The Trade Winds #1

Discover new high yield Stablecoin & ETH opportunities in DeFi

Sep 18, 2024

Welcome to this week's drop of The Trade Winds. Below is a snapshot of the yield data we currently have on deck, a curated sample of actionable opportunities, and a brief overview of what is influencing the market this week.

Market Influences

FED interest rate decision at 18:00 UTC 18/09/2024 (expected cut to 5.25%).
FOMC press conference for economic outlook at 18:00 UTC 18/09/2024.
US presidential election.

The sentiment of the above is that the beginning of an orderly rate-cutting cycle (-0.25%) with a dovish FED stance is a bullish tailwind that might be further catalysed by a Trump win in the US election due to being significantly more pro-crypto than the opposition. In contrast, dramatic rate cuts representing more panic measures could signify hard-landing recessionary risks and be short to mid-term headwinds for risk assets alongside a democratic win in the upcoming election.

Stablecoin Yield Opportunity

GHO/USDT/USDC Pool on Aura

Estimated APY: 74.17%
Network: Ethereum
TVL: $744.15K
Risk Level: Medium

Go to opportunity → Link

ETH Yield Opportunity

weETH Harvest on Derive

Estimated APY: 20.87%
Network: Arbitrum
TVL: $4.92M
Risk Level: High
Note: DRV + EtherFi + EigenLayer points

Go to opportunity → Link

Explore All Yield Data

For more yield opportunities and analysis, visit our public data yield dashboard at the East India Onchain Company. While you can enjoy the platform for free, we offer a premium tier that includes Telegram alerts, PDF generation, and early access to new yield opportunities.

Total Yield Opportunities

Network Distribution

Ethereum: 15
Base: 2
Arbitrum: 1

Risk Distribution

Low: 3
Medium: 12
High: 5

Yield Distribution

Min: 2.90%
Max: 389.47%
Median: 11.57%

Weekly DeFi Concept

Impermanent Loss

Impermanent loss occurs when the price ratio of tokens in a liquidity pool changes, potentially resulting in less value than simply holding the tokens. It's 'impermanent' because the loss only becomes real when you withdraw your liquidity.

Example: Imagine depositing equal ETH and USDC values into a liquidity pool when ETH is worth $2,000. If ETH's price doubles to $4,000, the pool will rebalance to maintain equal value of both assets. When you withdraw, you'll have more USDC but less ETH than you started. If you had held your original assets, you would have gained more from ETH's price increase.

Resources

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Remember, all investments carry risk. Always do your own research before investing. This is not financial advice but rather educative content designed to help you better understand the crypto markets and products.