#6. Strategy guide: Hold BNB and earn 26% at the same time.

Sep 5, 2021

I have made a simple strategy to maximize my profit when I’m holding BNB, I actually shared it before but this time I has made some chances for a better APY. In this strategy I borrow CAKE from #dev DeFi and use it to farm on Pancakeswap.

Strategy guide #6:

1. Supply BNB to Alpaca vault on #dev DeFi (https://devdefi.finance/)

Supply APY = 8.5%

2. Collateralize my BNB to borrow CAKE at 35% Loan-to-value ratio

Borrow APR = 32.58%

In my calculation, CAKE/BNB can swing 40% before your debt position would be in danger of liquidation.

3. I stake borrowed CAKE to Auto CAKE pool on Pancakeswap (https://pancakeswap.finance/pools)

Stake APY = 91%

4. Follow a simple formula, you can estimate the profit = (91% – 32.58%) * 35% + 8.5% = 28.95%

Although I have made it more precise on Excel: Estimated Profit = 26%

This this estimation I withdraw a portion of CAKE each 4-month to pay 32.58% / 3 = 10.86% borrow interest to secure my position, the rest stays in stalking pool. You can pay your borrow interest anytime you want as long as your position is save, max Loan-to-value ratio is 50% on #dev DeFi.

How I maximize profit from BNB using #dev DeFi
Profit Estimation

Hope you will enjoy it! Anw if you’re using a more optimal strategy I would love to hear it.

*NFA. Pls apply at your own risk.

Important notice

  • All strategies are collected from users of #dev DeFi.
  • Each strategy is just a use case of #dev DeFi and not financial advice. Apply these strategies at your own risk.


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