In @ListaDAO mortgage blue-chip assets (such as BTCB / ETH / BNB) to borrow lisUSD (or USD1), put this stablecoin into high-yield products on Binance Earn (or similar platforms) (such as short-term activities reaching ~20% annualized), when the borrowing rate is significantly lower than the investment yield, a yield spread is generated. The key point is: Yield Spread = Annualized Investment Yield − Annualized Borrowing Rate, and after deducting fees and risk costs, if it remains positive, arbitrage can be achieved. This article mainly discusses how newcomers can use Lista DAO's low interest rates to create yield spreads! Author: Blockchain Finance says.
1. Why can Lista DAO become a 'cost-side' advantage?
Lista is a decentralized lending protocol that allows the use of BNB/ETH/BTCB as collateral to mint lisUSD (or USD1). Users can borrow stablecoins at relatively low lending rates (the lending rate will dynamically adjust with pool utilization). This significantly lowers the 'cost of funds,' becoming the starting point for arbitrage.
Take the simplest arithmetic example (calculated annually)
Assuming (example numbers):
Borrowing 1 USD on Lista (here we use '1 USD' to represent the lisUSD / USD1 you borrowed), the loan interest rate is 1.00% / year (example value).
Deposit this 1 USD into a short-term activity product on Binance Earn, with an annualized return of 20.00% / year (example activity).
Steps and positional formulas:
Debt after one year of borrowing = Borrowed principal × (1 + borrowing interest rate)
= 1.00 × (1 + 0.01)
= 1.00 × 1.01
= 1.01 USDReturn after one year of investment = Invested principal × (1 + annualized investment return)
= 1.00 × (1 + 0.20)
= 1.00 × 1.20
= 1.20 USDAnnual net income (gross profit) = Investment return − debt
= 1.20 − 1.01
= 0.19 USDCorresponding net yield = 0.19 / 1.00 = 19.00% / year
Therefore: borrowing 1 USD, annualized borrowing cost 1%, placing it in an annualized 20% investment, theoretically can yield a net annual profit margin of 19% (not accounting for other fees and risk costs). (Each step above has been broken down into multiplication and subtraction to ensure numerical accuracy.
2. Practical steps
Prepare a wallet: Prepare a wallet that supports Lista on the BNB Chain (for example, switch MetaMask to BSC / WalletConnect).
Pledge assets: Transfer your BTCB / ETH / BNB into Lista as collateral (choose according to Lista's collateral type page).
Borrow lisUSD (or USD1): On the $LISTA platform, choose to lend stablecoins, paying attention to the minimum loan amount and current loan interest rate (the page will display Borrow Rate / Loanable Amount).
Transfer lisUSD to a centralized platform (e.g., Binance): Recharge USD1 (or an acceptable stablecoin) as required by the platform, and subscribe to the corresponding product on Binance Earn (e.g., USD1 Flexible / Simple Earn activity).
Observe and manage positions: Set a reasonable collateral rate (do not borrow to the limit), enable alerts or set up automatic margin addition to prevent liquidation triggered by significant price drops.
Maturity/redeem at any time: Return principal + income, repay lisUSD principal and interest, and withdraw net income. Note: Some activities have lock-up periods or tiered reward restrictions (check activity rules).
3. Common fees/restrictions
On-chain gas fees / withdrawal fees / exchange slippage: Cross-chain or recharging to exchanges will incur costs, ranging from a few cents to several dollars (depending on the chain and network congestion).
Platform activity restrictions: Binance's 20% activity is usually time-limited or region/limit-restricted (sometimes to users from different countries, daily/per person limits). Be sure to read the activity details.
Lending rates are not fixed: Lista's rates fluctuate with pool utilization and may rise at any time (especially when many people borrow simultaneously)
4. Risk checklist (must be taken seriously)
Liquidation risk (most important): If the price of the pledged blue-chip coins falls and the collateral rate decreases, your position may be forcibly liquidated, with potential losses exceeding the spread profit. Lista has LTV / MCR / liquidation logic, so you need to understand the specific thresholds and maintain a safety margin.
Smart contract risk: Lista or other DeFi protocols may have contract vulnerabilities or the risk of being attacked.
Centralized exchange counterparty risk: Putting borrowed stablecoins on Binance (centralized platform) will incur platform custody and regulatory risks, such as withdrawal restrictions, freezing, or sudden activity shutdowns.
Interest rate/activity cancellation risk: Binance's high interest rates are often promotional activities that may end at any time or impose quotas on new funds.
Stablecoin anchoring risk: The stability and convertibility of the borrowed lisUSD / USD1 also carry risks (if the stablecoin decouples, it will incur additional losses).
Five, risk control recommendations
Do not push borrowing to the limit: Maintain a sufficient collateral rate (e.g., keep LTV below the safe threshold of 60–70%) to allow for price fluctuations.
Only use idle funds and affordable leverage: Do not use living necessities or heavily weighted positions for high-leverage arbitrage.
Enter in batches / reserve gas: Multiple small operations can diversify risk and facilitate quick margin replenishment or adjustments.
Set automatic alerts/monitoring tools: Use on-chain monitoring, price alerts, or Lista's alert functions to monitor collateral rates and loan interest rates.
6. Example scenarios
Assuming:
Loan interest rate: 1.00%/year
Investment return: 20.00%/year
On-chain and withdrawal one-time costs total: 0.50 USD (one-time) (example)
We estimate for one year, borrowing 100 USD (to facilitate viewing actual returns)
Formula:
Debt at the end of the year = 100 × 1.01 = 101.00 USD
Investment return (end of year) = 100 × 1.20 = 120.00 USD
Gross profit = 120.00 − 101.00 = 19.00 USD
Deducting one-time costs 0.50 USD: Net profit = 19.00 − 0.50 = 18.50 USD
Net yield = 18.50 / 100 = 18.5% / year
Conclusion: Even accounting for one-time fees (example 0.5%), it is still close to an 18.5% net annualized return. But this is based on the premise that the interest rate and activity annualization remain unchanged, and there is no liquidation or platform restrictions. Be sure to factor in fees, withdrawal/deposit delays, and taxes.
7. Quick checklist for beginners
Confirm the pledged assets supported by Lista (BTCB/ETH/BNB) and the current loan interest rate (the page shows Borrow Rate).
Confirm whether the USD1 product on Binance Earn (or the target platform) can accept the stablecoins you recharge, and confirm the activity annualization and quota/regional restrictions.
Calculate one-time costs (gas, withdrawal fees, exchange slippage) and deduct these costs from gross profit.
Set a safe collateral rate (do not borrow to the limit) and enable price alerts and automatic margin replenishment strategies.
Test only with a scale of funds you can afford (start with small amounts ranging from 50 to 200 USD for trial and error)
To sum up, many people want to ask one question! Since Lista is so stable, does that mean there is no risk? The answer is: no. It is a spread game under 'low-cost funds + temporarily high-yield activities.' When you can reasonably control liquidation risk, understand the activity rules, and factor in the costs, it can become a stable source of income; conversely, when interest rates rise, collateral coins drop significantly, or activities are canceled, profits may be eroded or even lead to losses. Reminder: All example rates are the samples or activity values displayed on the page at that time, and please confirm real-time values and terms on the official pages of Lista and Binance before actual operation. #USD1理财最佳策略ListaDAO
