Use Cases
Here is the list of strategies how to earn with SmartCredit.io
We have two key sets of the use cases:
  • Use cases that benefit from the SmartCredit.io reward system
  • Use cases that benefit from general fixed-term / fixed-interest benefits.
Reward specific use cases:
  • Strategy 1: Borrow, earn weekly bonus rewards, and stake weekly bonus rewards — results in circa 15% APY after interest payment.
  • Strategy 2: Lend, earn weekly bonus rewards, and stake weekly bonus rewards — results in circa 33% APY. Here is the video walkthrough.
  • Strategy 3: Borrow, buy SMARTCREDIT, earn weekly bonus rewards, and stake weekly bonus rewards — results in circa 55%–60% APY. Here is the video walkthrough.
  • Strategy 4: Monetize collateral via borrowing, buy SMARTCREDIT, earn weekly bonus rewards, stake SMARTCREDIT incl. weekly bonus rewards — results in circa 17%–21% APY. Here is the video walkthrough.
  • Strategy 5: Borrow, pay interest, and earn SMARTCREDIT bonus rewards for borrowing (10–20% APY).
  • Strategy 6: Lend, earn interest, and earn SMARTCREDIT bonus rewards for lending (25% APY).
  • Strategy 7: Stake SMARTCREDIT and earn staking rewards (40%–80% APY). Here is the video walkthrough.
See more details in the medium article "How to earn with SmartCredit.io?"
General fixed-term / fixed-interest specific use cases:
  • Implementing long trading strategies—for example, borrowing DAI and going long on ETH. But to implement proper trading strategies, we do need to know the cost of capital in advance. See more details in the blog article “Potential of Fixed-Term-Loans in Bullish Market”.
  • Implementing short trading strategies—borrowing ETH, selling ETH, and buying it back at the lower exchange rate. In this case, we need to know the cost of capital too. See more details in the blog article “Potential of Fixed-Term Loans in Bearish Market”.
  • Yield farming strategies—borrowing stablecoins and investing them into diverse yield farming products. See more details in the blog article “Yield Farming with Fixed-Term-Loans
All these use cases need to know the cost of capital in advance. Otherwise, investors would deal with two variable parameters—variable investment return and variable cost of capital—which is rather gambling and not investment anymore.
Additional info:
Videos:
Copy link