BiFi X is unlike any other DeFi protocols in that it allows you to manage your positions separately. You cannot do this on other lending protocols like Compound or smart wallet services like Instadapp. All of your deposits and borrows get combined, making it difficult to unwind the position, or even know how well your position is doing.
On BiFi X, the earnings on yield farming and the returns on trading for each position is shown separately. They can also be ended separately, if you want to exit a position.
You can now understand how your DeFi investments are doing. Read below to see how.
Most of the metrics are shared for both Earn and Bet positions.
Boost: Leverage you assumed for the position.
LTV: Current Loan-To-Value Ratio (LTV).
LTV = Value of Deposit / Value of Borrow
BiFi Reward: Current accrued amount of BiFi tokens.
Net Interest: Current accrued interests of deposits and borrows.
Net Interest = Deposit Interest - Borrow Interest
Principal: Value of your initial deposit (without boost) at the start of your position.
Principal = Initial Deposit Amount * Initial Deposit Asset Price
Current Value: Value of your position if you ended your position now.
Current Value = Current Deposit Value - Current Borrow Value + Net Interest + BiFi Reward
Detail: Amounts of deposit, borrow, and interests.
There are some differences in Earn and Bet positions.
Net Earning: Current value of rewards minus accrued interests.
Net Earning = BiFi Reward + Net Interest
Principal and current value are not in your earnings, because even if the value drops, the amount of your deposit does not change.
Earning (%): Current earning as a percentage of your principal.
Earning (%) = Net Earning / Principal * 100
Net Return: Current gain/loss on your position
Net Return = Current Value - Principal
Return (%): Current gain/loss on your position as a percentage of your principal
Return (%) = Net Return / Principal * 100
You can take two actions to manage your position.
You can claim accrued BiFi rewards, without ending your position.
You can only claim the full amount of rewards.
Once you claim BiFi rewards, your Net Earning or Net Return will decrease, because both metrics include the value of your BiFi rewards.
You can end your position in a single transaction, just like you started your position.
You can check the expected amount of return and rewards you will get in your wallet.
Final amount returned to your wallet after ending position may vary depending on fees and slippage. What is slippage limit?
This also requires flash loans, which incurs Flash Loan Fees and BiFi X Fees.