Sirwin
Sirwin
How to earn 20% interest on Anchor Protocol

How to earn 20% interest on Anchor Protocol

By doufu | bitcoinsg | 4 Jan 2022


In this article, I am going to share how to deposit your money (SGD) onto the Earn feature of Anchor Protocol to get that sweet 20% APY (the interest is not fixed and is slowly decreasing).

Remember to do your own research about the platform and understand the risk. This article is a good read.

The main problem of using Anchor Protocol is getting your money on the platform.

Shut up and take my money meme

My setup

Anchor Protocol accepts only TerraUSD (UST) which is a stablecoin by Terra. Do note that UST is NOT Tether (USDT) which is another stablecoin.

The steps I used are as follow.

  1. DBS
  2. FTX Blockfolio
  3. Kucoin
  4. Terra Station
  5. Anchor Protocol

It's a journey.

1. DBS to FTX Blockfolio

I use DBS Multiplier to convert my SGD to USD and remit for no fees. The exchange rate is decent. Some people used Moo moo to convert, but I find it too much of a hassle. The only downside of this is that it is not instant. You have to wait 1-2 days (or more if this is your first transfer). Remember to avoid remitting during public holidays as banks are closed.

 

2. FTX Blockfolio to Kucoin

Pending until received. Just have to wait.

Once your remit from DBS is received, your FTX Blockfolio US Dollar wallet should show the amount you remitted in USD. All you need to do is to withdraw the US Dollars in your FTX Blockfolio USD wallet to Kucoin as USDC.

You can read more about remitting USD to your FTX Blockfolio in my previous article : Turn your Singapore dollars into USDC with FTX BlockFolio App.

Withdraw US dollars as USDC to Kucoin

 

3. Kucoin 

Kucoin is a good crypto exchange that I used mainly to trade coins that are not found in other exchanges. It is unusually hard to get fiat on the exchange, so I usually send crypto over. In our case here, we are receiving USDC from FTX Blockfolio. 

I used the Kucoin iOS app. Go to Asset -> Deposit -> USDC. You should see your USDC wallet address. Make sure you choose ERC20.

Use ERC20 when receiving your USDC from FTX Blockfolio.

Once you receive your USDC in Kucoin, the basic idea is to trade it for UST using the USDC/UST pair in the Spot Trading. You are going to sell your USDC for UST.

Once you acquired your UST, we are going to send it to Terra Station. Onward!

 

4. Kucoin to Terra Station

Terra Station is the official desktop wallet for Terra. Personally I have tried their web app, iOS app and the chrome browser extension.

Here we will be using the chrome browser extension. I am using Brave Browser which is based on Chromium. Basically, this means the browser extension is compatible and works with both Google Chrome and Brave. You will have to install the Terra Station extension to your browser.

Install the Terra Station extension from chrome web store

Pin the extension so the little icon will stay up in your browser toolbar.

Your Terra Station extension on your browser. Time to create a new wallet.

Create a new wallet and follow the onscreen instructions. The most important thing is to write down your seed phrases somewhere and keep it in a safe place. If you lose your seed phrases, you can say goodbye to your wallet and the money associated with it.

Once your wallet is created, you will have a wallet address. You can send UST from Kucoin to Terra Station with this wallet address.

Withdrawing UST from Kucoin mobile app.

When withdrawing UST from Kucoin, make sure you check and double check the Terra Station wallet address is the same. The network has to be Terra, not ERC20. I always leave the Memo and Remarks empty. It's fine.

You might want to do a test transfer with a small amount if this is your first time transferring to your Terra Station wallet. Just be aware that the withdrawal will cost you 4 UST. So plan your withdrawal accordingly.

If everything goes well, your UST should arrive in your Terra Station within 30 minutes. Now it's just one last step to send the UST to Anchor Protocol.

 

5. Terra Station to Anchor Protocol

Using the same browser where you have your Terra Station extension installed and logged in, go to the Anchor Protocol webpage and click on the Dashboard to launch the Anchor Protocol web app.

Anchor Protocol Dashboard (as viewed on a laptop)

You will need to connect your Terra Station wallet to Anchor Protocol. Click on the Connect Wallet button at the top right and select Terra Station. Your wallet should connect instantly if your Terra Station browser extension is running.

Now that your Terra Station wallet is connected, go over to the Earn tab and click on deposit button. From here on, it should be quite straightforward. You can also refer to the official docs here for more help.

When you deposit your UST, note that Anchor Protocol will convert it to aUST, so there is a conversion rate. There is also a fee for depositing. All these fees do add up, but they can be earned back with the high interest if you hold long enough.

Your UST will immediately start earning interests, so there is no need to do anything more. (We did quite a lot already...phew!)

I hope you find this article useful on how to get your SGD into Anchor Protocol. Thank you for reading!


I write about Crypto on my blog at: https://blokechain.wordpress.com/

 

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doufu
doufu

A crypto enthusiast from sunny Singapore. Hello!


bitcoinsg
bitcoinsg

Bitcoin adventure in Singapore

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