The time has come - lending and borrowing is now available for jUSDC & jGLP!
Users will finally be able to access lending yields and leverage tools for their $jUSDC & $jGLP balances.
Vendor focuses on providing users with fixed rate lending & fixed time-frame borrowing. These positions can be held indefinitely, at the discretion of the borrower, using the rollover mechanism.
Why this setup?
Fixed rates are generally more attractive to users who want predictability of interest rates and don’t want to risk rate volatility. Positions on Vendor are also not subject to liquidation, however, forfeiting collateral can still occur in the form of defaulting. This occurs when a borrower does not pay back their loan on time. The collateral is then sent to the lender (minus a fee) and the borrower keeps the borrowed tokens.
Putting your $jUSDC & $jGLP to work on Vendor is easy.
You can either:
- Create a pool using $USDC as the lending token. Instructions here.
- Borrow against a pool, depicted below 👇
Make sure to review the docs so that you understand the Vendor system. Always do your own research!
Rodeo takes a bit of a different approach compared to Vendor.
Dubbed the “leverage hyperstructure”, Rodeo provides leveraged yield farming for multiple Arbitrum strategies as well as yield to lenders for participation in the leverage pools. Lenders provide $USDC and borrowers use those tokens to leverage up their yield positions.
Rodeo issues ribAssets (Rodeo Interest Bearing) to users who deposit into the lending pool, which accrue yield from interest paid by those looking to leverage their positions. Rodeo borrowing positions are subject to liquidation if collateral requirements are breached, just as they are in other borrowing and lending protocols.
$jUSDC will soon become a supported token on Rodeo, allowing users to leverage their already impressive yields.
At the time of writing, $jUSDC yield is at a historical average of 11%. Let's outline an example of what a potential Jeenius could do with their $jUSDC on Rodeo.
Ordinarily, you could deposit 1000 $USDC into the strategy on Jones and earn yield on just those tokens, but that is simply not enough for some degens.. Rodeo allows you to take this a step further and leverage your tokens to get more yield out of the same deposit!
Let’s say you deposit the same 1000 $USDC on Rodeo, you would have the ability to take out leverage - for the sake of the example let's say 5x.
Rodeo will now automatically deposit the original $USDC, plus the borrowed leverage into the Jones $USDC Strategy vault!!
5x the yield performance with the same deposit.
DISCLAIMER - this strategy is not risk free and liquidation is possible. Read the Rodeo docs for more information.
This is a win-win scenario, as it also increases the amount of space available in the $GLP Vault Strategy. Deeper liquidity for the system!
Only a Jeenius could come up with such an ingenious plan.
Rodeo will begin with a $jUSDC Pool, but may to expand to $jGLP soon after, pending a successful launch of the first pool.
jUSDC & Lending
We’re excited to see more integrations with the Jones DAO ecosystem and are looking forward to what our beloved Jonesies will do with these tools. Remember, lending, borrowing, and leverage comes with real risks that can result in liquidation and loss of tokens. As always, do your own research and make smart decisions (NFA).
Do you have more questions about $jUSDC and lending? Do you just want to express your love for leverage tools to a community of like minded individuals? Join the Jones DAO community now: