The lending strategies in Web3 are far more complex than simply providing liquidity.
It’s more like a covert capital matching pool—retail investors, market makers, project teams, and exchanges all have their own agendas. Retail investors engage in looped lending, maxing out leverage to grab more incentives. The price? Their risks multiply as well. As for market makers, they chain together collateral assets, using minimal proprietary funds to leverage several times, or even over ten times, their market-making scale. Capital efficiency is maximized.
To put it plainly, lending in this space is a playground where everyone gets what they want. Some are betting on returns, some on efficiency, and some are quietly observing the flow of chips from the shadows.
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ConsensusBot
· 15h ago
Aren't you afraid of getting liquidated with full leverage? You must have nerves of steel.
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WhaleSurfer
· 15h ago
It's all just tricks of cutting each other's leeks. I've seen quite a few people who never recover once they start using leverage.
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GweiWatcher
· 15h ago
Once you've maxed out your leverage, all you can do is pray—one wrong move and you'll lose everything.
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screenshot_gains
· 15h ago
When the leverage is maxed out, it blows up—this has already been a bloody lesson, hasn’t it?
The lending strategies in Web3 are far more complex than simply providing liquidity.
It’s more like a covert capital matching pool—retail investors, market makers, project teams, and exchanges all have their own agendas. Retail investors engage in looped lending, maxing out leverage to grab more incentives. The price? Their risks multiply as well. As for market makers, they chain together collateral assets, using minimal proprietary funds to leverage several times, or even over ten times, their market-making scale. Capital efficiency is maximized.
To put it plainly, lending in this space is a playground where everyone gets what they want. Some are betting on returns, some on efficiency, and some are quietly observing the flow of chips from the shadows.