Magneto 🀄️ @blackhorizon33 - Twitter Profile

Pinned Tweet

about 2 hours ago

season 2 week 2 of @purintaxyz academy taught me something interesting about the earning side. i used to think earning from a vault was just about depositing usdc and watching the returns come in. but there’s more to it. here’s what i learned 👇 1. how the earning side works you can supply your idle usdc to a purinta vault, where it helps provide liquidity for people who want to borrow. in return, you can earn interest from the borrowing activity. basically, your usdc gets put to work instead of just sitting in your wallet. 2. what drives vault returns? the key thing is borrowing demand. when more people borrow and more of the vault’s available capital is being used, utilization increases. this can push borrowing rates higher and increase the potential returns for suppliers. when borrowing demand drops, utilization and rates can fall too. so, vault returns aren’t fixed. they can change with market activity. 3. how borrowing and earning connect this is the part i find most interesting. one person might deposit $pepe as collateral to borrow usdc without selling their bag. another person supplies usdc to help provide that liquidity and earns interest from borrowing activity. one needs liquidity. the other provides it. both sides work together to make the system useful. and the interesting part? borrowing and earning are separate activities, so you can explore either side based on your goals. my biggest takeaway from week 2: don’t just look at the returns. understand what drives them. i’m learning to look beyond the numbers and understand how the whole system works. still learning. still stacking points. still putting my knowledge to work. 📚🟢 learn more through the purinta academy: 🔗 https://t.co/uxXFcHW3dU

BlackHorizon33's tweet photo. season 2 week 2 of @purintaxyz academy taught me something interesting about the earning side.

i used to think earning from a vault was just about depositing usdc and watching the returns come in.

but there’s more to it.

here’s what i learned 👇

1. how the earning side works

you can supply your idle usdc to a purinta vault, where it helps provide liquidity for people who want to borrow.

in return, you can earn interest from the borrowing activity.

basically, your usdc gets put to work instead of just sitting in your wallet.

2. what drives vault returns?

the key thing is borrowing demand.

when more people borrow and more of the vault’s available capital is being used, utilization increases. this can push borrowing rates higher and increase the potential returns for suppliers.

when borrowing demand drops, utilization and rates can fall too.

so, vault returns aren’t fixed. they can change with market activity.

3. how borrowing and earning connect

this is the part i find most interesting.

one person might deposit $pepe as collateral to borrow usdc without selling their bag.

another person supplies usdc to help provide that liquidity and earns interest from borrowing activity.

one needs liquidity. the other provides it.

both sides work together to make the system useful.

and the interesting part? borrowing and earning are separate activities, so you can explore either side based on your goals.

my biggest takeaway from week 2:

don’t just look at the returns. understand what drives them.

i’m learning to look beyond the numbers and understand how the whole system works.

still learning. still stacking points. still putting my knowledge to work. 📚🟢

learn more through the purinta academy:
🔗 https://t.co/uxXFcHW3dU

39

38

0

1

152

Magneto 🀄️

@BlackHorizon33

Last Seen Users on Sotwe

Trends for you

Most Popular Users