How to Guide
Last updated
Last updated
Opening a position works the following.
Select the strategy you want to leverage
Chose the asset you want to deposit (does not need to be the underlying collateral of the strategy)
Select the desired Loop factor (which determines how much you want to leverage the underlying collateral)
Enable or disable the Boost
Check the Health Factor (LTV and Liquidation Threshold)
Check if the price impact and the ratio is reasonable.
Click Loop and confirm the Transactions in your wallet.
The ETH borrowed from the lenders and the asset you chose to deposit are then converted to the underlying collateral of the strategy, thus looping your yield and points.
Users can opt-in to boost their position by depositing >5% of their Total Position Size into the dLP. This not only gives them a reinbursement of the interest charged in LOOP tokens but also unlocks the real yield distributed in the dLP. The default Boost Setting are set to lock 6% of the position for 1 month.
Closing a position essentially means paying back the debt you have in ETH to the Reserve Pool. The rest is paid out in either the underlying collateral or in ETH.
