifinity Flare NFT loan strategy

Strategy

Lifinity Flare's is an NFT project on Solana created by the creators of Lifinity, the most capital efficient DEX on Solana. Lifinity redirects platform and trading fee's towards a fund that buys back $LFNTY and Lifinity Flare NFTs on a monthly basis. Last month Lifinity bought back 99 Flares, bringing the total amount of bought-back flares to 982!

Hadeswap, an NFT AMM, allows Lifinity Flare holders to use their NFTs as collateral, and borrow its stablecoin, $MDS. With $MDS you can swap to $USDT, to (1) protect yourself in case of an $MDS depeg, and (2) earn yields on your stablecoins.

  1. Buy Lifinity Flare on TensorTrade

  2. Deposit Flare as collateral on Hadeswap

  3. Borrow $MDS

  4. Swap $MDS for $USDT

  5. Deposit $USDT into Hawksight

Risks:

  • Smart contract risk (Hadeswap and Hawksight)

  • USDT depeg risk

  • Liquidation risk (If Lifinity Flares' floor price plummets)

📊 Charts & Stats

Exploring the Top Real World Assets (RWA) Protocols on DeFiLlama

In the last issue of DeFi Vaults we discussed multiple narratives including Insurance, Payments, and Real World Assets (RWAs) Protocols. RWA has been a hot topic as of late, so let's take a deeper look at the top RWA protocol's to get a sense of where the market is going and discover what's gaining traction:

The top 3 RWA Protocols on DeFiLlama are:

  1. stUSDT (Tron)

    stUSDT is the first RWA protocol on Tron, and is decentralized token that serves as receipt of investment in RWA. Users can deposit USDT and earn passive income by participating in investments in real-world assets, lead by the RWA DAO. The DAO invests in RWA through the following process:

    • Pre-investment discussion. The Advisory Council discusses the potential RWA investment opportunities and investment strategy proposed by RWA Arrangers, and decide whether or not to follow up.

    • Pre-vote. A pre-vote will be initiated in RWA DAO to decide whether a proposal should be carried out by RWA Arrangers.

    • Contract creation and execution vote. After the proposal passes the pre-vote, developers from RWA Arrangers will create the stUSDT-RWA Contract and carry out voting on whether to execute the proposal.

    • Execution. Once the execution vote has passed, the stUSDT-RWA Contract will be automatically activated, and RWA Arrangers will set up the initial contract parameters.

  2. Ondo Finance (Ethereum & Polygon)

    Ondo Finance offers users investments in a range of real-world assets, such as US Treasuries and corporate bonds, by investing in US exchange-traded funds on users behalf. The first three funds offered by Ondo focus on low-risk assets backed by stable, liquid, real-world assets:

    1. OUSG provides exposure to short-term US Treasuries with a target yield of 4%+.

    2. OSTB provides exposure to short-term corporate bonds with a weighted average investment grade rating and a target yield of 5%+.

    3. OHYG provides exposure to high yield bonds with a target yield of 8%+.

  3. Matrixdock (Ethereum)

    Matrixdock offers users access to RWAs through its STBT token. STBT (Short-term Treasury Bill Token) is a USD stablecoin that provides exposure to U.S. Treasury securities that mature within six months and reverse repurchase agreements collateralized by the U.S.

🐦 Last Week in Crypto Twitter (CT)

Tweets & Narration provided by @BrokeDegenFAFz.

Geist will be closing its doors down, seemingly for good, thanks to Multichain. Alternatives on Fantom include the Granary and Scream.

Arbitrum security council vote will soon go live. This will dictate the users who are reserved as an emergency response team if needed:

Dr. Doom’s watchlist:

Abracadabra is live on Kava Chain:

DeFiMann’s current market thesis. I share a similar outlook of cautious optimism. We either correct slightly and then resume upside, or upside just resumes imo.

rDPX investment thesis:

Thread of tweets about trading:

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]]> defivaults@newsletter.paragraph.com (DeFi Kai) defi blockchain stablecoins yieldfarming cryptocurrency