Not Married to My Bag,
But Still HODLing
This investment strategy can be implemented on platforms similar to the ones I've used, as long as they serve the same purpose. Example: Venus (venus.io) can be replaced with Aave (aave.com) — both offer similar lending/borrowing functionality.
Here’s what I’ve implemented in my own portfolio:
Large portion of stablecoin as collateral on Venus
I prefer USDC over FDUSD because USDC has higher TVL and broader trust. FDUSD may offer higher yields, but assess counterparty risk. Adjust based on your risk tolerance.
BTCB or solvBTC-denominated debt
I prefer solvBTC debt due to its lower interest rate, enabling a "hold for eternity" position.
⚠️ Before borrowing: Confirm solvBTC can be swapped to BTCB or stablecoins at reasonable rate and volume (check solv.finance). If liquidity is poor — do not take the debt.
This debt acts as a downside hedge: when BTC price drops, the debt becomes cheaper to repay.
Bullish exposure: Preserve or grow BTC, with minimal impermanent loss
To profit from BTC price rise:
Hold BTCB as collateral (yield > solvBTC debt cost).
Use wide-range liquidity pools without stablecoins (e.g., BTC/BNB). The wide range reduces impermanent loss risk.
This portfolio maintains a bullish posture while staying flexible to profit from both BTC price rises and drops.
⚠️ Risk Disclaimer
This is not financial advice. DeFi strategies involve risks:
Liquidation risk if collateral ratio drops
Smart contract risk (Venus, Solv, etc.)
Centralization risk: solvBTC is custodial — dependent on Solv’s solvency
Impermanent loss in LPs
Market volatility can amplify losses
Do your own research. Never risk more than you can afford to lose.
💬 I’m open to discussion.
⚡ Zap if you found this useful!
Let me know if you’d like a deeper dive on execution steps.
#DeFi #Bitcoin #NostrFinance #Leverage #HODL #Zap