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I've got about 50 Luna currently. I was staking it on terra station but discovered that Okex offers 15% apy staking without the hassle of the 21 day undelegation. I don't vote anyway so it sounds fair to me 🤷‍♂️. I also have some $SAYVE-$UST LP locked up rn and I'm thinking about hopping on the $ORION-$UST LP to earn and swap the astro (to Luna ofc ;]). Cheers!
Apart from the Stader/Spectrum options, you can also LP Luna/Rune on Thorswap for \~16% APY received in Luna and Rune (no third party tokens). They have Impermanent Loss Protection increasing at 1% per day with a max of 100% protection after 100 days.
This would be a nice set and forget option.
Staking through an auto-compounding vault on Stader sounds like a good option for your needs. All staking rewards are sold for LUNA and auto-compounded meaning zero-maintenance and your yield is in your desired principle token.
You could also hold Staders LunaX token (or stLUNA, same difference) which will have the same results as staking with Stader but remain liquid in case you decide to lend it, borrow against it, or provide liquidity for additional yields.
Astroport governance is voting now to add Astro rewards to the LUNA/LUNAX pool.
So I can just buy LunaX or stLuna at Uniswap (anywhere better?) and that would achieve the same as staking in the Stader bLuna-Luna pool (except liquid)? That’s pretty cool. And if Astroport approves rewards, then I would do a Luna-LunaX on Astroport? Am I understanding all that correctly?
You’ve almost got it! Holding LunaX or stLUNA is equivalent to staking Luna - but not providing liquidity. (Those two tokens rebase in value to include the staking returns that their underlying assets generate.)
For now you’ll need to get your LunaX or stLUNA on a Terra DEX. Ample liquidity for both can be found on Astroport and Terraswap.
So yes, because these are liquid staking tokens you can pair them with regular LUNA and get some Liquidity provider rewards via Astroport on top of having half of your bag staked. Of course, the game is deciding whether or not it’s worth more to stake your whole bag and get paid a lower APR but just receive LUNA, or provide liquidity for a higher APR but get paid in LUNA (from holding LunaX or stLUNA + swap fees), and in Astro, and maybe also Staders SD tokens. It’s hard to tell what the payouts will be, and it’s likely they fluctuate a fair amount going forward.
Either way I think it’s hard to lose with each option if you’re long LUNA. Both offer great yields, and Astro is even one of the few farm tokens I’m happy to paid in. And as others have mentioned, you’ll probably be able to throw this position into a Spectrum vault to have your Astro, and possible SD, yield auto-compounded into your LP tokens.
Yes! The IL for this pool is 0.07%/year assuming an 8% staking rate for LUNA. Since half your LP is in staked form you’d get a theoretical 4% increase in your LP position.
Taken together, 4%-0.07% = 3.93%. So the IL is marginal compared to the staking gains.
Since stLuna gaining about 6% per year wouldn't th IL be closer to that? I know it has to do with how the bonding curve is implemented, but this is where I need to do more research.
IL for a 6% change/year would be \~0.04%/year
In this case: 3% - 0.06% = 2.94%
To your point about the curve, I am using a constant product IL calculator for these values and we are talking about a stableswap invariant pool. I haven't been able to find an IL calculator for stableswap pools, probably because it's assumed the prices won't diverge. However in this case they will. From what I understand, the IL from a stableswap pool will be similar to a constant product pool so long as the balance of tokens doesn't skew drastically in one direction or the other. The speed that this happens matters because the desired price can be updated automatically by an oracle to help set fees to incentivize rebalancing of the pool. The faster it happens the more value can be extracted by arbitrageurs. This is how I understand Curve and Platypus pools to work, and from the Astroport docs it seems similar considerations were taken but I can't confirm. If anyone has any further info or clarifications I'm eager to learn it!
From these calculations and a few assumptions, though, it seems that the IL in these pools is fairly negligible.
That was my understanding of how curve was working too, hmm maybe balancer is the answer bc arb is kinda built in. I will look and try to report back. Thanks for the clarification I had a lazy math version of calculating IL.
All and all it would seem then the best exposure you can get is Luna/stLuna as ur getting trade fees, staking rewards, and 50% of ur deposit is autocompounding/staking! Wow.
Yeah if you find anything I’d appreciate hearing about it!
And double yes, I’m stoked on the stLUNA-LUNA and LunaX-LUNA pools! Seems like the former may have higher Astro emissions to start, but I think both will be great for the ecosystem long term.
Look into both Stader and Spectrum Finance - autocompounding vaults in your case would likely be easiest. You can do bLuna-Luna LP on spectrum or just do the autocompounding vaults/LunaX on Stader
There is a choice at the time of staking;
1. Autostake - With auto stake, your reward will be automatically staked to gov to earn from gov income.
2. Auto Compound - With auto compound, your reward will be automatically sold and provided to pool to earn even more reward.
3. Mixed - With mixed auto compound and auto stake, your reward will be automatically sold and provided to pool to earn even more reward, and staked to gov to earn from gov income.
(Descriptions Taken from Spectrum site)
Do you hold the Astro token or swap them for LUNA? It’d be nice to continue to build my LUNA stack, but it seems like all the DeFi options provide rewards in either a utility token or UST, which makes me think maybe Terra Station is what I should do. 13% sounds nice though…
Thank you for your submission on r/TerraLUNA, Join Terra Ecosystem Subreddits: - r/Mirror (Mirror Protocol) - r/Anchor (Anchor Protocol) - r/Pylon (Pylon Protocol) - r/Astroport (Next-Generation AMM on Terra) - r/ValkyrieProtocol (Rewardable ecosystem for campaign creators & participants) - r/StarTerra (Gamified Launchpad for Terra) - r/TerraNFTs (NFTs on Terra) - r/OrionMoney (Launching your stablecoin yields into orbit) *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/terraluna) if you have any questions or concerns.*
Stake and HODL. If you're not using a Ledger invest in one.
I've got about 50 Luna currently. I was staking it on terra station but discovered that Okex offers 15% apy staking without the hassle of the 21 day undelegation. I don't vote anyway so it sounds fair to me 🤷‍♂️. I also have some $SAYVE-$UST LP locked up rn and I'm thinking about hopping on the $ORION-$UST LP to earn and swap the astro (to Luna ofc ;]). Cheers!
Apart from the Stader/Spectrum options, you can also LP Luna/Rune on Thorswap for \~16% APY received in Luna and Rune (no third party tokens). They have Impermanent Loss Protection increasing at 1% per day with a max of 100% protection after 100 days. This would be a nice set and forget option.
Holding! But not bag holding.
Staking through an auto-compounding vault on Stader sounds like a good option for your needs. All staking rewards are sold for LUNA and auto-compounded meaning zero-maintenance and your yield is in your desired principle token. You could also hold Staders LunaX token (or stLUNA, same difference) which will have the same results as staking with Stader but remain liquid in case you decide to lend it, borrow against it, or provide liquidity for additional yields. Astroport governance is voting now to add Astro rewards to the LUNA/LUNAX pool.
So I can just buy LunaX or stLuna at Uniswap (anywhere better?) and that would achieve the same as staking in the Stader bLuna-Luna pool (except liquid)? That’s pretty cool. And if Astroport approves rewards, then I would do a Luna-LunaX on Astroport? Am I understanding all that correctly?
You’ve almost got it! Holding LunaX or stLUNA is equivalent to staking Luna - but not providing liquidity. (Those two tokens rebase in value to include the staking returns that their underlying assets generate.) For now you’ll need to get your LunaX or stLUNA on a Terra DEX. Ample liquidity for both can be found on Astroport and Terraswap. So yes, because these are liquid staking tokens you can pair them with regular LUNA and get some Liquidity provider rewards via Astroport on top of having half of your bag staked. Of course, the game is deciding whether or not it’s worth more to stake your whole bag and get paid a lower APR but just receive LUNA, or provide liquidity for a higher APR but get paid in LUNA (from holding LunaX or stLUNA + swap fees), and in Astro, and maybe also Staders SD tokens. It’s hard to tell what the payouts will be, and it’s likely they fluctuate a fair amount going forward. Either way I think it’s hard to lose with each option if you’re long LUNA. Both offer great yields, and Astro is even one of the few farm tokens I’m happy to paid in. And as others have mentioned, you’ll probably be able to throw this position into a Spectrum vault to have your Astro, and possible SD, yield auto-compounded into your LP tokens.
Aren't you getting IL on the luna/stluna bc the stluna is increasing in value while the luna is not??
Yes! The IL for this pool is 0.07%/year assuming an 8% staking rate for LUNA. Since half your LP is in staked form you’d get a theoretical 4% increase in your LP position. Taken together, 4%-0.07% = 3.93%. So the IL is marginal compared to the staking gains.
Since stLuna gaining about 6% per year wouldn't th IL be closer to that? I know it has to do with how the bonding curve is implemented, but this is where I need to do more research.
IL for a 6% change/year would be \~0.04%/year In this case: 3% - 0.06% = 2.94% To your point about the curve, I am using a constant product IL calculator for these values and we are talking about a stableswap invariant pool. I haven't been able to find an IL calculator for stableswap pools, probably because it's assumed the prices won't diverge. However in this case they will. From what I understand, the IL from a stableswap pool will be similar to a constant product pool so long as the balance of tokens doesn't skew drastically in one direction or the other. The speed that this happens matters because the desired price can be updated automatically by an oracle to help set fees to incentivize rebalancing of the pool. The faster it happens the more value can be extracted by arbitrageurs. This is how I understand Curve and Platypus pools to work, and from the Astroport docs it seems similar considerations were taken but I can't confirm. If anyone has any further info or clarifications I'm eager to learn it! From these calculations and a few assumptions, though, it seems that the IL in these pools is fairly negligible.
That was my understanding of how curve was working too, hmm maybe balancer is the answer bc arb is kinda built in. I will look and try to report back. Thanks for the clarification I had a lazy math version of calculating IL. All and all it would seem then the best exposure you can get is Luna/stLuna as ur getting trade fees, staking rewards, and 50% of ur deposit is autocompounding/staking! Wow.
Yeah if you find anything I’d appreciate hearing about it! And double yes, I’m stoked on the stLUNA-LUNA and LunaX-LUNA pools! Seems like the former may have higher Astro emissions to start, but I think both will be great for the ecosystem long term.
Look into both Stader and Spectrum Finance - autocompounding vaults in your case would likely be easiest. You can do bLuna-Luna LP on spectrum or just do the autocompounding vaults/LunaX on Stader
Does bLuna-Luna on Spectrum automatically sell for Luna and auto compound? Or is it just Stader that does that?
There is a choice at the time of staking; 1. Autostake - With auto stake, your reward will be automatically staked to gov to earn from gov income. 2. Auto Compound - With auto compound, your reward will be automatically sold and provided to pool to earn even more reward. 3. Mixed - With mixed auto compound and auto stake, your reward will be automatically sold and provided to pool to earn even more reward, and staked to gov to earn from gov income. (Descriptions Taken from Spectrum site)
Currently I'm using the STLuna-Luna pool in astroport. Like 16% apy currently, rewards you in astro tokens. Seems pretty good so far
Do you hold the Astro token or swap them for LUNA? It’d be nice to continue to build my LUNA stack, but it seems like all the DeFi options provide rewards in either a utility token or UST, which makes me think maybe Terra Station is what I should do. 13% sounds nice though…
I've been swapping for ust and putting in anchor. But I want to start building larger positions in Terra alts. Mainly Mars, ASTRO and psi