A sweet DEFI incident in July that excited DOT lenders in Parallel Finance
On July end, something crazy happened in Parallel Finance with the Supply APY for DOT going to 37% in Parallel Finance’s Money Market, wow…
Parallel Finance, as I have covered about in my other articles, has a Money Market where DOT holders can lend their DOT and earn yields, in form of interest paid back by the borrower in DOT and then airdrops of Parallel Finance protocol incentives with Para tokens.
Suddenly on July 29th, DOT interest rates to be paid to DOT lenders went up to 37%, what happened?, its something definitely crazy although all this was great for DOT lenders.
Hot APY’s for DOT lenders with high demand for DOT by borrowers
There was so much demand for DOT from the borrowers that 99% of the DOT supplied in Parallel Finance’s Money Market got lent to them, as a result of which DOT supply APY became super dooper HOT!!
Even since that day, DOT utilisation rate in Parallel Finance’s Money Market has been high of more than 85% !!
So with DOT’s utilisation rate being high in Parallel Finance’s Money Market with large amounts of DOTs being borrowed and lent, DOT suppliers in Money Market; lenders, earn lucrative APY’s for supplying their DOT in Parallel Finance’s Money Market.
Details can be checked about DOT asset usage in Parallel Finance’s Money Market here -:
Parallel Finance Analytics
Realtime Polkadot Network Analyticsanalytics.parallel.fi
Today as of the time of writing this article, DOT APY interest rates for supplying DOT in the Money Market is 28% … pretty sweet!!
Get Para tokens from faucet to get started transacting in Parallel Finance
Right, so if DOT holders want to utilize Parallel Finance but don’t have the protocol’s Para tokens which is needed to pay for transaction fees, they can get it from the #faucet-parallel channel in Parallel Finance’s discord.
So, join Parallel Finance discord here — https://discord.gg/h3y92VVp after getting verified, go to #faucet-parallel channel and type this message ”!drip{address}” to receive an airdrop of 1 Para which will arrive in your wallet 72 hours later. Obviously, the address field should have your DOT account address.
Basic DOT yield maximizing strategy using Parallel Finance
I like to end by a basic strategy for DOT holders to earn most with their DOT assets on Parallel Finance…
That’s right, stake DOT and get sDOT.
Use sDOT to borrow DOT in Parallel Finance’s Money Market
Stake the borrowed DOT for more earnings!!
This is not financial or investment advise, please DYOR, (Do your own research before you invest or use any DEFI platform)
That’s all folks, I hope you enjoyed the little sweet DEFI episode I talked about.
You can learn more about Parallel Finance reading my other articles here -
Innovative Web3 financial solutions of New Age DEFI Super App — Parallel Finance
Value added Web 3 financial services of Parallel Finance make it a DEFI Super App
About Parallel Finance
Parallel FInance is a one of the top active DEFI parachains in Polkadot Network with a TVL of more than $488 million dollars. The varied Web3 financial services offered by the protocol make it a Super DEFI App. Besides, being a AMM and Money Market Protocol, Parallel Finance provides valuable services to DOT holders with its DOT liquid staking and Crowdloan module .
Infact, for DOT holders Parallel Finance is a One stop HUB with this Super Defi App offering them services that enable DOT holders to participate in the important aspects of the Polkadot Network like staking and contributing to Polkadot’s Parachain Crowdloans .
Please know learn Parallel Finance Doing Your Own Research(DYOR) as well.
Website — https://parallel.fi/index.html
Twitter — https://twitter.com/ParallelFi
Discort — https://discord.gg/DeyEntFT
White paper — https://parallelfi.gitbook.io/parallel-finance/polkadot-network/white-paper
