A lil update on my DeFi/yield farming shenanigans... So how exactly does looping work on @suilendprotocol? I gave a brief intro to the protocol last week and deposited some USDC into the sSUI/SUI looping strategy to farm ~15% APY...and this week I'm explaining the process and showcasing other looping yield strategies available. So what you can see here is that I've got 500 USDC deposited in this strategy. My leverage *was* 3x, but because price movement on SUI, that leverage is now effectively 2.9x. You can also see that if SUI were to pump over $5 I'd be in trouble 😂 - but don't worry you can adjust your leverage to suit your risk tolerance. You can keep it super low and basically eliminate the liq risk. How does it actually work though? This is a pretty helpful graphic for understanding it: Basically with this particular vault you deposit USDC....just like any borrow/lend protocol. And here's the flow: 1) Protocol automatically borrows SUI against the USDC 2) Vault automatically stakes SUI and receives sSUI 3) Protocol deposits the sSUI back into Suilend 4) Protocol automatically borrows SUI against the newly deposited sSUI 5) Vault automatically stakes SUI and receives sSUI ...and so on. Basically it's an incentivized loop that's powered by both native staking yield, and sSUI as additional rewards. My assumption is the incentive program is a means to attract liquidity. But yeah that's how this one works - generally speaking as long as you don't go *crazy* on leverage for the looping it's pretty straightforward and low risk. Outside of the liquidation risk, there's always smart contract risk involved, but given Suilend is one of the flagship DeFi products on Sui that feels less concerning to me. If you want to check it out these are the other looping strategies currently available with varying APRs - they're about to add a new xBTC looping strategy (think it might actually already be out now) - so I plan to look into that one as well!