Contest submission: Tinlake DeFi Leverage

Community
1

For my strategy we first start with ETH

  1. Deposit ETH in MakerDao vault to earn 10000$ DAI.
  2. Transfer DAI into tinlake pool to receive DROP tokens as well as RAD tokens.
  3. Stake RAD and receive APY from staking.
  4. Leverage DROP tokens for DAI to repay ETH loan (This part is to lower risk, since DROP token holders are first to be repayed )
  5. At this point positions are as follows: RAD tokens are staking (receiving APY), DAI tokens are pooled in tinlake pool, DROP tokens are pooled to repay ETH loan and ETH is free to be managed for further investment.
5 Likes
2

can you drop link to stake RAD pls. Do they also require KYC to stake in the pool also?

tnx

3

awesome strategy … i cant really grasp on this but it makes sense . Good luck to all

4

https://portal.chain.centrifuge.io
You can make centrifuge address on this link.
Regarding the tinlake pools I believe that they require KYC for you to start investing.

1 Like
5

Hi @mash88 ,

Well I was looking which part has the most risk when investing in tinlake. What I found out was that RAD staking beared no risk since I was getting them for free, DROP tokens have really low risk (my assumptions about the TIN/DROP relationship here:DROP vs TIN - Differences) and since DAI is a stable coin, again no risk here but the risk lies in obtaining DAI. Since I have to lock ETH in DAO vault to obtain DAI I am potentialy missing out on strong appreciation of ETH or I am being liquidated because ETH dropped. My idea was to essentialy switch ETH with DROP token to fund my operations thus severly reducing risk and/or maximizing my gains.
Hope I was a bit clearer.
Best regards,

1 Like
6

For staking you don’t need to go through KYC

1 Like
7

This is a very good explanation. Thank you for that