If you have been holding a lot of spot or were heavily on long positions, yesterday must have felt devastating. I also have some spot positions, which took quite a hit (after a couple more hits). To balance myself mentally and to keep my portfolio somewhat above the surface, I took some short trades, which went pretty well. However, my main strategy for this extremely volatile and unpredictable cycle has been farming airdrops with stablecoins.
The main one of those farms, and the one I'm most bullish on, is Solstice. Just recently, I wrote an article about it in which I was going through the tokenomics and why I have such high hopes for the project altogether.
Today's post will be sort of an addition to that, as I've just discovered a perfect defi opportunity to maximise the APY on my stablecoin deposit while also earning a decent amount of Flares (airdrop points).
Let's take a look!
Exponent
Exponent Finance is a DeFi protocol built on Solana that enables fixed-rate yield products and leveraged yield exposure for yield-bearing assets. They now support depositing $eUSX tokens as part of the Solstice deep defi program.
This means you have 3 different options to choose from:
Fixed Yield: you will earn a fixed APY but will forfeit all Flares.
Farm Yield: buy Yield Tokens (YT) of eUSX, which provide amplified exposure to its yield. eUSX's yield, including Points, is continuously distributed to open positions until maturity. This strategy gives you the most points(15x Flares). Best one if you believe Soltice to do well in the future.
Extra Yield: Best of both worlds. Earn 10x Flares + APY, which is currently 35.36%.
Comparisons
I decided to choose the middle ground, the Extra Yield, or Liquidity option. Previously, I was providing liquidity on Raydium, where my $210 worth of $USX/$eUSX was earning about 1,300 Flares per day. Now on Exponent, I'm earning only 800 Flares/day. However, when comparing APYs, the Exponent pool is a clear winner. Raydium pool gave me an APY of ~0.50%, while on Exponent, the current APY is 35.35% (see the breakdown below).
My position has been open for a little over a week now, and the PnL is already looking relatively good.
The liquidity vaults on Exponent are designed to be passive and require very little monitoring from users. This is because both sides of the pool are derived from the same asset, so they are highly correlated.
My position is fully matured on March 11th, and then I can receive the underlying asset plus accrued yields and trading fees. Withdrawing earlier is also a possibility, but there might be some delays as tokens are deposited in defi (see FAQ for more info). If you have been active on Pendle, you know the drill.
Choices, Choices...
The Solstice deep defi partners offer a variety of choices and different stablecoin strategies for everyone. Simply provide liquidity on Raydium or Orca, come up with a lend/borrow looping strategy on Kamino, or choose from 3 different Exponent yield trading options.
All these can be found under Soltice Deep Defi page, which I recommend using to make sure you are always on the legit partner site. Also, don't forget to enter your partner code on the Soltice Earn Flares page for a multiplier. For example, you can input RAYDIUM or ORCA, depending on which platform you choose to use. As for Exponent, currently, there is no partner code that I'm aware of.
Bonus: earn 1,000 Flares by using my ref code: tPUK2KKquW (note that referral and partner codes are two different things and have their own slots.
Conclusion
Whether you think the bull market is over or not, farming a very promising airdrop with stablecoins is always a good idea. Always have to have stables. For me, Solstice + Exponent is a great match and probably the best defi opportunity on Solana at the moment.
Thank you for reading, and don't forget to follow on X for more alpha & updates! 👇
Follow for more on X!
🔹 Hyperliquid - the best perp DEX out there. Trade, stake & farm the next big airdrop!
🔹 Based - do your trades here and farm both, Based and Hyperliquid at the same time!
🔹 Pacifica - under farmed perp dex on Solana. Invite code needed: 0P45XY05CW72G5YF if this has already been used, ask for more in the comments!
🔹 Hybra Finance - New protocol! earn points by providing liquidity, we're still early
🔹 HypurrFi - farm airdrop points with stables by entering ref code BRANDO28
🔹 LeoDex - multi-chain, multi-wallet dex for all of your swaps
🔹 VOLO - stake SUI to earn APR & airdrop points!
🔹 Pawtato Land - very useful SUI dashboard, earn XP for the airdrop by completing small tasks
🔹 Huma Finance - easy to farm an airdrop on Solana. Deposit USDC, earn APR % points
🔹Solstice - the best airdrop farm on Solana right now! Use ref code: tPUK2KKquW to earn 1,000 Flares