When LBI relaunched a bit over a year ago, we bought our off-chain holdings, mostly some BTC, ETH and BNB back on to HIVE and invested them into various HIVE based projects. Now that we have built a strong foundation in a number of different projects, it is time to re-build an off-chain wallet position.
This time around, LBI will work on small DeFi positions linked to the LEO and Leostrategy eco-system. The LP's that are set up are on Arbitrum and Base chains, and are Uniswap v4 pools. It took me a bit to get my head around how these pools work, as they are "concentrated liquidity" pools which I have not done much with before. I've been tinkering around for the last week or so, and now have a plan in place to build an off-chain wallet for LBI.
One thing I have learned about these v4 pools is that the fees collect separately and can be harvested when you wish. I think this is so much better than most pools I have used in the past, where swap fees just accumulate within the position. The pools are set up with a 1% swap fee, which seems to be working really well for LP's.
Lets take a look at each position.
LEO/USDC - Arbitrum
I think this pool was pretty much set up initially as Maya consistently had issues on Arbitrum, and had it down for maintenance a lot. Anyway, it has given the LEO token (which is native to Arbitrum now) a more reliable and accessible DeFi position. So here is the pool itself:
I've had a position for LBI in the pool for the last week or so, and the fee income is good. A couple hours ago, I reset the position with some extra funds and a wider spread for the concentrated liquidity range. So this is what our position looks like now:
I made the range quite wide, down to $0.07 through to $0.28. We have around $1000 in the pool, and I'd rather keep collecting fees with a wide range, rather than dropping in and out of range, and having to actively monitor the position all the time.
The plan now is to not touch it now for a week, and see how it goes.
ETH/LSTR (Base)
@leostrategy has chosen BASE as it's base for it's tokens. This LSTR pool has been seeded and running a bit over a week now. Firstly, I found the process to bridge LSTR over to BASE easy. Simply send your LSTR to @lstr.oracle with your EVM address as the memo. Took no time at all and cost a 2% fee.
I've had the position a few days, and it's been earning excellent fees. The image above doesn't show LSTR properly yet, so I think we can disregard the APR shown. I've reset the position, as I did with the LEO pool, with a much wider range. Here is what our position looks like:
So a nice wide range, and the pool should do nicely.
SURGE/USDC (Base)
Our third position is in the SURGE pool. This should bring a combination of yields with both fee income, and SURGE dividend yield coming in.
I'm actually pretty happy with the initial range I set for this pool, so I've left it be. $1000 worth of SURGE and USDC in the pool. Again, fee income has been good so far, so we shall see what happens over the next week or so.
The Plan.
- Don't touch for a week.
- Harvest fees this time next week.
- Swap half of the fees into LEO and bridge back to HIVE to our weekly income split.
- Compound the other half into one (or more) of the pools.
- See how we go and post an update.
So there we have it, LBI has some off-chain investments again. Kept it close to home while I'm learning how these pools work. Quite happy with it so far, and the fees we have been collecting this week have been nice. Now, I've just got to leave it alone for a week, and see what the harvest looks like after a week.
The other thing I've heard is that HIVE has been bridged over to BASE (along with ETH and BSC). In fact, here is the post announcing it. Nice.
Thanks for checking out this update,
Cheers,
JK.
Posted Using INLEO
LeoStrategy has done something that I didn’t predict would be so wildly successful
By setting their Market Makers to “hyper aggressive”, they’re generating massive & sustainable APR for all liquidity providers in LEO, SURGE and LSTR pools
TTSLA will have the same setup. It’s incredibly smart: incentivize the growth of liquidity pools while profiting for the fund. Recirculating profits into more LEO buys to raise the value of the entire tri-token (soon quad-token when TTSLA sells out) economy
Fascinating approach that is working stupendously well. I’m excited to see how they continue to scale up
Thanks for jumping in and supporting!
It's cool to see this plan working out. The other thing is I've started using LEODEX because of all this, to trade the funds into what is needed for the pools, and found it works well also.
Feeling a little excited about DeFi for the first time in a long while.
Will definitely add TTSLA to our mix when it sells out.
Sounds like you have things well in hand! Thanks for the update!
Cheers Bozz, the pools on Base and Arb are a learning curve for me, glad I haven't stuffed anything up yet.
I've been doing some of the same on a much smaller scale and also stared using a larger range. So far so good but I'm still a little nervous and keep checking it multiple times a day. lol.
Is this still about a 10% fee to swap?
Interesting about Hive bridge to Base. Will have to look more at that.
Great update! Thanks again for all you do for LBI. :)
I have not tried the bridge to go from Hive to ARB for LEO, but back the other way is only 2% I think.
Bridges for LSTR and SURGE to and from BASE are 2% I think, so that gives an alternative.
I tried shifting some LEO by swapping to SURGE on HE, bridging the SURGE, and then swapping SURGE back to LEO using LEODEX. Everything worked, but with slippage and fees it ended up around the same as if I had just bridged LEO to begin with. Might work better for smaller amounts - less slippage.
Anyway, thanks as always mate for checking in.
Good to know, thanks.
I did see the Hive bridging fee is going to be .3% so maybe that is an option for the future.
Congratulations @lbi-token! You have completed the following achievement on the Hive blockchain And have been rewarded with New badge(s)
Your next target is to reach 97000 upvotes.
You can view your badges on your board and compare yourself to others in the Ranking
If you no longer want to receive notifications, reply to this comment with the word
STOP