Stablecoin Strategy for Whales with 80% APR at Katana 1. Go to 2. Deposit USDC in Vault powered by Yearn 3. You get wrapped token yvvbUSDC 4. Deposit it in Morpho 5. Borrow vbUSDT with 80% LTV 6. Deposit USDT in Katana app 7. You'll get 78% APR Claim of rewards in Merkl at Polygon Network Yield when calculating that $KAT FDV will be $1B. This strategy is still not known to many, but they have already started to actively use it - that's why the loan rate is 12% APR. Theoretically, you can complicate the strategy here by looping, raising the active leverage to x5. In this case, the yield will be 208%. But I would not do this for 2 reasons: - depeg risk due of a large number of wrappers between yvvbUSDC/vbUSDT/yvvbUSDT/vbUSDC. This complicates control over the position - the loan rate can increase significantly due to the small amount of available liquidity in the lending pool I believe that the yield of almost 80% APR is attractive for any capital, there is no need to add risks here.
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