Bastion Becomes First Lending Protocol on Aurora to list stNEAR
Deposit stNEAR as collateral, earn triple rewards.
Deposit now to earn SIX Rewards!
tl;dr
- Bastion first lending protocol to list stNEAR
- stNEAR Deposits beginning March 10th
- stNEAR can be used as collateral for lending
- stNEAR deposits will earn SIX forms of rewards: Staking Rewards, BSTN Rewards, $META Rewards, Aurora Rewards and NEAR Rewards
Overview
We are thrilled to have partnered with Bastion as they become the first lending protocol on Aurora to list stNEAR. Bastion launched on Aurora just over one week ago with a limited range of assets that include NEAR, USDC, USDT and Ethereum and has already amassed a whopping $280m+ of Total Value Locked (TVL). Now stNEAR is being added, along with Aurora, enabling users to earn up to six different types of rewards and to access liquidity by borrowing money using stNEAR as collateral.
stNEAR Core to Defi Money Legos
The world of Decentralised Finance (DeFi) is sometimes referred to as Money Legos to capture one of its most important features *composability*. DeFi has a unique ability to allow users to mix and match across any components to achieve maximum capital efficiency and best returns.
Staked NEAR (stNEAR) is the best form of collateral, as it combines two important aspects. First, it is made up of NEAR, a strong asset with deep liquidity. Second, a stable, low-risk revenue stream in the form of Staking Rewards from the Protocol, currently around 10% paid out in NEAR.
How Lending on Bastion Works
Bastion is a decentralized lending and borrowing protocol which algorithmically sets interest rates based on supply and demand. Quite simply, you can deposit assets as collateral and borrow money against that collateral.
Each asset has a collateralization ratio — how much of your collateral you are allowed to borrow. For instance, if stNEAR collateralization ratio is 60%, and you have $100 worth of stNEAR deposited, the maximum you can borrow is $60.
If your position falls below the minimum collateralization requirements it will get liquidated: you lose your collateral as it gets used to pay back your outstanding debt.
Learn more about how Bastion works here.
Bastion Bonanza: $META Rewards + Liquidity Mining
Last month we announced changes to the way META rewards are distributed to prioritize our partners, Bastion being one of them. But it gets better! stNEAR depositors will benefit from a range of rewards that are designed to kickstart the DeFi ecosystem:
- Staking Rewards: ~10% on your NEAR with Meta Pool
- $META Rewards: Meta Pool token distributed to stNEAR holders via Bastion
- BSTN Rewards: Bastion protocol native token distributed to Bastion users
- Deposit APY: traditional interest rate earned by providing assets to a money market (similar to a savings account on a bank)
- Aurora Rewards: liquidity mining incentives provided by Aurora
- NEAR Rewards: liquidity mining incentives provided by NEAR Foundation
Leveraging Strategies
There are many opportunities with varying degrees of complexity to put your capital to work and generate healthy returns. Some of the more popular ones are:
- Deposit stNEAR and earn SIX rewards
- Self-repaying loan: deposit stNEAR, earn multiple rewards, borrow USD stablecoin using stNEAR as collateral. If the amount you are receiving from rewards in higher than the interest rate paid on the USD debt, then the loan pays for itself over time.
- Leverage Stables: Deposit stNEAR, earn multiple rewards, borrow USD stablecoin, deposit Stablecoins into a Farm such as Rose or REF Stableswaps and earn additional returns.
- Degen Looping: deposit stNEAR, earn rewards, borrow USD, buy more NEAR, stake it for more stNEAR — REPEAT.
How to Get stNEAR
- Easiest way to get stNEAR is on Trisolaris or Wannaswap (soon)
- You can also deposit NEAR directly on Metapool.app (NEAR Native)
- Very soon, you’ll be able to stake on Metapool.app directly from Aurora
