DeFi Pulse Farmer #32
Catch up on a new week in DeFi as we recap the Farm of the Week, the Conservative Farmer, the Governance Watcher, and more!
Welcome to DeFi Pulse Farmer - your guide to staying up on the latest and best trends in yield farming and beyond.
In this newsletter, we break down top stories, developments, and trends from the past week in tandem with two key farming opportunities to keep an eye on.
If you want to access the full DeFi Pulse Farmer experience to receive emerging Yield Farming opportunities sent to you throughout the week as part of our Alpha Tractor Series, or the DeFi Pulse Farmer Protocol Express, which consists of a weekly recap of APYs and new pools on major protocols and a highlight of an emerging opportunity, subscribe today.
After dropping from $45B to $40B last week, DeFi’s total value locked (TVL) has gained ground in recent days and is currently hovering around ~$45B again. That’s pretty impressive, considering the space’s all-time high is, in fact, $45B.
We’re not far from ripping into uncharted DeFi territory, accordingly.
As for big recent headlines, one of the ones that was really interesting is seeing SushiSwap overtake Uniswap in TVL this week — the former now boasts a TVL of $4.72B, while the latter’s TVL is around $4.24B at the moment.
SushiSwap is a fork of Uniswap, of course, but it’s done a lot since its inception to win over new users, including providing SUSHI rewards to long-tail liquidity pools.
Another headline worth keeping on your radar is Keep Network’s proposed merger with the NuCypher team. Both the projects are similarly aligned around cryptographic innovations, so the merger makes sense. Look for DeFi projects in the future to follow a similar merger blueprint going forward.
Lastly, let’s take a look at the best-performing DeFi tokens this week. The most lucrative tokens in that span were FXS (+111%), AKRO (+42.9%), KEEP (+66.4%), RPL (+68.8%), and BOND (+47.6%). Moreover, the DeFi Pulse Index (DPI) is up 10% to $474.18 on the week.
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Farm 84% to 645% via Ruler Protocol
A DeFi platform centered around non-liquidatable loans sounds pretty good, right?
Well, welcome to Ruler Protocol, then, which lets you borrow whatever crypto you want by depositing whatever crypto you want to use as collateral. Thereafter, the project’s lending offerings are resistant to liquidations thanks to the project’s two-token system.
As for these two tokens, they’re the rcToken, which mark a claim on loan repayments after expiry through a token like DAI, and the rrToken, which is a tokenized obligation to repay a Ruler position that you can pay back as you please and thereafter retrieve your collateral.
So this is the Ruler 101. But how do we farm RULER, the protocol’s governance token, then? You’ve got four farms to consider right now, which are:
If you want to serve as an LP for any of these farms, then you’ll either need to buy RULER or rcTokens through the SushiSwap links provided above. Once you have the tokens you want to deposit, search for the SushiSwap pool you want to service, and then confirm your deposits.
Take your ensuing SLP tokens to Ruler Protocol’s Farms dashboard and stake them where applicable. At this point, you’ll start generating RULER rewards!
The ongoing RULER farms are pretty attractive right now, but we as DeFi farmers should always exercise caution and shrewdness anyways. Do your own research and never invest more money into any farm than you can afford to lose.
Frax v2: Algorithmic Market Operations
TLDR: Algorithmic stablecoin project unveiled its V2 system, which involves underpinning the FRAX stablecoin with + zero-coupon bonds.
Spartan Council updates
TLDR: Synthetic’s Spartan Council is now in the middle of deciding its next community members.
uSTONKS Is Coming
TLDR: The UMA Protocol and Yam Finance teams are preparing uSTONKs, a basket of tokenized mainstream stocks.
Impermanent Loss Protection
TLDR: Yearn dev Andre Cronje teased an impermanent loss (IL) protection tool that can serve many DeFi liquidity providers.
New Liquidity Mining Period for Alpha Homora V1 and V2 has started
TLDR: Leveraged DeFi yield farming project Alpha Homora has kicked off new liquidity mining campaigns for its V1 and V2 systems.
Farm 33% via zLOT Finance
zLOT is a staking project that’s all about simplifying HEGIC staking. Of course, HEGIC is the governance token of Hegic Protol, one of the most popular DeFi options projects to date.
That’s where zLOT comes in. Participating in Hegic’s 888k HEGIC staking lots is out of the question for most users price-wise. That’s why zLOT has made it easier for many people to stake HEGIC by making it simple to join these lots on a fractional basis.
How so? The zLOT protocol lets users buy into fractional batches of HEGIC staking lots. This way you don’t have to buy 888k HEGIC worth all at once to participate in HEGIC staking, you can just join in at whatever exposure level is best for you!
All this said zLOT staking is currently fetching depositors around 33% APY at the moment. If you’re interested in joining, head over to the zLOT pool, approve your HEGIC, deposit the tokens, and then start reaping your HEGIC rewards.
zLOT staking has been a stable farm in recent weeks, but nothing is certain in DeFi. Do your own research and always farm responsibly.
During one of the craziest weeks in the NFT’s space, we decided to help fellow farmers out there who love to collect them. That’s why today’s plow of the week goes to Check My NFT, a tool that lets you check the strength of your NFT assets.
It’s an exciting time to be farming in DeFi. Things are looking up, and opportunities abound. Now’s the time to double down, dig in, and figure out your DeFi future. Having a plan of action now will undoubtedly benefit you for years to come!
All info in this newsletter is purely educational and should only be used to inform your own research. We're not offering investment advice, endorsement of any project or approach, or promise of any outcome. This is prepared using public information and couldn't possibly account for anyone's specific goals or financial situation. Be careful and keep up the honest work!