4.1.1 flexUSD – yield on yield

4.1.1 flexUSD - yield on yield

Start earning on coinflex.com/flexassets

flexUSD is a multi-yield bearing stablecoin and is the first stablecoin that pays interest at the base level.

All stablecoins today pay zero interest from the issuer of the stablecoin. To earn yield or interest on your stablecoins you need to put them to work by lending them directly to someone else, yield farming or using the stablecoins as collateral to trade basis on derivatives products.

flexUSD and all flexAssets earn interest even when just sitting in a wallet, DeFi app, exchange or margin account. This enables what we call “yield on yield” i.e. using natively yield bearing flexAssets to earn extra yield on top from these various sources in crypto.

Does “yield on yield” work for only flexUSD?

It works for all kinds of FLEX wrapped assets, from flexBTC, flexETH, flexFLEX to any coins that CoinFLEX has repo markets in like flexLINK.

How do you get these flex assets?

You can create/redeem your assets 1:1 for flex assets on CoinFLEX.com/flexassets and also via secondary market defi platforms.

How is flexUSD earning this yield?

Lets use flexUSD as an example, USDC stablecoin holders send their USDC to CoinFLEX and create flexUSD assets immediately. The USDC balances are deployed into our repo market and will be paid interest every 8 hrs if there is funding collected via repo. We don’t know what this will be on any given day but our repo (see the Support Center on how our repo markets work) markets have typically been paying out 5-10% annualised (uncompounded) to USDC lenders. This means that holders of flexUSD will earn this passive 5-10% interest while holding and using a 1:1 stable asset.

So where’s the second source of yield?

These flexUSD and flex assets tokens can be taken off platform and deployed on defi lending platforms allowing you to earn further interest from yield farming. As exchanges start to accept flexUSD or flex assets as collateral, you can use this to trade basis and capture basis whilst at the same time earning yield from CoinFLEX’s repo market. CoinFLEX allows flexAssets as collateral to trade futures, perps and spreads and has many spot markets for flexAssets as well.

What rate of returns/yield can i expect?

This is obviously hard to predict but what we can say with certainty is that your return from repo will be higher than 0%, unlike what you currently receive from all other 1:1 stablecoins. The past may not be a good indicator of the future but if you add our historical repo rates of say 7% to what you earn in farming pools, say 15%, then you are talking about a 22% rate of return without taking into account compounding!

When and how is the interest paid from repo returns?

We have 3 repo auctions per day and you will get your pro-rata share of any interest earned by users borrowing your assets that underlie the flex assets. After each auction, we will transfer the interest earned on chain via the chain that you hold your flex assets on.

Do I have to move my flexUSD/assets onto another platform?

You can do what you wish with your flexUSD tokens, you can use them as collateral to trade on CoinFLEX or you can withdraw them to a personal wallet.

What blockchains do flexUSD/assets exist on?

We are live as an ERC20 token and also on the BCH network via SLP (simple ledger protocol) & SmartBCH (SEP20). We will soon be adding flexUSD across all other chains as we want the tokens to be chain agnostic e.g. TRC20, EOS, Polkadot and others

What are the smart contracts?

Ethereum (ERC20):

0xa774FFB4AF6B0A91331C084E1aebAE6Ad535e6F3

Bitcoin Cash (SLP):

dd21be4532d93661e8ffe16db6535af0fb8ee1344d1fef81a193e2b4cfa9fbc9

SmartBCH (sep20):

0x7b2B3C5308ab5b2a1d9a94d20D35CCDf61e05b72

Can I redeem my flex assets for the native assets at any time?

You can choose to redeem your flex assets at any time for the native assets but it will be processed and credited at the next auction cycle. Our repo auctions are at 12 noon UTC, 8pm UTC and 4am UTC.


How to mint the flexAssets?

Step1: Select “Mint”;

Step2: Select the asset you want to mint;

Step3: Enter an amount;

Step4: Click “Confirm” and you will receive a confirmation message.

Mint1 1 4.1.1 flexUSD - yield on yield

When can I redeem the flexAsset and how to do that?

You can redeem your flexAsset at any time for the native assets but it will be processed and credited at the next auction cycle. Our repo auctions are at 12 noon UTC, 8pm UTC and 4am UTC.

Step1: Select “Redeem”;

Step2: Select the coin you want to redeem

Step3: Enter the amount;

Step4: Click the “Confirm” button, a confirmation message with appear shortly.

Redeem 4.1.1 flexUSD - yield on yield

How to borrow the USD?

Step1: Select “Borrow”;

Step2: Input the amount that you want to borrow;

Step3: Select the collateral coin, it will automatically calculate the amount;

Step4: Click the “Enter the borrow amount” button, and you will be required to create a borrow account, continue the next step .

Notes:

1.  Borrow coin: USD only;

2.  No exceed the Max borrow and no less than the minimum borrow, minimum Amount=10 USD;

3.  Collateral coin: only ETH and BTC;

4. When borrowing, if don’t have a borrow account for the coin(ETH/BTC), the system will automatically create a corresponding borrow account after the user agrees to open it;

5. Account type: Borrow
Access permission: Same as normal sub account, except that the type is different;

6. LTV: loan to value. the larger the LTV, the higher the risk, the highest is 0.98.

Borrowcopy 4.1.1 flexUSD - yield on yield

Open 4.1.1 flexUSD - yield on yield

How to repay and get back the collateral?

Step1: Select “Repay”;

Step2: Input the collateral amount that you want to receive and select the corresponding coin;

Step3: It will show the amount automatically that you need to repay;

Step4: Click the “Repay” button and you also can view the detail by click the down arrow .

Repaycopy 4.1.1 flexUSD - yield on yield

Notes:

The above part is a easy method to repay, if have full experience in trading, you also can directly close the position and complete the repayment, for borrowing, it is actually sell a repo. which means long a repo position, repay is a contrary process, If the user buys a repo or closes a swap in the account, it is actually a repayment behavior.

Where can l view the history record?

You can view your records in the Asset History page by clicking the “View History” or the “flexAssets” under the “Wallet&Order”.

Historycopy 4.1.1 flexUSD - yield on yield

History 4.1.1 flexUSD - yield on yield:

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