Advanced tips

Advanced tips for skilled [degenerate] farmers and traders using Stackfi Protocol

Understanding Collateral on Stackfi

  • Collateral isn't idle — all assets on your Credit Account act as collateral.

  • The composition of your Credit Account (farms, LP tokens, tokens) = active collateral.

  • You can keep ETH idle to borrow stables and grow leverage power.

Borrow & Leverage Limits

  • Min/Max leverage depends on DAO-defined contract-level parameters.

  • Leverage max = 1 / (1 - LTV)

  • Example: LTV 90% → 10x leverage

  • Real-world risks suggest reducing max leverage by 0.5x or more for safety.

Maxing Out Leverage Safely

  • Use the formula: N = 1 / (1 - LTV * p)

  • Where p = expected worst-case price dip of the collateral

  • Example with FRAX @ $0.95: 6.896x max leverage

  • Don’t go full degen unless you know how to use Etherscan “Write” functions!

Oracles

  • Stackfi uses Chainlink and Redstone

  • Custom price feeds based on Curve pool virtual price * weakest asset price

  • Safety ranges and LP share protections implemented

Slippage & Price Impact

  • Slippage loss = real and comes from your own capital, not protocol funds

  • MEV risk? Use MEV blockers

  • Example: 0.05% on $1M = $500 instant loss. But recoverable with APY on leverage

Claim Farming Rewards BEFORE Closing

  • Curve/Convex rewards may remain on Credit Account

  • Claim them manually to ensure you collect

Reminder:

  • Check slippage settings

  • Monitor your HF

  • Claim rewards before closing CAs

  • Use Nansen/on-chain tools for real asset values

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