Even during a downtrend, there are still massive opportunities to profit in this market via DeFi. The two strategies I’ll outline today allow you to earn income on both stablecoins and your favorite tokens, so you can keep on stacking when the market is low!
TLDR:
- You can earn great yield on stablecoins in ProtoFi
- The ‘Pirate Party’ pool is an amazing staking opportunity on Fantom
- Why yield farming in a downtrend is so important!
ProtoFi
The first strategy is hot off the press, thanks to a new gem on Fantom that allows you to earn crazy yields (on both your stablecoins and FTM).
Let’s run through a step-by-step process on how to stake on ProtoFi (and earn anywhere between 50-2000+% APR.
This unique “dual token” system (PROTO and ELCT) means you can stack your rewards in a way that suits your risk tolerance. For the least risk averse, you can simply compound stablecoins (MAI-USDC) for 95% APY. For degens with an appetite for risk, you can use your rewards to stack ELCT through the PROTO-USDC or PROTO-FTM pools (paying 1900% APR). I’ve provided some ideas in the above thread!
Route2FI also covered this strategy in a tweet:
Remember, holding the PROTO token itself is a high-risk play, so make sure to do your own research (DYOR) and consider the risks before investing. ProtoFi has been audited by Certik and KYC’d by Rug Doc, but like any DeFi protocol, there are always risks. I highly recommend reading the whitepaper for further information.
Pirate Party
Another great staking opportunity in the Fantom ecosystem has just arrived on Beethoven X! It’s a new pool allowing you to stake your LQDR (with no lockups!).
LQDR has shown impressive relative strength and stability in recent weeks due to strong demand, fuelled by its utility. It remains one of my favorite DeFi projects and is a future blue chip of the Fantom ecosystem.
This strategy allows you to earn yield on your LQDR, allowing you to stack any token of your choice with the rewards. For more detail about my preferred strategies, check out my ultimate Pirate Party staking thread:
As you can see, the power of yield farming on Beethoven X is huge. Best of all, there’s a strategy for everyone based on individual risk tolerance and overall goals. For those looking to stock up on stables (to take advantage of dips!), you could combine these two strategies via filtering LQDR rewards into the ProtoFi stable pools!
Banter’s take
Don’t panic when the market is dropping. Instead, think of it as an opportunity to accumulate quality tokens at better prices! As Miles puts it, yield farming can unlock the key to passively Dollar Cost Average (DCA) into quality projects; when the market flips, you’ll stand to benefit in spades.
