A recent stablecoin investment activity from a leading exchange is quite interesting. The lending interest rate is stable at 10.49%, and the top 50,000 stablecoins in the investment can earn an annualized return of 20%—creating an arbitrage opportunity.
Let's do a simple calculation: if you have other assets, you can use stablecoins to borrow and then invest the borrowed funds into the investment, earning a net APR of 9.5%, without worrying about stablecoin de-pegging issues.
On a numerical level, after deducting borrowing interest for every 10,000 stablecoins, you can earn 2.603 coins per day, and with the full 50,000 coins invested, you can net 13.014 coins daily. The activity ends on January 24th at 8:00 AM (UTC+8), which means there are 18 days left to participate, so act quickly if you're interested.
The path to enter lending is: Trading → Margin → Borrow/Repay → Select Stablecoin.
Of course, risk warnings are essential. When using borrowed assets, it's best to choose delta-neutral assets, keep leverage within a controlled range, and prevent liquidation caused by price fluctuations. After all, no matter how attractive the investment returns are, you need to stay alive to enjoy them.
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
22 Likes
Reward
22
9
Repost
Share
Comment
0/400
SerumSquirrel
· 01-07 06:52
Wow, this arbitrage opportunity is a bit outrageous, with a net profit margin of 9.5%... Should I jump on board quickly?
View OriginalReply0
AirdropHunter007
· 01-05 18:27
A 9.5% spread, this activity does have some substance, but I feel like someone always gets liquidated directly because they greedily chase this small profit.
View OriginalReply0
BottomMisser
· 01-05 18:24
A 9.5% spread sounds good, but I've seen this trick too many times before.
View OriginalReply0
FreeMinter
· 01-05 04:01
Damn, this spread is a bit too tempting, but brothers, don't get caught off guard. These kinds of promotions often have pitfalls.
View OriginalReply0
FOMOSapien
· 01-05 03:54
Here comes another opportunity to exploit the exchange's freebies. The arbitrage space is indeed good, but you have to come out alive to consider it a profit.
View OriginalReply0
LonelyAnchorman
· 01-05 03:52
A net interest margin of 9.5%, there's nothing wrong with that logic... but how many truly dare to all in?
View OriginalReply0
GasWrangler
· 01-05 03:48
technically speaking, that 9.5% spread looks mathematically superior on paper but the real question is—what's the actual gas cost to execute this? if you analyze the data, most people just yolo'd into this without calculating the transaction throughput implications. sub-optimal execution as usual tbh
Reply0
VibesOverCharts
· 01-05 03:39
Another new trick to harvest the little guys, this time wrapping the numbers in a really fancy way
View OriginalReply0
ProposalManiac
· 01-05 03:31
This arbitrage opportunity, to put it simply, is an exchange's incentive-compatible design—using 20% financial returns to exchange for trading volume, with a lending interest rate of 10.49% as the baseline, and returning a net profit margin of 9.5%, which is attractive. But the problem is, these activities often have hidden liquidity traps, and a full quota of 50,000 isn't available every day.
A recent stablecoin investment activity from a leading exchange is quite interesting. The lending interest rate is stable at 10.49%, and the top 50,000 stablecoins in the investment can earn an annualized return of 20%—creating an arbitrage opportunity.
Let's do a simple calculation: if you have other assets, you can use stablecoins to borrow and then invest the borrowed funds into the investment, earning a net APR of 9.5%, without worrying about stablecoin de-pegging issues.
On a numerical level, after deducting borrowing interest for every 10,000 stablecoins, you can earn 2.603 coins per day, and with the full 50,000 coins invested, you can net 13.014 coins daily. The activity ends on January 24th at 8:00 AM (UTC+8), which means there are 18 days left to participate, so act quickly if you're interested.
The path to enter lending is: Trading → Margin → Borrow/Repay → Select Stablecoin.
Of course, risk warnings are essential. When using borrowed assets, it's best to choose delta-neutral assets, keep leverage within a controlled range, and prevent liquidation caused by price fluctuations. After all, no matter how attractive the investment returns are, you need to stay alive to enjoy them.