Twitter analyst and DeFi educator Route2FI talks about high potential protocols in the Terra (LUNA) ecosystem and how altcoin investments can be doubled. In this article, we take a look at Route2FI’s January 7 tweet comparing LUNA, USDT and MIM returns.
Altcoin project offers many potentials to achieve high yields
Route2FI thinks that the LUNA price will continue its uptrend, but the Terra ecosystem may face the hurdle of “bias” due to personal excitement. The Terra ecosystem showcased some of the most interesting protocols on the market throughout 2021. The first is Anchor Protocol, where Terra’s stablecoin, UST, can be staked with an annual yield of 19.5%. In addition to earning passive income with this protocol, high yields can be obtained by borrowing bETH and bLUNA using ETH and LUNA as collateral. SOL and ATOM are among the altcoin projects that will soon be added to the protocol’s range.
Using Terra ecosystem more efficiently
If the passive return is allocated to the stake pools again, the analyst calculates that if this procedure is repeated 8-10 times, the investments can be doubled. At the same time, the expert warns of the high risks involved in this “yield farming” style. As Kriptokoin.com , Terra (LUNA) became one of the most prominent layer one Blockchains in the last quarter of 2021. Galaxy Digital CEO and veteran Bitcoin (BTC) advocate Mike Novogratz claimed on CNBC’s record board that LUNA should replace LTC. Route2FI, on the other hand, thinks Anchor Protocol’s opportunities are more efficient than just waiting on LUNA:
I started with $100 as a test, everything worked out, and I started investing more and more money. As of this writing, I have about $216,000 in Anchor Protocol. However, as with any investment, there are risks.