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SyncSwap LP as collateral
As part of our ongoing collaboration with SyncSwap, we are enabling you to unlock the potential of your SyncSwap LP tokens. Instead of them sitting idle, they can now be used on EraLend as collateral to borrow ETH or USDC. And you still retain your initial trading fee earnings from SyncSwap, essentially making the most out of your LP tokens! As we initiate this feature, it will be exclusively available for SyncSwap USDC/WETH LP tokens. In future, more SyncSwapLP tokens will be listed through careful assessment.
Q: How can I acquire SyncSwap LP tokens?
Q: How can I supply my SyncSwap LP tokens to EraLend as collateral?
Q: What assets can I borrow against SyncSwap LP collateral?
A: At present, we allow the borrowing of ETH and USDC against USDC/ETH LP token from Syncswap, with a LTV(Loan-To-Value) ratio of 60%.
Q: Will staking my SyncSwap LP tokens impact my LP trading fee rewards?
A: No, your LP token staking in EraLend won't interfere with your ability to earn trading fees on Syncswap. Your LP tokens will continue to accrue trading fees throughout the staking period.
Q: Why does my LP position decrease on the SyncSwap dashboard after I've staked my LP tokens on EraLend?
A: This is an expected scenario because your LP tokens have been staked on EraLend. Once you unstake, your position displayed on the SyncSwap dashboard will be restored.
Q: What risks should I be aware of when staking LP Tokens?
A: You need to be aware of liquidation risk. Please ensure your borrow utilization remains at a healthy level to avoid possible liquidation.