Do you like leverage? Because I certainly do!
What if you can farm your favorite yield with 10x leverage?? 💰🤑
Let's take a look at @Rodeo_Finance 🧵🐂🧵 (0/19)
1/ @Rodeo_Finance is a protocol #buidl on Arbitrum that enables you to leverage your positions up to 10x 📈
You can farm and lend your stablecoins in the lending pools to earn high-yet-safe yield 💰
2/ Smart Vaults
When user deposits their USDC coll and leveraged assets, it converts automatically into the underlying vault assets.
This removes the need for users to swap or hold specific LP tokens for each DeFi protocol strategy. Also, rewards are auto-compounded.
3/ Users can choose supported yield farming strategies such as
✔️GMX/GLP
✔️Uniswap V3
✔️Sushiswap
✔️Balancer
✔️Kyberswap
✔️Plutus DAO
4/ Rodeo x @GMX_IO
- Deposited USDC are converted into GLP
- GLP will be staked to earn GMX trading fees in ETH and esGMX
- Rewards will be auto-compounded
5/ Rodeo x Uniswap v3
- Deposited USDC will become ETH/USDC LP position
- Earn trading fees
- Accrued fees will be auto-compounded into more LP positions
In the future, Rodeo will provide more Uniswap v3 strategies to earn more yields and hedge position mitigating risk.
6/ Rodeo x Sushiswap
- Deposited USDC will become ETH/USDC or ETH/USDT LP position
- LP position will be staked to earn $SUSHI
- Earned $SUSHI will be auto-compounded into more LP positions
7/ Rodeo x Balancer
- Deposited USDC will become stETH/ETH or WBTC/ETH/USDC LP position
- LP position will be staked to reward gauge
- Earned trading fees will be auto-compounded
8/ Rodeo Kyberswap
@Rodeo_Finance has been integrated with @KyberNetwork top pools such as wstETH/ETH and wstETH/USDC
and will be opening soon! 🔜🔜
9/ Plutus DAO
- Deposited USDC will be converted into $plvGLP
- $plvGLP will be staked
- Earned reward will be auto-compounded
The $plvGLP vaults will be available as part of the open beta launch for @Rodeo_Finance 🔜🔜
10/ @Rodeo_Finance uses tokenized vaults (ERC-4626) that allow for quick and safe integration of new DeFi strategies.
Users mint NFT as a representative of the position that is used for lending and borrowing.
11/ @Rodeo_Finance ribAssets (Rodeo Interest-Bearing Assets)
Interest-earning tokens are just like aTokens on Aave or cTokens on Compound.
ribAssets token is tradeable and transferable like other ERC-20s.
12/ ribAsset token is burned automatically when the user withdraws; the initial deposit + APR interest is received back by the lender.
Each lending pool has its own ribAsset token
i.e., ribUSDC for USDC pool
13/ Lenders
Lenders deposit their USDC into the lending pool, receive ribAsset tokens & earn interest.
APR is calculated based on the util of the lending pool; can be boosted by locking ribAsset for a fixed amount of time & receive a percentage of Rodeo's platform fee
14/ Farmers / Borrowers 👨🌾
Users who borrow funds for leverage yield farming in @Rodeo_Finance are called Farmers.
To be a farmer, users need to deposit USDC into any pools mentioned above and borrow funds via leverage to increase potential APY earned.
15/ How @Rodeo_Finance makes revenue? 💵💲
- Liquidation fee (currently 5% fee that is 50% to liquidator & 50% to protocol)
- Loan origination fee
- Performance fee (10% of any profit)
16/ Tokenomics
Currently, @Rodeo_Finance is developing its utility token which will be released in Q1 2023 ⌛
So, beware of scams!
17/ @Rodeo_Finance also doesn't let users "borrow" against deposits; The funds are all fully controlled by protocol smart contracts.
It's to prevent exploited hack suffered by @LodestarFinance
18/ @Rodeo_Finance' Rodeo Bull Club;
An exclusive club that will benefit more for its members such as unlocking unique NFTs and exclusive access to Rodeo Farms!
You can read more details about Rodeo Bull Club here:
19/ @Rodeo_Finance B
Tagging some gigabrains just because:
@rektdiomedes
@TheDeFinvestor
@Slappjakke
@DefiIgnas
@burstingbagel
@0xTindorr
@Chinchillah_
@DeFi_Cheetah
@DeFi_educator
@alpha_pls
@ViktorDefi
@burstingbagel
@crypto_condom
Thank you for reading. This is just a primer, so follow up with your due diligence.
Anyway, follow me @bizyugo for more protocol threads.
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