Overview
Lend. Farm. Stay Protected.
Apricot is a next-gen lending protocol that supports leveraged yield farming on Solana. Our mission is to help users maximize yield while protecting their downsides.
With Apricot, users can:
- Deposit assets to earn interests (Apricot Lend)
- Borrow assets for trading or leveraged yield farming (Apricot Cross-Farm)
- Pre-configure when and how automated deleveraging takes place (Apricot Assist)
Apricot Lend provides standard lending and borrowing services: users deposit assets to earn interests, and use their deposited assets as collateral to borrow other assets.
Apricot X-Farm provides cross-margin leveraged yield farming service for users to maximize yield from their existing holdings.
Let's take USDT-USDC LP farming for example. In other leveraged yield farming protocols, users would need to own some amount of USDT and USDC before they can start farming the stablecoin pair. If they do not have USDT and USDC sitting in their wallet, they would have to swap other tokens into these stablecoins first.
On Apricot X-Farm, users do not need to own any amount of USDT or USDC to start farming. Instead, they can collateralize their non-stablecoin assets to borrow the stablecoins with up to 3x leverage, and start farming USDT-USDC LP right away. These stablecoins will then be auto-pooled and staked for LP tokens, resulting in 3x farming yield.
In short, using X-Farm, users can:
- 1.Deposit any supported assets they already own (e.g. SOL, BTC, USDT, USDC, etc.)
- 2.Start farming LP tokens at up to 3x leverage, using entirely borrowed assets
- 3.The LP tokens in your account are auto-staked and periodically compounded, so you start earning 3x LP farming yield right away
In this way, X-Farm efficiently increases users' access to additional yield without forcing them to sell any assets.
But wait, what about the risk of liquidation?
Fear not, Apricot Assist is designed specifically to help users manage their leveraged positions to reduce liquidation risks through an automated self-deleveraging mechanism. With Apricot Assist, users will be able to control:
- When to start selling or redeeming your collateral assets
- What and how much assets should be sold or redeemed
Take the example above where a user has opened a 3x leverage USDT-USDC LP position against SOL. However, now the price of SOL fall dramatically overnight. The user can stay protected if he or she has configured Apricot Assist to perform the following deleveraging actions:
- When: when "borrow limit used" reaches 95% (liquidation at 100%)
- What and how: redeem X amount of USDT-USDC LP tokens back to USDT and USDC, and repay the corresponding debt to get back to 90% "borrow limit used"
Apricot Assist's timely intervention produces the following outcomes:
- “borrow limit used” goes down to 90%, back to safety
- All initial SOL principal is preserved
- Size of USDC-USDT LP position has decreased (lower leverage ratio, less rewards)
As a user, you can program when Apricot Assist gets activated and how many LP tokens get redeemed and etc. using the Assist Simulator.
Note that current version of Apricot Assist 1.0 only supports the repayment of stablecoin debt. In near future, there will be additional support for the repayment of non-stable tokens. For more details, please refer to the Apricot Assist section under Product User Guide.
Last modified 1yr ago