Whether you’re a beginner or an advanced user, Valora offers multiple ways to earn DeFi rewards. Here are the four “Levels” that you can go through to up your DeFi experience on Valora:
Level 1 - Earn Supercharge rewards of 12% APY on your CELO stablecoins simply by holding them in Valora.
Level 2 - Stake CELO on ChurritoFi for up to 3.96% APY by voting on a Celo network validator.
Level 3 - Lend cUSD on Moola for up to 1.58% APY on loaning your crypto assets.
Level 4 - Provide liquidity on Uniswap for up to 0.5% APY to enable others to trade between assets.
If you are an experienced crypto user, you might wonder what you can do with decentralized finance (DeFi) on Valora.
To help you quickly start exploring, we created a series of “Levels” for you to ramp up your DeFi activities. You can go from simply holding stablecoins for rewards to providing loans for borrowers, all the way to acting as market makers for other traders. And all of these opportunities are available to you in your Valora app.
So if you’re curious to see how far you can go in DeFi, then here are the four progressive “Levels” of DeFi on Valora you can try out.
Level 1 - Earn supercharged 12% APY on CELO Stablecoins
The beginning of DeFi on Valora starts with the Supercharge Rewards Program, which offers you a 12% annual reward on your stablecoins.
Getting started is easy. Just swap your preferred cryptocurrency for cUSD, mCUSD, or cEUR, and hold them in your Valora wallet. From there, Valora does the rest of the work by automatically calculating your rewards (based on your average weekly balance) and then distributing your rewards to you on a weekly basis. All you need to do is claim your rewards each week using a one-click icon in the app.
Valora’s Supercharge Rewards Program is perfect for DeFi beginners due to its simplicity. Plus, there are no lock-up requirements so that you can add and withdraw funds or rewards at any time. And a minimum of 10 cUSD or cEUR, or 20 cREAL is all that’s needed to start earning 12% APY.
However, the Supercharge Rewards Program pays rewards only on a maximum of $1,000 of stablecoins. So if you’ve maxed out your deposit, and you’re ready to take DeFi to the next level, then continue reading below.
Level 2 - Stake CELO on ChurritoFi for up to 3.96% APY
Celo’s ChurritoFi lets you take DeFi to the next level by staking CELO to earn up to 3.96% APY. Here’s how it works.
As long as you have at least one CELO in your Valora wallet, you can:
Connect your wallet to ChurritoFi.
Select how much CELO you want to stake.
Vote for a network validator group that you believe is efficient and reliable.
Activate it on ChurritoFi during Celo’s next epoch, as this converts your pending vote to one that earns rewards.
And that’s it! From there, just monitor your wallet as rewarded CELO is added to it.
You’re free to unlock your deposit and rewards at any time, and you can withdraw your funds in three days after unlocking them. Additionally, there’s no limit to the amount of CELO that you can stake on ChurritoFi.
And if you’re not sure which validator group to vote for, don’t worry because ChurritoFi continually updates and presents the performance metrics for each group.
At this point, you’re starting to become an experienced DeFi user. However, your journey isn’t done yet, because now you can use your assets to become a lender. On to the next level!
Level 3 - Lend cUSD on Moola for up to 1.58% APY
Moola is one of Celo’s most popular DeFi dapps because users can lend and borrow crypto assets between each other, which means you can act as a banker and get fees by lending your assets to others for APY rewards.
For example, at the time of writing, you can lend cUSD to others for 1.58% APY. All you have to do is connect your Valora wallet to Moola, select how much cUSD you want to deposit into the dapp, and then initiate your deposit. From there, your cUSD will begin earning compounding rewards. That’s because other users are taking out cUSD loans from the pool where you made your deposit.
On Moola, there are no minimum or maximum deposit limits, and you can withdraw your funds at any time. Moola currently has over $4 million in deposited funds with more than $1.1 million in issued loans to borrowers.
At this point, if you’re thinking that being a lender is as far as you can take DeFi, then think again! There’s still one more level to attain before becoming a DeFi expert.
Level 4 - Provide liquidity on Uniswap for up to 0.5% APY
Uniswap is perhaps the most popular decentralized exchange (DEX) in all of crypto. Users connect to Uniswap in order to buy, sell, and trade their crypto assets.
But the big question is: who provides the assets for users to trade with? And the answer is people just like you.
Providing assets to DEXs like Uniswap is what’s known in DeFi as being a liquidity provider. You’re essentially acting as a market maker. You supply Uniswap with equal amounts of paired tokens into a pool, and when other traders swap those assets, you’re rewarded with part of the trading fees. It’s that simple.
Currently, you can provide cUSD and cEUR together on Uniswap to earn up to 0.5% APY.
Before getting started, we do recommend you take some time to read about the process and associated risks of providing liquidity. Uniswap offers some excellent resources, which you can find here.
Once you’re providing liquidity to DEXs, you’ve basically reached the top level of DeFi skills in this guide. Congratulations! Now, for those who want even more complex DeFi tactic guides for more complex DeFi opportunities, let us know!
As you can see, DeFi offers a wealth of opportunities for you as a crypto user. And on Valora, you can go from a DeFi beginner to DeFi expert all from the convenience of your mobile app.
So whether you want to hold stablecoins to get 12% APY, stake CELO on ChurritoFi by voting for Celo validators, lend assets to borrowers with Moola, or provide liquidity to traders on Uniswap, all these opportunities are available to you on Valora.