Discover and read the best of Twitter Threads about #realyield

Most recents (23)

$GNS Single-Sided Staking goes live in under 2 weeks 🍏

Here's how we're bringing #RealYield to our native token:

(thread 🧵)
When a DeFi protocol offers "yield", the 2 most important questions to ask are:

1/ Where is the yield coming from?
2/ Does the yield's means of distribution have stability?

Let's discuss both as they pertain to $GNS staking (coming in v6.2).
The vulnerabilities of emission-based yield came to light in the last cycle.

In contrast, #RealYield:

• Doesn't require an inflationary token
• Is far less correlated to market news and prices
• Distributes fees from a service that customers pay for
Read 10 tweets
As we know, @LiquityProtocol allows users to borrow $LUSD (with $ETH collateral) for a one time borrow fee (no accruing interest!)…

But how exactly is this borrow fee % derived?

How does it react to $LUSD peg fluctuations?

Let’s dive in 🧵👇
Currently, if I were to mint/redeem $LUSD, I would be charged a .5% borrow/redemption fee.

(Smallest fee possible, and will likely be .5% the majority of the time, especially during times of mkt volatility/depeg to the upside)

However, the fee CAN alter if LUSD slips below $1…
Here’s how it works:

If LUSD <1, users will swap for LUSD in LPs -> arb by redeeming LUSD for 1$ worth of ETH collateral from the trove/s with the lowest C-ratio/s whilst paying their LUSD debt off -> LUSD price⬆️ + trove C-ratios⬆️ + borrow/redemption fee⬆️

(Example below👇)
Read 19 tweets
1/ In less than 3 weeks, $UMAMI's $USDC vault is already capped at $5.5M😳

Now, that's #RealYeild in action.

Umami Finance is pioneering the institutional adoption of DeFi.

A 🧵about @UmamiFinance and it's innovative PRODUCT.
2/ Here's what I'll cover:

- Overview
- USDC Vault
- Tokenomics
- Team
- Risk
3/ Overview

Umami Finance is a DeFi protocol that uses a delta-neutral strategy to collect yield from GLP and hedges it via @TracerDAO.

Umami's vaults are built using trustless, non-custodian smart contracts hosted on @arbitrum
Read 18 tweets
V2 is LIVE ! 🧵

Users can now access SpiritSwap V2 beta via the following link :

Users can read our full medium article on protocol upgrades via:…
We want to stress that this is a public beta round which will run for a few weeks, while we take feedback from the community & fix any bugs that are reported. Once the beta testing is completed and bugs squashed, we will then revert our URL to face V2 permanently.
Here's a quick TLDR surrounding some of the main upgrades that V2 includes.

- Hybrid AMM model

- Addition of new vAMM (Solidly adaptation)

- Addition of Stable (sAMM)

- Further addition of linear sAMM and weighted pools (V2.1)
Read 24 tweets
Dopex just released Atlantic Straddles which gives users another venue to earn yield on stables.

This is the first simplified options strategy on the protocol that is done in one click.

Let’s start from the basics to understand how to use them.…

This is an option strategy where a put and call of the same strike price and expiration date are purchased.

The strategy available today is a Long Straddle which requires the purchase of an ATM call and ATM put allowing the buyer to profit off volatility. Image
Catalysts such as a CPI print or the merge are situations where one would want to purchase a long straddle.

If you’re expecting the ticker to trade sideways, you’ll want to sell a straddle.

If one is expecting volatility, you’ll want to buy a straddle.
Read 12 tweets
The #RealYield phenomenon. Can the narrative ignite a new bull market or will it fade?
Let's explore.
After a severe bear market, triggered by ponzi tokenomics that took down the 40 billion dollar sandcastle that was $LUNA, the market is seeking fundamental value instead of chasing promises of economic perpetuum mobiles where you get stuck holding the bag once the music stops.
This sentiment is perfectly relayed in @elliotrades recent video where he reviewed his own mistakes during the last bull market and the lessons he takes from them.
Read 18 tweets
/1 @redactedcartel is the next project that will generate #RealYield for its token holders!

Here's why you should pay attention to Redacted🧵👇
/2 Overview

The project mission is to build different products that empower on-chain liquidity, governance, and cash flow for DeFi protocols.

A part of the generated revenue will be sent to @redactedcartel token holders in the form of ETH rewards.
/3 Where is the project revenue coming from?🤔

The project launched 2 products:
-Hidden Hand

50% of the Hidden Hand's fees and 42.5% of Pirex's fees will be sent to $BTRFLY holders.

Also, 15% of treasury earnings are shared with token holders.
BTRFLY-Redacted token
Read 14 tweets
$GMX is one of the biggest narratives in #DeFi right now, I took everything important about @GMX_IO and put it into this thread.

If you want to trade with reduced fees:

Now, grab a coffee and enjoy the education: 🧵👇
1. @GMX_IO is a decentralized spot and perpetual exchange that supports low swap fees and zero price impact trades.

2. Liquidity providers earn fees from market making, swap fees and leveraged trades. The resulting unique multi-asset pool is used for trading with zero price impact.
Read 20 tweets
#RealYield is the next DeFi trend.

Tokens to keep an eye on:

• $GNS
• $GMX
• $CRV + $CVX
• $DPX
• $SNX
• $GLP

Categories they fall under:

• Decentralized leverage trading
• Synthetic asset issuance
• Risk-hedged yield vaults
• Liquidity ecosystems
If you like this post, you'll love The 9 to DeFi.

A weekly newsletter to help DeFi writers and investors monetize their efforts. All in pursuit of ditching the 9-5.

(always less than 4 minutes to read)

Join here:
If you want to know everyone’s bags, just scroll the comments 😂
Read 3 tweets
August 4, 2022: #RealYield 🔻💰

Overview of Protocols Passing Along Revenues

Is this a trendy hashtag or a real phenomenon? Read on
#RealYieldSummer began with a tweet by @IntrinsicDeFi of @UmamiFinance on, appropriately enough, 6/9:

Real Yield is meant to refer to protocols that earn money and pay it through to users, in contrast to protocols with nothing to offer but emissions

The hashtag has caught on among a very smart set of commentators.

It was the only alfa @0xAlunara was willing to drop in last week's interview:…
Read 6 tweets
If you’ve ever minted $GLP on @GMX_IO, you may be leaving money on the table.

Let’s talk about how to get the most out of your dollar to get that sweet #RealYield.

$GLP represents an index of assets that is used for trading on their platform.

Users are able to mint $GLP with any index asset and may also burn $GLP to redeem any of the index assets.
While $GMX is the governance token of @GMX_IO, $GLP is an option for those that would prefer their primary yield be in $ETH like @0xSifu.

Since $GLP is composed ~50% of stablecoins, it will be more stable than other tokens while retaining some upside of $ETH and $WBTC.
Read 9 tweets
Now that it's #RealYield season, let's compare revenues and valuations of a few prominent decentralized perpetuals exchanges.

I will be comparing $DYDX, $GMX, $GNS, and $IDEX in this thread.

Firstly, we look at $dYdX / @dYdX , the largest and most used perpetuals DEX currently on the market.

We can see that at current volumes and fees, the $dYdX token is being traded at a 12.91 P/E ratio.
While they do currently revenue share, with the planned transition to V4, @dYdX has plans to decentralize.

The tokenomics of this is still TBD, but for this comparison I have assumed a realistic scenario in which token holders get 50% of revenue.

Read 21 tweets
DeFi protocols are generating $1M+ in fees every day in a bear market.

Here’s how you get your share of passive income as the #RealYield narrative takes hold.
Previous cycles were dependent upon inflationary emissions of various governance tokens.

The #RealYield era is focused on sharing of protocol fees.

There's a few choices, let's talk about how to find them. Image
First, you need to find the protocols that are generating the most fees.

This is where you get that info:

Only certain protocols share fees with holders.
Read 9 tweets
GMX: The Genius Behind Multiplier Points

For some time now, @GMX_IO has been a CT darling and is one of the best places to trade perps on-chain. Today we’re going to focus on multiplier points (MPs) as they are are an innovation upon the accepted ve- token model.
What are multiplier points?

Put simply, they are a mechanism that serves to reward long term holders without contributing to token inflation. When $GMX is staked, the user receives multiplier points every second at a fixed rate of 100% APR.…
Each MP earns the same amount of rewards as a normal $GMX token that is staked and will earn the corresponding $ETH or $AVAX rewards.

It seems @CryptoHayes understood this earlier than most and has consistently added to his position.

Read 9 tweets
6 months ago I shared my thesis about the incoming "GMX Wars" to celebrate the 10 billy mark

Now at $50B the thesis is turning into reality

GMX has appreciated 50% in ETH terms since then

Maybe fading.exe is not the best strategy now anon?

1. The bull case for any coin is pretty simple as the chad @Ninjascalp shows

Having more buying than selling = numba go up

Token needs to be more attractive for holding than the selling pressure it will face

Being attractive not always equals utility

2. But in the case of $GMX we will make them equal to be fundamentally based

These were and still are the main levers for proving utility in GMX

They need to be profitable enough (directly or indirectly) to offset the extra supply hitting the market

Read 21 tweets
$UMAMI's $USDC vault finally launched yesterday & was at capacity in 30 MINUTES

I analyzed the impact to protocol revenues / $UMAMI stakers and the results were bullish to say the least 🚀


Some background, $UMAMI launched on Arbitrum as an $OHM fork (RIP)

Like many other rebasing tokenomic models, the price 📉

New leadership was brought into the project in early 2021 & they pivoted to a new delta neutral yield farming strategy for their treasury

The team began laying the foundation for institutional caliber #realyield strategies
✔️ Updated tokenomics / rebasing eliminated
✔️ Audits / testing
✔️ New UI
✔️ Fiat on/off ramps
✔️ Robust roadmap

Read 24 tweets
$GLP will transform the Defi ecosystem. Here's a 🧵 on why.
First, some context on what $GLP is. GLP is a token asserting partial ownership of $GMX's liquidity pool. You can mint GLP by depositing funds into the GMX liquidity pool and redeem GLP for a share of funds in the liquidity pool.
GMX deploys the capital in its liquidity pool, and uses it to provide margin for leverage traders. Liquidity providers (GLP owners) profit when traders are unprofitable, and lose when traders are profitable.
Read 21 tweets
Linn's Learnings - #5 - 15/02/2022

(1) @DegenSpartan teaches us perceived value matters more than true value:
(2) @mansourtarek_ I tweeted out about the Bullwhip effect the other day, important to understand:
(3) @SalomonCrypto The amount of likes on this post is criminally low for the quality of content:
Read 19 tweets
Lets L👀K at the tokenomics & catalysts of @GMX_IO.
$GMX is low float & generates #RealYield w/fees paid to stakers in $ETH.

Max supply is 13.25M $GMX
Current inflation occurs mostly from:
🫐250k $GMX distributed linearly to team over 2yrs
🫐750k $esGMX left in 2022
Its important to recognize the supply of $GMX is very low. There is a total circulation of:
7,750,104 $GMX & 2,187,232 $esGMX = 9,937,336

This means, only 3.3M $GMX are left to POTENTIALLY enter circulation (24.9%). I say potentially bc most (only 37k) $esGMX is not vested.
The $esGMX emissions schedule was revised to permit dynamic APR to $GLP w/a target APR of 35% for June 2022 & 25% starting August 2022.

Only 750k $esGMX remain for distribution: 400k to $GMX & 300k to $GLP (#Arbi & $AVAX).
Notably, $esGMX ⬇️ sharply in Sept 2022 for $GMX.
Read 10 tweets
A #RealYield trend on #CT was started this week by DeFi natives @IntrinsicDeFi & @MrGrumpyNFT.

What does this mean? It means DeFi 3.0 protocols like @GMX_IO, that are low or non-inflationary, pay protocol revenue to stakers in non-native tokens like $ETH.
🧵👇 Image
Derivative exchanges like @GMX_IO & $GNS benefit token holders because trading profit thrives in volatility.
The House 🃏generally wins.
Consider the $GMX net P&L below. This results in a 70% revenue distribution to $GMX's collateral vault, $GLP, & 30% 💰 to $GMX stakers.
👇 Image
During a 🦀, @GMX_IO loses value bc traders are unlikely to open new positions due to lack of volatility. This can lead to ⬇️ token price short term.
However, as volatility goes up, for example, around release of the US FOMC minutes 7/6/22, trading volume + OI ⬆️=💰
👇 ImageImage
Read 12 tweets
Umami’s premiere Delta Neutral USDC Vault is only days away from launch! 👀

Want to get up to speed? Check out this 🧵 for an overview!

Umami’s core value proposition can be summarized in one phrase: #RealYield.

The $UMAMI token & its $USDC Vault source APR from sustainable protocol revenues, not inflationary emissions.

The USDC Vault also hedges out virtually all mkt risk!

The Vault is built in partnership w/ @GMX_IO & @TracerDAO.

It sources real protocol revenues via GMX’s $GLP token & neutralizes mkt risk via liquidation-proof hedges from Tracer.

The result: ~20%+ APR in $USDC! 👇

Read 10 tweets
1/ #RealYield is the ultimate driver for #Gold price; to be exact, it's the #negative #realyield that had been driving the gold price!

An important historical fact was during the 1975 - 1980s hyper-inflationary period, #gold went parabolic due to #realyield going "negative"...
2/ Look at the above chart closely, #gold price started to bottom in tandem with #realyield dropping below 0%; conversely, #gold price peaked ahead of the #realyield turning positive.

In other words, gold price can be a leading indicator prior to the #realyield turning positive!
3/ Today's #gold price action (since Aug2020) is reminiscent of the period during #Year2011's peak where #gold price was dropping in tandem with #realyield prior to the bottoming in #realyield;

Gold price then turned decisively lower as #realyield finally bottomed.
Read 8 tweets
1/ The only time during past 10+ years when #realyield was positively correlated with #gold was during #gold's peak in Year2011 where the yield was down together with it initially;

#RealYield then bottomed & #gold continued dropping as it resumed the normal negative relationship
2/ The question is, are we in the same shoes now? (This is #GDX vs. #realyield)
3/ One more important observation, while #realyield was heading down from Sep 2011 to Sep 2012, #gold did not go up for the period as #dxy #usd was on the way up!
Read 4 tweets

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