213
I need to clarify something regarding a previous postRAMP DeFi ecosystem. RAMP DeFi allows you to earn rewards in RAMP token by staking assets, as well as borrowing them.
However, before deciding to commit any finances to this project, be aware that you cannot claim your RAMP reward tokens right away, either through direct action or by removing your position. Unlike some other protocols like PancakeSwap, in which you can claim your CAKE rewards at any time, RAMP has a vesting period. Upon deciding to vest, the tokens are released to your wallet at a 25% schedule every 30 days, with the first 25% released immediately. You can also choose to claim right away, at a 50% penalty.
However this impacts your strategy is up to you of course. If you are waiting for an uptrend in the price to claim your rewards and sell them, you would obviously want to be aware of this. You then may want to be vesting regularly, regardlesss of the current price, so you could be ready to sell. At the same time you could also stake any claimed RAMP right back in the same platform in one of their stablecoin vaults, for rUSD yield and additional (but vestable) rewards. Using this strategy, you'd be subject to gas fees everytime you vest/claim and then stake, and then vest/claim again or withdraw, so you'd have to determine the right frequency balance depending on your amounts.
The price of the RAMP token has not been on an uptrend lately, much like most of the crypto market. However, it's still possible to profit if the rewards ratio outpaces the downtrend. For instance, even with a 50% penalty, I'm actually in a small profit so far just by borrowing rUSD, the RAMP stablecoin. There's a small interest APY but a large rewards APY. As well, the price of rUSD has gone down since I borrowed it. This could always reverse, but for now, if I were to buy back rUSD to repay the loan, I'd be ahead.
As always, DYOR and I am NFA!
