“We want inflation” “We want inflation” cried the Central Bank policy maker since 2009 📢
2021 Mr. Banker shouts “Inflation is back, Wages are up, Long Live the King” 👑
2022 storms in “Prices are up, supply chains are out of whack, margins are compressing. KILL THE KING” ☠️
2021 Mr. Banker shouts “Inflation is back, Wages are up, Long Live the King” 👑
2022 storms in “Prices are up, supply chains are out of whack, margins are compressing. KILL THE KING” ☠️
Global Central Bank policy has largely shifted from dovish 🕊️ to hawkish 🦅 in a matter of a couple months, as the Central Bankers try to kill their own King 👑
This shift to tighter monetary policy has caused markets to reprice assets to reflect the new regime 📉
This shift to tighter monetary policy has caused markets to reprice assets to reflect the new regime 📉
A flight to cash has been the theme in markets thus far for 2022 💸💰
Fixed Income, Equity, and Crypto markets have taken a beating as a result 📉
In crypto leveraged buyers have been liquidated, prices have been cut in half, and Degens are seeking safety 🦺
Fixed Income, Equity, and Crypto markets have taken a beating as a result 📉
In crypto leveraged buyers have been liquidated, prices have been cut in half, and Degens are seeking safety 🦺
Meaning Stablecoin yields are harder to come by as demand has increased
So how do you preserve capital and find attractive yield opportunities amidst the uncertainty?
So how do you preserve capital and find attractive yield opportunities amidst the uncertainty?
1)👀Explore Overlooked areas
👨🌾Farm outside the US – look to foreign-denominated stablecoins
👨🌾Not a slave to the US dollar – take advantage of ‘higher’ yielding opportunities in your local currencies
👨🌾Farm outside the US – look to foreign-denominated stablecoins
👨🌾Not a slave to the US dollar – take advantage of ‘higher’ yielding opportunities in your local currencies
👨🌾If you don’t live in those certain countries, you can still capitalize on these farms by sacrificing some yield in exchange for hedging or partially hedging foreign exchange risk
2)👀Cross-chain yield arbitrage & ‘pseudo’ delta-neutral strategies
👨🌾We live in a multi-chain world, so capitalize on it. Find places where you can borrow assets for cheap, and bridge over to younger and newer chains where yields are still high
👨🌾We live in a multi-chain world, so capitalize on it. Find places where you can borrow assets for cheap, and bridge over to younger and newer chains where yields are still high
👨🌾 Consider borrowing volatile assets that you fully collateralize, and explore protocols with higher yields on single staking, or providing liquidity
👨🌾Combo both borrowing and leverage to hedge exposure to price fluctuation while farming with liquidation protection
👨🌾Combo both borrowing and leverage to hedge exposure to price fluctuation while farming with liquidation protection
3) 👀Take Actively managed positions
👨🌾Crypto opportunities come and go at crazy speeds. Constantly monitor new protocols and chains to take advantage of high APR’s before the pool is discovered by the masses
👨🌾Crypto opportunities come and go at crazy speeds. Constantly monitor new protocols and chains to take advantage of high APR’s before the pool is discovered by the masses
👨🌾Although the business of DeFi has inherited costs (e.g. bridging, swapping, gas, negative slippage, etc.), being early can often offset these costs. Alternatively, having a large portfolio to play around with can completely negate DeFi related expenses
We know this might all seem very complex, but fret not — the experts at $FFF are here to help you navigate this new macro and crypto regime while you sit back, relax and earn passively! #FaaS
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