
Route 2 FI|Sep 04, 2025 16:05
Unlike traditional platforms, @synthetix_io Mainnet lets you earn on your deposited collateral even while your perp trades stay open.
For example, sUSDe currently earns about 10% APY through Ethena’s strategy, while wstETH gets ETH staking rewards of around 5% APY. This means you can trade and earn at the same time, turning idle margin into working capital.
Using yield-bearing collateral also opens the door to more advanced and capital-efficient trading. For example, you could deposit wstETH and short ETH perpetuals, creating a delta-neutral basis trade that earns both staking rewards and positive funding payments.
This method combines multiple income streams, increases arbitrage profits, and helps keep funding rates stable across the market.
Since you earn from collateral yields, you depend less on high funding rates, which naturally balances costs and lowers market volatility.
If you want to go even more degen you can loop wstETH as many times as you’re comfortable with on Aave, Fluid, etc.,, use it as collateral, short an equal amount of ETH perp contracts and earn from funding + looped staking. Depending on the borrow rate and the avg. funding rate you could get 25-35% APR.
When pairing multicollateral assets with offsetting perpetual positions, a natural hedge is formed that lowers liquidation risk.
Being long the asset and short the perpetual (or the other way around) means changes in collateral value and profit and loss cancel each other out, making positions safer and more stable while still capturing arbitrage and yield chances.(Route 2 FI)
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