Silo Looping Strategies

Deposit into Silo's Looping Strategies in a single click.

At DogBone, to enable one-click looping strategies, we leverage Silo's flash loan functionality—allowing you to instantly borrow and loop without manual transactions.

Example: Leveraging 5x with $100 worth of PT-wstkscUSD

Let's walk through the process:

  1. Flash loan $400 worth of frxUSD from Silo’s Vault.

  2. Swap $400 worth of frxUSD into $400 worth of PT-wstkscUSD (using DEX Aggregator)

    • After this, you now hold $500 worth of PT-wstkscUSD ($100 initial + $400 swapped).

  3. Deposit $500 PT-wstkscUSD into Silo’s lending market.

  4. Borrow $400 frxUSD from the corresponding vault.

  5. Repay the $400 flash loan.

Final Result

  • You now have $500 worth of PT-wstkscUSD deposited.

  • Your net debt remains $400 frxUSD, but you continue earning yield on the full $500 worth of PT-wstkscUSD.

  • All of this happens in a single transaction, making it seamless and gas-efficient.

This method removes the need for multiple manual steps, making leveraged yield farming easy and accessible in just one click! 🚀

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