Want to earn stable crypto asset yields? Take a look at ListaDAO's lending strategy.

The USD1 lending rate offered by ListaDAO is extremely low, with an annualized rate of about 1%, making this cost very affordable. In comparison, mainstream exchanges' stablecoin investment returns are usually above 15%-20%, leaving a significant interest rate gap between the two.

How to use it? The most straightforward method is to arbitrage based on this interest rate difference. For example, you can collateralize your BTC, ETH, or BNB to borrow USD1 from ListaDAO at nearly 1% cost. Then transfer the borrowed USD1 to an exchange and deposit it into a stablecoin investment product. This way, you can earn nearly 20% annually, which is essentially pure profit.

There are more advanced strategies as well. If you already hold interest-bearing stablecoins—like PT-USDe or asUSDF—you can continue earning interest on them while using these assets as collateral to borrow USD1. This means one asset generates dual income: the original interest earnings remain intact, and the borrowed USD1 can be used for investment and profit-making.

Why does this strategy seem so simple and effective? The core reason is that the interest rate differences in the crypto lending market are substantial. ListaDAO, as a platform focusing on ultra-low interest loans, leverages mechanisms like LISTA governance tokens and USD1 stablecoins to keep borrowing costs very low. Meanwhile, the high yields from stablecoin investments on exchanges are supported by a rich ecosystem of applications and liquidity demand. The interest rate gap naturally creates arbitrage opportunities.

Of course, risks must also be considered. Price fluctuations of collateral, liquidation risks, and platform risks all exist, so it’s not completely risk-free. But compared to simply holding coins, combining lending and investment strategies can increase yields within a relatively controlled range. This is also why more and more people are exploring these interest rate gap strategies in DeFi.