Yield Farming with mStable

There’s two ways that you can farm yields with mStable:

  • Saving your mUSD in their SAVE product
  • Providing liquidity on their Balancer pools

SAVE

Step 1 : Getting mUSD

There’s two ways that you can get mUSD:

  • Minting it
  • Buying it

Minting mUSD

  • Click on SWAP and you’ll get mUSD once the transaction is confirmed. Note, you’ll need to unlock before you can swap

Step 2 : Saving your mUSD

  • Head on over to https://app.mstable.org/save
  • Current average daily APY over the past 7 days is 36.5%
  • Input your deposit amount and click deposit

Step 3 : Withdrawing your savings

  • All you need to do after is to go back to https://app.mstable.org/save and click on withdraw instead
  • Once the transaction is confirmed, you get back your mUSD

Step 4 : Redeeming your mUSD

  • Go to https://app.mstable.org/redeem
  • Input the amount of mUSD you want to redeem (meaning you want to convert back into the other 4 stablecoins: TUSD, DAI, USDC, USDT)
  • If you wish to withdraw in a specific stablecoin, toggle off the redeem with all assets button and select
  • After the transaction is complete, you’ll be done!

Balancer Pools

mStable is currently giving out MTA as rewards for liquidity providers in these 3 Balancer pools:

  1. 50/50 mUSD / USDC

https://pools.balancer.exchange/#/pool/0x72Cd8f4504941Bf8c5a21d1Fd83A96499FD71d2C

  1. 50/50 mUSD / WETH

https://pools.balancer.exchange/#/pool/0xe036CCE08cf4E23D33bC6B18e53Caf532AFa8513

20/80 mUSD / MTA

https://pools.balancer.exchange/#/pool/0x003a70265a3662342010823bEA15Dc84C6f7eD54

Note : These reward amount will change but for now this is what’s set for the last week of July

https://medium.com/mstable/a-recap-of-mta-rewards-9729356a66dd/. Rewards are also dependent on price risk. musd/usdc pool is relatively stable as it should maintain a 1:1 peg, other pools have impermanent losses.

Pro tip : To calculate impermanent loss, you can use this: https://baller.netlify.app/

According to this, if $MTA changes by 100%, you will have an impermanent loss of 3.27%

Adding Liquidity for Pool 3 (mUSD/MTA)

- Input the deposit amount, unlock your mUSD and add liquidity

  • Once this transaction confirms, you’ll receive BPT. This will be your share of the pool that you can redeem for your assets.
  • Note : the steps for this can be repeated for the other 3 pools, if you do not have USDC or ETH. Providing single asset liquidity is the same as buying the amount that you need for the pool. For example if I deposit 1000 mUSD as a single asset, 20% (200 mUSD) will be used to buy MTA and be added to the pool.
  • If you have USDC/ETH/MTA you can go to all pool assets and input the amounts you wish to deposit, note that they must follow the ratios that are determined!

Removing Liquidity for Pool 3 (mUSD/MTA)

Rewards

  • Currently rewards for this week are set to be 50,000 MTA per pool but this may change next week with the release of their EARN product.
  • Each pool provider gets both MTA and BAL tokens.