What is MTSLA-UST?
Let's break this down into two sections:
1. What are UST & MTSLA?
UST is the Terraswap stablecoin (value seeks to mimic $1 USD).
Within the Mirror.finance world, it is the only way to purchase the mirrored stocks.
MTSLA is a mirrored stock token (mAsset) and it is offered by Mirror.Finance. You can think of an mAsset as a stablecoin tied to a stock - in this case Tesla(TSLA). This allows you to buy fractional amounts of it instead of purchasing a $900+ stock. You can also trade it after hours when the stock market is closed. Basically, it's a simple, accessible way to trade a "mirrored" stock. To be clear, from what I've read there's no underlying TSLA stock tied to the coin - it just mimics the stock.
2. How do I turn MTSLA & UST into MTSLA-UST?
You take equal values of MTSLA & UST and place them in a Liquidity pool at UniSwap.
Alright, this sounds a bit complicated. Why Should I choose this strategy?
Mirror Finance is a relatively new offering (Dec. 2020), so there's plenty of room for growth. The MIR tokens are sub 1-cent & Luna tokens are 5.50. With the explosion of cryptocurrency prices on every exchange at the end of January until the present, it's extremely worthwhile to get into new er offerings early.
The same could be said for Harvest.Finance. It's 23-24 weeks old and it's already trading at $235+ USD.
What's the goal of this strategy?
1. Maximize exposure to LUNA & MIR tokens.
2. Maximize exposure to FARM tokens.
3. Have exposure to Tesla's growing stock value.
4. Support the growth of fractional shares in a decentralized environment.
This strategy would be appropriate for an experienced cryptocurrency trader. It also looks like there's a decent amount of risk.
I think this would be an optimal medium to long-term position. It offers exposure to one of the largest, cutting edge electric car manufacturers, along with large rewards for staking. Mirror is also giving away 18.3 million MIR tokens to LUNA stakers every week. Sounds like a pretty good deal.
With Tesla's recent adoption of Bitcoin as a payment strategy, this will also give you exposure to Bitcoin's spectacular rise (sort of).
I'm excited! How do I get started?
You could go on Uniswap and convert your crypto into UST and mTSLA, but the fees are pretty high.
I went a convoluted route and passed currencies through multiple wallets and/or exchanges to try to minimize fees.
- I purchased XRP at netcoins (you pay ~2% premium + flat 5.00 to buy, but nothing to deposit fiat and transferring any amount of XRP costs .2 XRP). Note: This exchange is for Canadians only at this time.
- Sent XRP to Crypto.com (Special promo for funding account in first 30 days and transfer fee is only 1 XRP) --Completely unnecessary step
- Sent XRP to KuCOIN.
- Traded XRP for ETH.
- Traded ETH for UST.
- Sent the UST to the mirror finance site
- purchased MTSLA (with half my UST).
Note: if you change security settings on your account, your funds will become locked for 24hrs.
- purchased MTSLA (with half my UST).
- Transferred MTSLA & UST to my wallet.
- Deposited MTSLA & UST in the liquidity pool (LP) at UNISWAP and received MTSLA-UST tokens.
- Connected my wallet to Harvest.Finance and deposited my MTSLA-UST tokens.
Note: Don't forget to stake your fMIRROR-TSLAas well!
Now I'm farming with the best of them!
It took a few hours to move the tokens around(and patience to buy/sell at the right times and prices), but my total fee was less than half the pricy gas fees I would've otherwise paid. Your mileage may vary.
This was certainly a time consuming way to get things done, but hopefully it was the cheapest.
In retrospect, I probably could've started purchased XRP directly on crypto.com (free to use credit/debit card for first 30 days - after that it's 3.5% fee).
That was a lot!
It sure was, but it introduced you to Harvest.Finance and a pool that projects a 200%-400% return.
I'm quite intrigued by this farming co-op, and it makes me want to toss all my cryptocoin seeds into the field and watch them grow!
Thanks for reading!
If you see anything materially incorrect, please leave a comment and I'll get back to you.
Alternatively, if you'd like more in-depth information about any topic touched on here leave it in a comment.