Recently, I transferred most of my holdings of a certain coin into its native defi. I figured I would get a higher interest there than in the cold wallet I placed it in. They originally came from my Binance wallet and earned there from staking. Cost me a lot of fees to transfer but yeah, with the FTX news, and subsequent Genesis and Gemini fallout, it was the right thing to do. Lo and behold, a day or two of transferring it to the defi and Binance increased their interest rates for staking that were much higher than where I placed my coins. 🤦‍♂️What extra ordinary luck wouldn’t you say?

Sucked, but I needed to keep moving forward. Anyway, those several days in the defi, allowed my holdings to generate interest. So what I did was claim the interest, then placed it in the maximum number of days staked (120 days) at 8x multiplier. I was curious and wanted to see if this will earn more quickly. This greatly increased the APY to 110% but bear in mind though, that such parameters can cause you to lose all your investment as well. Since this was just the interest I have earned so far, I figured what the hell. Let’s see what this will do.

Two days into it and it has generated interest so far. But the health factor (a sort of metric that this defi uses to inform you if your investment is at risk of being liquidated) has gone down significantly. Simply put, my investment is in danger of going to zero. 🤣

This was done to fully understand the risks involved. And based on what is happening, this feels a little like gambling to me. The amounts were negligible and if it goes to zero then so be it, but the important thing is, lesson learned. The bulk of the holdings is still at a risk free investment at 4.67% APY so am pretty pleased with the outcome.

The coin recently launched its stable coin, and although it did affect the price positively, it was short lived. This was the one that cost me a 70% loss as I bought the coins while it was going up back in 2020. By the time prices went down, there weren’t a lot more gas left to do DCA. But my belief in this project is near unshakeable. I’ve done my research, and believe that the team handling this is on the right track. Security is one of the main priorities and they don’t get bamboozled by the cry of investors to come up with updates or software releases regularly to prop up the price. To me, this shows that this company has their priorities right.

I figured that probably a few more years and this thing might be the standard for stable coin implementation. Until then, my holdings will be staked and the interest will help a lot when this thing goes up in value.