Logical Graphs LLC

Friday, May 6, 2022

Daily cryptocurrency income report, 2022-05-06

Daily #cryptocurrency income report, 2022-05-06: $142.65*

@TeamKujira lead the charge today, there were some other contributors, but this is where money was made today.

*does not include auto-restaked yields nor x-token gains

Daily cryptocurrency income report, 2022-05-05

Daily #cryptocurrency income report, 2022-05-05: $73.91*

It was an all-Harmony day, ... THEN CAME @mars_protocol. A 300%+ arb will do that.

Does not include auto-restaked yields and x-token gains.

Thursday, May 5, 2022

"If YOOOOUUUUU had $1000, ..."

"geophf, if 𝖞𝖔𝖚𝖚𝖚𝖚 had $1000, where would you invest it?"

First of all: yes, AND...

...may I have another $2000 on top of that, please, because the opportunities are flying, friends. They are flying.

Let's take a look.

First of all: $LUNA.

I need more $LUNA. #Evergreen 🌲

So:

buy $LUNA at a discount, which means for me: bids on @TeamKujira

buy $LUNA at arbitrage. @afctoma mentioned a $LUNA -> $pLUNA / $yLUNA -> $cLUNA -> $LUNA arb on @prism_protocol looks juicy rn.

The @astroport_fi lock-drop is working well for me: I have a LOT of equity locked away, and I'm getting paid in yields for the lock-drop.

@ApolloDAO now has an $xASTRO lock-drop that pays in $APOLLO. As both tokens' outlook has improved (a LOT), this looks juicy to me.

Arbitrage in general:

$MARS arb @mars_protocol: 354.09% (HOLY WHAAAA???) 😱😱👻

$ONE arb on Harmony @tranquil_fi: 52.99%

$PRISM arb @prism_protocol: 45.57%

Yes, please, to all of these.

Anywhere where they PAY me to BORROW tokens (in a δNeutral-fashion), I'm there.

Right now, both @tranquil_fi and @BenqiFinance are PAYING me (in their respective protocol tokens) to borrow crypto.

Yes, please, and may I please have more o' dis?

Lastly, the 2x leveraged Martian fields on @mars_protocol.

Three amazing protocol tokens, three amazing leveraged rates, but ... I have just one question:

wen 4x leveraged fields, o @mars_protocol? 🥺🥺🥺

Wednesday, May 4, 2022

Daily cryptocurrency income report, 2022-05-04

Daily #cryptocurrency income report, 2022-05-04: $83.79*

This was a harmony-day today, all the way, with game-fi dominating, although it's nice to see a bit of variety from @finance_unite and @tranquil_fi.

*does not include auto-restaked yields nor x-token growth.

Monday, May 2, 2022

TERRA: 'Dry powder'

"Dry powder"

Let's talk about bonded assets on @anchor_protocol for a second. I got this idea from where @DeFinalFantasy gets his dry powder on the Terra blockchain.

Okay, there are several different ways to use bonded assets (like: $bLUNA), e.g.:

bLUNA-LUNA LP
bLUNA collateral @anchor_protocol borrow
bLUNA autocompounding vault @NexusProtocol
nLUNA-PSI LP
... and 'dry powder.'

Each * CAN be a thread. We'll focus on the last one.

So: what is 'dry powder'?

$UST.

#thatwaseasy

How do you get dry powder? That's easy, too:

buy it
swap for it (but my precious LUNA!?!?!)
borrow it on @anchor_protocol borrow (but you have to pay it back, maybe, someday).
the fourth way @DeFinalFantasy showed me.

Let's focus on that fourth way. Getting protocol tokens on Terra is easy: you stake or you LP-up that protocol token, usually with $UST, and you get more of that token. This model is repeated vociferously throughout the blockchain.

Except for $UST, so I'm always $UST-poor. 😢

So, I'm $UST-poor? The fourth method: @LidoFinance TO THE RESCUE!

Lido allows you to 'BOND' your (underlying) assets to (bonded) assets (implicitly: with them).

You can go to their main page to see what's the rate of return for each asset-type.

Okay, but that's @LidoFinance ... who cares?

Well, I do, and everybody on Terra does, because Lido is the platform that owns the bonded assets on Terra.

You wan' proof? 😎

Let's go to @anchor_protocol bAssets page. What do we see?

Our bonded assets generating $UST. SWEET!

As you see, I'm accumulating a little bit o' dry powder with my little bit o' bonded assets. The more bonded assets you have lying around, the more dry powder you accumulate. It's that simple.

Now let's talk

advantages,
disadvantages,
alternatives.

Advantages

You have $LUNA lying around, doing nothing.

You have $bLUNA lying around, THE EXACT SAME THING (almost 😅), earning you $UST at 7% (now).

NO BRAINER! ... maybe.

Disadvantages

There're downsides.

1) You have to BOND your asset, meaning arbitrage opportunities (at a usual 20%+ gain) basically evaporate.

2) You have to have your assets LYING AROUND, LOUNGING ABOUT, DOING NOTHING!

These are very serious concerns for me, a yield-farmer.

Alternatives

You can get dry powder in (a very few) other ways than bonding assets
You can do other things with your assets that get you better rates of return.

Let's break down these alternatives.

Alternative methods to get $UST:

@anchor_protocol EARN at 18%.
@Reflectaverse $rfUST which I measure to be 31%. Not bad, actually!
@SpecProtocol 180-day locked $SPEC stake at 14%. m'kay
@RVRSProtocol $RVRS stake at '400%,' ... they claim. My measure is ~24%.

There are a couple other alternatives and two alternate $UST capital-preserving approaches:

@TeamKujira pays 12.5% on ACTIVE $aUST bids
@WhiteWhaleTerra pays ~0.5% over @anchor_protocol EARN

Capital-preserving δNeutral strategies:

@mirror_protocol
@ApertureFinance

So, dry powder.

The thing is, it's a trade-off, right? You make 5-20% $UST on your asset, or you apply your asset to grow many (many, MANY) times faster, and sacrifice the dry powder.

I'm choosing the latter for now, but it's good to know I can do the former down the road.