Original | Odaily Planet Daily ( @OdailyChina )
Author: Azuma ( @azuma_eth )
This column aims to cover the low-risk return strategies based on stablecoins (and their derivative tokens) in the current market (Odaily Note: systemic risks can never be ruled out) to help users who hope to gradually increase the scale of funds through U-based financial management to find more ideal interest-earning opportunities.
The pace of the financial market changes more slowly than that of the trading market. In the past few guides, we have basically covered the mainstream income markets such as Pendle and Fluid, as well as double-digging opportunities such as Sonic, Ethreal, Level, Meteora, Vest, Perena, BackPack, and Echelon.
In order to avoid redundancy, starting from this issue we will focus on the latest trends in the financial market in the past week.
Previous records
New opportunities
Berachain Flywheel Launch
Last Monday, Berachain officially launched the Proof of Liquidity (PoL) mechanism, which means that Layer 1 with its own Ponzi mechanism has officially started to operate.
Odaily Note: For the specific mechanism of PoL, please refer to Detailed Explanation of Berachain PoL Mechanism: A More Radical Bribery Model than Curve .
In the early days of PoL, the APR of the two main stablecoin pools , BYUSD/HONEY and USDC.e/HONEY, once exceeded 20%. However, as the size of the pools expanded and BERA fell along with the broader market, the current APR has shrunk significantly to around 4%.
However, with the help of Infrared, the PoL liquidity pledge protocol of the Berachain ecosystem , this APR data can rise to about 5.3% (because iBGT has a certain premium over BERA), while maintaining long-term interaction with Infrared - although the APR number is not ideal, I personally still recommend mining this mine, because Infrared is likely to be the project with the highest market value in the entire Berachain ecosystem, and the potential airdrop is expected to be large.
Odaily Note: For details, please refer to Raising over 18.75 million US dollars, how to win the only leader in Berachain, Infrared .
In addition, since the LP APY of iBGT and iBERA on Pendle are relatively high (basic 132% and 299%, and up to 322% and 543% if there is sufficient PENDLE pledge), you can also adopt the hedging strategy of spot mining, contract shorting . The current annualized cost of shorting BERA on Binance is around 50%, and the yield is sufficient to cover the fee cost. At the same time, it can also maintain interaction with Infrared - iBGT has a premium and is relatively uncontrollable, so it is recommended to use iBERA for operation.
In addition to these relatively mainstream pools, there are also many small pools on Berachain with annualized returns exceeding 100% or even 1000% (such as the newly started stable project USDbr). Others are not listed here (you can view them on the homepage of Infrared). You can participate based on your own risk preferences.
Reslovs blueprint
Last Tuesday, Ivan Ko, the founder of the stablecoin project Reslov , published a long article outlining the two biggest problems facing the currently popular interest-bearing stablecoins - scalability and risk.
Scalability means that the on-chain profit space will be rapidly compressed as the size of assets expands. Even in the futures-spot arbitrage market on which Ethena (USDe) relies, the actual capacity under the BTC + ETH + SOL hedging strategy is only about US$20 billion , so it is necessary to explore all ways to generate interest, including but not limited to futures-spot arbitrage, MEV, high-frequency trading (HFT), etc.
Risk means that as more profit paths are created, there will also be more potential risk points, so risk isolation is necessary . Resolv’s current solution is to use both USR and RLP. RLP insures USR against unexpected situations, taking on risks while earning higher returns.
Including Ethena , Level , and Reslov, interest-bearing stablecoins are increasingly seen by the market as the biggest opportunity to subvert the stablecoin sector (see Four major interest-bearing stablecoin protocols about to TGE, who can define the new paradigm of DeFi? ), but few people mention the upper limit of the on-chain profit space, but for projects in the track, the sooner you realize this, the better. Overall, Resolvs thinking is quite clear, and I personally tend to raise my expectations for the projects airdrop.
Resolvs points plan has been open for quite a while, but there are still many ways to speed up your points, so you can do some homework before TGE. For example, the four pools of Pendle in the figure below can provide a minimum of 25 times and a maximum of 45 times the points rate bonus.
AC is stable
The algorithmic stablecoin of Andre Cronje (AC), a veteran DeFi master and co-founder of Sonic, has also attracted much attention from the market.
Odaily Note: Please refer to APR exceeds 200%? The old king of DeFi AC enters the algorithmic stablecoin .
The currently known information is that the stablecoin is expected to be released in 4-5 weeks. Although the excessively high APR looks scary, the usual logic of playing it is enter the market early to make money, enter the market later to pay the bill. Interested users are advised to click the alarm and act in time.
Vest Annualized Surging
Finally, I would like to add that the APY yield of LP of Vest recommended on March 17 has increased to 30%. The six-month points plan has just been launched for two weeks, so there is still a long period of time to participate.
