I think people often overlook that APYs are huge downside protection if you lock them frequently enough.

Getting 20% APY on your CRV on a new farm?

If you compound it, that means CRV could drop 20% and you'd break even.

But, that requires gas. It's one of the whale games that makes farming better if you're already wealthy.

Whales will dump and relock, while retail has to take the gamble on if the farming coin will still be worth the same in the future.

That's why things like $YFI are so important, outsourcing those compoundings to a collective group is like a wealth cooperative that shares the cost burden and makes these strategies accessible to the average user.

But think of how your approach changes if instead of having a 20% potential upside, you had a 20% downside protection as well, how would that change your risk models?

We don't decentralize finance by putting tradfi on-chain.

We decentralize finance, by closing the benefits of the wealth gap and making finance accessible to anyone who is willing to dive-in feet first.

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More from @adamscochran

16 Jan

Don't fade Walmart.

They've been aggressively hiring former bank execs, recently partnered with Ribbit Capital, and have a huge financial services division.

But people also don't realize, Walmart is technically one of the biggest finance companies in the US already.


There are over 4800 Walmart Moneycenters which allow customers to cash checks, money orders, pay their taxes, pay bills, get a Walmart moneycard (debit), reloadable visa's, Walmart credit card or do a Walmart2Walmart cash transfer.
Read 11 tweets
14 Jan

If you're curious about how we get to a future with like $10+ $CRV, and $100+ $CVX it's this little contract right here - and it has arrived far sooner than I expected.


That contract is the base for Curve V2 as a factory that is designed to let anyone make pools just like they do on Uniswap.

So why does that matter?

Because in their deployment logs you'll notice there is also a 'Gauge Template'


And a gauge is what allows the pool operators to set rewards for the pool.
Read 10 tweets
10 Jan

The @VotiumProtocol vote bribes (for locked $CVX) this week are coming in at an average of $0.70 per locked CVX.

Making the APY 50% + 3.88% lock reward and that's in a down market. Plus most of the reward assets have upside potential.

For example if the ALCX you earn on the Alchemist pools goes up, that's adding to your APY.

This rate is while $CVX is down about 22% from its highs.

There aren't many protocols that churn out diverse, external real revenue and continue to do so in a market dip. The resiliency of locked Convex is impressive.

But its mostly overlooked because the real returns come from Votium delegation and aren't on the Convex website.
Read 4 tweets
7 Jan

Lot of bearish stuff in the markets right now, and I'm pretty bearish on the majors for growth and think the safe rotation to value is the play for '22

I think we'll see a lot of things that were hyped on *potential* go to zero.

A lot of projects will fold, a lot of gaming stuff drops off, and a lot of anon-founders disappear. (Which is a huge upside of bluechips both anon and non-anon who have been through a bear market before)

The thing that stuck out to me as the most bearish though that wasn't on-chain was actually private companies.
Read 5 tweets
5 Jan

The Fed suddenly speaking of balance sheet run off moving quicker is kind of bearish for the macro and growth.

Rate hikes + tappering + run off of the book accelerating would be tough.

That's why both crypto and tradfi markets had a nuke at the same time today.

To put it in perspective when we last had rate hikes and book run off, traditional markets put in a 20% correction from peak high to low.

Powell is familiar with that, since he was around then, so it probably doesn't go that aggressive.

Likely that the let a lot of the book expire off rather than selling which would really spook the tradfi market, but its a very different position from the last FOMC meeting.
Read 8 tweets
5 Jan

On behalf of my delegates, I've voted against the $ENS EP2 proposal.

While this proposal is likely to pass, I still felt a dissenting vote was important, and promised my delegates I'd always give them an explainer thread on votes.


EP2 proposed an additional airdrop for an edgecase of users who:

-Got the ENS airdrop.
-Were active ENS users
-But did not get the 2x multiplier due to their mapping being to a second account.

While I understand the spirit of wanting to give them the additional rewards, I also believe that no airdrop is going to be perfect.

But that it is important to not relitigate.
Read 8 tweets

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