ALT COIN VFAT STEP BY STEP TUTORIAL ENTERING A LIQUIDITY POSITION
https://www.youtube.com/watch?v=R9YW6S8x_Cs
Transcript:
All righty, what is going on Wealth28 Club members? Welcome back to another video breakdown. In today’s video, we’re going to do a step-by-step video breakdown of entering into a position on VFAT. So again, I’m going to take my time in this video breakdown, go over every single thing, all the tiny little tweaks and settings and things of that nature that you guys need to look at or take into consideration.
Obviously, of course, what it is that I’m doing is not financial advice. This is my own personal portfolio. And you guys should obviously, of course, consider looking at different positions, tweaking different settings and so on and so forth and testing different things out. This is just what it is that has worked for me and what it is that I’m going to be personally utilizing in my portfolio.
So take that into consideration. So you guys have already seen two previous video breakdowns on VFAT, the overview of VFAT, the platform itself, what it is that it offers. And then obviously, of course, myself, Kevin, and Mr. Aqua all talking on a Zoom call, breaking down the platform and entering into a position step by step.
But now I’m just going to kind of give you guys a more hands-on approach, a direct approach to entering into a position. So right off the bat, before we even get into the platform, make sure that you guys have, you know, whatever native digital asset for whatever specific protocol and chain you want to operate on.
So for this example, I had already previously bought some Aerodrome, roughly about $1,700 worth of Aerodrome, and I just simply utilized Coinbase. Now, keep in mind that if you are going to utilize a centralized exchange, for example, when I bought the Aerodrome in order to make this video and enter into this position, I bought it over a week ago because Coinbase does have a cooling off period, so does Uphold, and so do many other centralized exchanges.
So if you are going to be seeking to enter into a position, make sure you already have the native digital asset that you want to be utilizing for your specific position okay um now obviously of course we went over in previous wealth 28 club video breakdown centralized exchanges how to get digital assets and so on and so forth so by now you should already know that so i just wanted to throw that in there as step one my step one was buy some aerodrome and send it over to my coinbase wallet right once you have completed that step, you can now go on
to start to take a look at positions or again, whatever digital asset it is that you want to purchase for you to use on the VFAT platform, which again, we’ll go over in just one second. So just taking a look at the platform as a whole, you have some yield options. This is where you can go and you can look at different yield products across the DeFi ecosystem. You have some yield options.
This is where you can go and you can look at different yield products across the DeFi ecosystem. You have the ability to swap directly on the platform. You can search different tokens on chains, the prices and the liquidity in each specific token, which I think is a really great feature. You also have lending markets where you can gain insights into the DeFi lending market space. You have different platform stats.
For example, you can see the TVL locked on VFAT itself. You can see the different amount of users, the different positions that are open on the platform, and here you can see the different TVLs across each different chain, which I think is also pretty cool. Right? So lots of different available things for you to do on VFAT.
So let’s jump in and go through step-by-step on a position. Now, when you go to the homepage and you click yield, this is where we are going to start the kind of filtering of the website. So once you get here and you click on farms or you click on yield, this is what page is gonna open up. It’s the farming page.
And it’s gonna give you a whole massive list of different protocols, different chains, and so on and so forth that you can enter into positions with. So we actually want to tweak these settings. So for me personally, because I predominantly operated on Aerodrome and I have a lot of Aero token, I’m going to be utilizing the aerodrome protocol.
I’m going to be utilizing the base chain and I want to be focused on concentrated liquidity positions. Okay. So we’re going to come up here to this little tiny tab that says edit filtering options. Now, actually, as a matter of fact, let’s take a step back. I have a list of notes here, and this is kind of just an overview, a checklist of things that I want you all to keep in mind as we go through this process.
So before we can actually toggle different settings like auto harvest, auto compound, auto rebalance, you are going to need to be in a position. So we will get into that as this video breakdown goes on. From our personal experience, especially Mr. Aqua, because he utilizes Apple products like an Apple laptop or a Apple computer, keep in mind that Safari sometimes does not work on specific DEXs or DAPs or specific platforms.
So if you are having issues or you’re getting error messages pop up quite frequently, check the browser that you’re operating on, whether it’s Chrome, Safari, or Microsoft Edge, okay? And just try to flip-flop between different browsers to see if you can troubleshoot the problem that way. And if not, then it’s most likely that you’re operating on an Apple computer and iOS devices tend to be difficult when it comes to the DeFi space.
So just keep that in mind. You might wanna consider getting a Windows. I personally utilize the Stealth 16 AI Studio AIV MSI laptop. If you guys are ever interested in that, just Google it and you’ll see a picture of it come up. It’s quite expensive of a laptop, more so on the expensive side.
It’s $2,000 plus, but it’s really great. Lots of storage. It’s super fast, the gaming laptop, and it’s done me no wrong. So just take that into consideration. That’s the one that I personally utilize. You need to make sure before you are swapping cryptocurrencies around or before you’re even entering into positions that you have some capital in your wallet on the sidelines to pay for gas fees. So for this example, we are going to need to have ETH on the base chain.
So whatever, you know, let’s say you’re on Velodrome and you’re looking for optimism positions, okay? You are going to need to have some ETH on the optimism chain to pay for gas fees to enter into this, you know, platform, right? So just keep that in mind that you do have some capital on the sidelines in your wallet dormant. So that way you can pay for gas fees.
Now, when the position has been created, you do, and we are going to go through this specific video breakdown, make sure that you go back and you set up your auto rebalance, or you will have to do it manually on this platform. Okay. And then make sure I have a note, make sure that you get rid of KyberSwap, which we’ll go over as well in this video breakdown.
We’re going then make sure I have a note, make sure that you get rid of KyberSwap, which we’ll go over as well in this video breakdown. We’re going to make sure that our slippage is set to a certain percentage. All these things, again, just like how, you know, you would send a test transaction to your wallet or your cold storage. These are all little tiny checks that you want to have checked off, you know, before you solidify anything.
So that way you can, you know, make sure that this platform works properly for you. And then also keep in mind that if you are on different DEXs, for example, you have positions on Velodrome or Aerodrome or Ramsey’s, you can actually transition those positions directly over to the vfat.io platform. Okay. So those are all little tiny perks, tips, and tricks, and settings that we are gonna go over in today’s video breakdown.
So let’s just tweak the settings here. Again, we’re going to go to Edit, Filtering Options. We’re gonna click that. And so for this example, again, you have all your different protocols up here. You have PancakeSwap, VeloDrome. You got Equalizer, Ramsey’s, which I am on. I don’t think I’m gonna integrate my Ramsey’s position over to this platform quite yet.
But we can see right here, we also have Merchant Mo, we have Nile, and then we have Aerodrome. So I want to click Aerodrome. And then I also want to make sure that I have Base clicked as well. And then here you can see we have the different farming types, volatile or concentrated for me personally I want to do concentrated all right and then so once you click off the editing filter all of those filters should be locked in and you should only see base chain and you should only see the aerodrome protocol you can see here so everything has
changed I’m not seeing a whole bunch of different protocols in different chains now I’m just simply seeing the aerodrome protocol on a base chain. You can toggle APRs. So you can pick, obviously, of course, what the minimum APR you want to see, minimum TVL you want to see. So for us, for example, obviously, of course, that’s going to be 500,000.
For me, for this specific example, and for my DeFi portfolio and my strategy, I want a minimum APR of 200%, right? So I would then go and plug that in and you guys can shift around, you can toggle that, you know, according to your own strategy. Now, so for this example, I’m going to actually be entering into the wrapped ETH arrow position and you can see that up here we have wrapped ETH arrow right here and so right now the TVL locked on this is 2.8 million with a APR reading of roughly about 398 percent so
we’re gonna go ahead and we’re gonna click on that all right so now that that is clicked open how do we actually enter into the position we’re going to go ahead and we’re going to click on that. All right. So now that that is clicked open, how do we actually enter into the position? We’re going to come over here to this dropdown menu that opens up over here to the right hand side. Okay.
Obviously, of course, again, make sure that your wallet is connected in order to do all this. Personally, I utilize the Coinbase wallet. I’m not too familiar with any other wallets that are compatible with this specific platform. However, I’m sure that there are multiple wallets that are compatible. I just personally utilize the Coinbase wallet, which is downloadable on the Chrome, as a Chrome extension, okay? So just annotate that as well.
So here you can see the different token that you want to send. So first, we are obviously, of course, going to make sure this says deposit price and arrow. The token that we want to send is going to be our arrow, which you can see is right here, roughly about $1,800. So we’re going to go ahead and we are going to click that just to double check.
I’m just going to make sure that that is how much money I have in my wallet. So it is $1,844. That’s the amount of money that I want to utilize to enter into this specific position. Now, unlike other DEXs, you don’t have to utilize the swap feature to gather an equal amount of both assets.
So for this pool, right, I am entering in a wrapped ETH arrow on the traditional aerodrome decks. You would need to go and you would need to swap out an equal amount of wrapped ETH for arrow. So that way you have 50, 50 of both assets. Well, this platform actually does that for you automatically. So you don’t need to worry about that. I don’t need to go in and swap anything out for wrapped ETH.
I’m just going to deposit my arrow and it’ll automatically, you know, give me a 50, 50 side of each token to enter into this position, which I think is a great feature of the VFAT.io platform. OK. All right. So moving on. Right here, obviously, of course, you can see the amount that of arrow that you’re going to be depositing. So I’m going to go ahead and you can see right here, the max amount is 2,110 EUR.
Now I do like to keep a little bit of EUR in my wallet. So I’m just actually going to do 2,100, right? So that’s the amount of EUR that I’m going to be entering into this position with. And then right down here is where you are going to determine the percentage in which your position will rebalance in to the up and down side. Now, what myself, Mr.
Aqua, and Kevin have seen works the best is if you give yourself a wide enough range so that way you are not having to rebalance your position as frequently or as often eating into your fees. Obviously, of course, every single time you rebalance and whatnot, it is going to charge you a fee. So you don’t want that happening every single day.
You want to give yourself a wide enough range, but a concentrated enough range to where you’re still earning a decent amount of APRs according to your strategy. So for me, as an example, I like to have a position that is making over 200% APR. That’s just for me personally. And so for me, I like to keep it anywhere between seven to 10%.
So you can see here right now, the width of this auto rebalance is roughly about 4%. Okay, it’s 2% to the upside and roughly about 2% to the downside. And so with these different toggle buttons, the minus and plus is your minimum price that you can toggle. So you can see here, if I click the plus, this number right here is going to increase, right? So it went from negative to zero.
And you can see at the same exact time that I’m doing that, this APR right here either throttles up or down. So obviously, of course, the more concentrated your range, the higher APR, the less concentrated, the wider your ranges, the less APR you’re going to get. Okay.
So with that being said, you can see right here, 6% is right now how wide my range is. I want it to be at least 7% to 10%. So I’m actually going to toggle this. I’m going to make it 2.5 to the downside, and I’m going to make it 2.5 to the upside. And you can see that that changes to, you know, 7%.
And you can see the APR that I’d be getting on this position is roughly about 257%, APR that I’d be getting on this position is roughly about 257%, which is a decent amount. In my personal opinion, it is above 200, which for my strategy is decent, right? It’s a decent amount in my personal opinion. So next we want to come down here after all of that is solidified and you’ve played around.
Now, obviously, of course, you guys can play around with different widths just keep in mind that the tighter your range and the more that you go out of range you are going to have to pay fees to get that auto rebalance in and it’s going to possibly eat away at your profits so right down here you want to change the slippage make sure that that says 0.25%. That’s the slippage that I’ve personally seen work. Anything above or below that tends to not work.
And then right down here, you see where it says select aggregators to use? You want to toggle that, and you only want Otos, OpenOcean, and Paraswap clicked. You want to unclick KyberSw. If you have Kyber swap clicked, it tends to not work. Okay. So just keep that in mind. Again, that’s just myself, Mr.
Aqua and Kevin testing that and seeing that that tends to not work when you have Kyber swap clicked. So make sure that you unclick that. And then last but not least, you’re just going to double check everything. Okay. Everything seems solid. Then you’re just gonna double check everything. Okay, everything seems solid.
Then you’re just gonna go ahead and you’re going to deposit into the position. Now, once you click deposit into the position, you are going to get sent, obviously of course, confirmation to your wallet. So I’m confirming that now. I don’t know if you guys are gonna be able to see that in the screen recording, but right now I’m just confirming this in my wallet.
So once it’s approved, you’re going to see, it goes on to give you a couple more confirms to your wallet. We’re gonna confirm that. Confirming the transaction, signing the smart contract, right? And then boom, transaction is successful. Okay, so very simplistic, easy to enter into these positions. You can see the approved amount was 1,804 US dollars or roughly about 2,100 aero.
And you can see the protocol fee. So this is very interesting, right? Because what’s so crazy about vfat.io compared to other yield aggregating platforms like beefy. As an example, the protocol fee here is only 1.8, nine, right? So a dollar 62. If I was to enter into a position on the beefy platform, for example, I sent a opportunity of the week to the discord section the other day on the beefy platform, which was offering a phenomenal yield, over 500% for the position that I showed you guys in the Discord.
However, it was charging, I believe, like a 9.8% fee or 9.8 fee, which is just insane. So, I mean, you know, the protocol fees are extremely low on this platform, which is just another tiny perk that I thought that I’d point out right there, which is just another tiny perk that I thought that I’d point out right there, which is again, why I, you know, I’m choosing to use this platform.
So once that is in place, you can come up here to your deposits. You see right here, before I started the recording, it said one, because I had one deposit on this platform. We’re going to click open the deposit tab, and you’re going to see this drop down. Then you have the total deposits that you have on the platform.
You can see roughly about $2,891 I have deployed. The APR, $2,777. And then the daily rewards I’m making is roughly about $21. And the amount of money so far that I’ve earned is roughly about $4. So you have all of these tiny little features up here and you can toggle this down.
You know, you can see the combined APR, the daily APR and so on and so forth. You can see right here, the hourly rewards, daily rewards, weekly, monthly, yearly. So you obviously of course can toggle that. So now right here, this is where we’re going to get into the nitty gritty and kind of tweak the settings a little bit more. Obviously, of course, more so than we already have.
So looking at the positions, we can see the asset and the positions in which we’re in. Now, these two features right here, you can see on my first position that I entered, I have the auto harvest feature on and I have the auto rebalance feature on. And you can see here for this pool that we just entered with the wrapped EVE arrow, I do not have the auto rebalance feature on.
And you can see here for this pool that we just entered with the wrapped ETH arrow, I do not have the auto rebalance. So we’re actually gonna toggle that and turn that on. And I’ll show you how to do that in just one second. And then here you can see the status. So this is actually letting you know where you are at in your current range. You can see that this one is slightly oriented towards the downside or slightly oriented towards wrapped ETH.
And you can see this one that I just entered is directly in the middle. You can see the total deposits, daily rewards, and so on and so forth. So we’re going to come up here to the right-hand side and you can see once we are actually on this position. Okay. So we’re going to click that down.
We’re going to come up here to the settings and we’re gonna click this little tiny drop down menu right here So so once you click on that settings button, this is what’s going to pop up and obviously of course to click that drop-down menu You’re gonna go ahead and you’re gonna click the drop-down little arrow right there You got automation you have automate rebalancing which will go into the settings here in just one second and you have automate rewards Now for you you have different options available.
You have the obvious, of course, disable option if you don’t want either of these options. Then you have the auto harvest, which is the current feature. Remember in the previous video breakdown, I selected to get paid out directly to my wallet in USDC. So I’m gonna keep that feature. And then you obviously, of course, have the choice to auto compound, which auto compound, if you want to have your profits that you’re making From these positions roll right back into your positions themselves to create a snowball effect
You have that a bit availability as well. Okay, so I’m just gonna keep it on the current Down here. You’re gonna make sure that your max price impact is set at zero point five percent and just double check that your slippage is set to 0.25%. Choose if you want to receive push notifications. You can disable that. You can enable that.
I have mine enabled. You can download an application on your phone and get push notifications directly to your phone. However, I do everything on the computer. So I have my push notifications sent to notify me on the computer. And this is again, if you go out of range, it notifies you directly to whatever device you want to be notified on.
So once you have all of those settings checked and good to go, all right, you can go ahead and you can exit that out. That’s all set up. Next, we want to tweak the auto-rebalance feature. So over here, again, to the right-hand side, you can see you have increased, rebalanced, withdrawal, compound, harvest.
We wanna click on rebalance, and we wanna just make sure that this is set up. So we’re gonna configure the auto-rebalance right here. You can see it says rewards, compound, that’s what we want. I’m gonna actually choose harvest and I want to get paid out in USDC. Okay, I don’t want a buffer on this specific position.
However, if you do choose a buffer, we went over that in the previous video breakdown, what that is, you can choose one. If you click custom, you would go in and you would just set that buffer yourself. For me, I’m gonna choose none. Slippage, again, we want that to say 025. And we want to enable auto rebalancing.
Once you click enable auto rebalancing, obviously of course you’re gonna get confirmation to sign something in your wallet, transaction successful, boom. And then obviously, of course, you have the ability to disable auto rebalance if you choose to do so. And then now you can see that feature has popped up on my position.
So I have the auto rebalance feature and the auto harvest feature, just like I do on these, uh, just like I do on this position down here, right? So very simplistic, easy overview, straight to the point, play around on this platform, have fun with it, assess your risk properly, and make sure at the end of the day that you have all of these features checked off so that way these positions actually work for you.
Make sure that you have a strategy designed for what you want to accomplish in the market. Everybody is going to have a different amount. Don’t try to be competitive when it comes to saying to yourself, Oh, you know, I might only have a hundred dollars to start, or, you know, maybe you have $50,000 to start, whatever the case is, the goal of a DeFi earner is to constantly be in range and constantly be earning rewards.
So if you can accomplish those things, it doesn’t matter if you’re starting out small or big. So I hope that you all enjoyed this video breakdown, how to enter into a position on vFAT.io step-by-step, showing you guys the ins and outs and the settings that I have tweaked on this specific platform. You guys can see the current APRs that I’m getting on these positions.
For example, the one that we just entered in, I’m roughly earning about 300% APR. And the position down here that I entered in the other day is earning roughly about 239% APR, which in my personal opinion are both significantly higher than what a bank or financial institution is going to give you or any traditional investment.
So with that being said, again, play around with this platform, click through certain things, trial different settings if you choose to do so at your own risk discretion. And with that being said, I will see you guys in the next video breakdown.
