First – why? Since 2022 BTC is correlated to Nasdaq more than ever. So what do we get from investing in BTC? High risk (high reward) with a bonus of tax problems and inability to move liquid funds (to your traditional bank), you can’t use it as collateral on traditional banks, etc. Oh, another nice… Continue reading Half-exit / rebalance strategy
Category: Stablecoin Yields
Learn from your success, not only from your mistakes (!)
Like everyone else (except from some liars) I can’t predict the future. HOWEVER, I can hold a strategy, test it against possible scenarios, and acknowledge its pros & cons for each case. And learn & adapt over time. First – retrospective We get attracted to crypto on bull runs, and reject our plans during bear… Continue reading Learn from your success, not only from your mistakes (!)
Stablecoin yields during recession
Anchor Protocol Anchor protocol (Terra) gives a fixed ±19.5% APY for UST. They can’t go on like this forever, otherwise they’ll be running out of business. You can read here (or everywhere else) the whole reason, long story short – their income which is based on interest from lending is much less than the interest… Continue reading Stablecoin yields during recession
Russia-Ukraine conflict and your Alts – 19 Feb 2022
Is BTC indeed the safe heaven in crypto space? Everyone talks about Bitcoin, assuming alts gonna act proportionally to BTC movement on such uncertain periods. Some claim BTC is the safe heaven on these times. Well… they’re both wrong: The truth is – there are two levels of uncertainty on this game. Lets look at… Continue reading Russia-Ukraine conflict and your Alts – 19 Feb 2022
How to Design the Ultimate Crypto Portfolio
Background, and yes – you have to read this. During Bull Runs, almost everyone win. Well… you can only look at the most winning coins or farms and wish you’ve been there earlier, however it’s endless, and pointless. During Market Crash or worst – a long Bear Market era, almost everyone lose. Well… you can… Continue reading How to Design the Ultimate Crypto Portfolio
The Two States Portfolio Strategy
The Two States Portfolio Strategy Non-stablecoins portfolio. When BTC reaches ATH, wait couple of days to make sure the downward trend from ATH is not momentary, and then switch to #2. Stablecoins only. When BTC drops ±30% below latest ATH and stays on this level at least 2 days, switch to #1. According to the… Continue reading The Two States Portfolio Strategy
Things you need to consider before investing with stablecoins
APR / APY – I know, it’s the only thing most of you look at. Take a look at Farms scanner to compare yields. TVL – Total Value Locked is important here from two aspects: a) If it’s low it might mean the APR is going to decline soon when other investors will follow you.… Continue reading Things you need to consider before investing with stablecoins
How to invest in Frax Finance (Polygon) to get ±50% APR
Edit Jan 19 2022: their APR dropped dramatically, due to non voting for this pool. Since Polygon users can’t vote (according to time of writing), it seems unfair and I’ve complained in their Telegram – they doesn’t seem to care so I encourage everyone strongly to withdraw funds from Frax Finance ASAP and if you’re… Continue reading How to invest in Frax Finance (Polygon) to get ±50% APR
Mirror – Short, Long Buy Neutral (how to)
Background Anchor on Terra gives fixed ±19.5% APY. Mirror on Terra lets you trade popular US stock market assets. It’s not directly those stocks/securities, but crypto tokens backed by those assets, usually costs higher than market value of those shares. Mirror also have the option to short those assets, and also farm the assets –… Continue reading Mirror – Short, Long Buy Neutral (how to)
Risks
Well.. here is the ‘fun’ part. Smart Contract risk – bugs, hacks, etc. ‘Bank run’ – all investors will ask for their money back almost at the same time, the last ones will be left without liquidity. Stablecoin losing it’s peg – we’re talking almost exclusively on USD-pegged stablecoins. Some of them might get value… Continue reading Risks