How to Lend on Kashi & Earn Double Yields with Gemstones.Finance
Imagine if you could deposit your money into a bank and they would not only share 90% of their earnings on it with you, but also give you a receipt that you could deposit to earn even more money with. Kashi, Sushiswap’s new lending platform, offers this and so much more. Its’ features include risk-isolated lending pairs, reduced gas costs, elastic interest rates and capital efficiency by depositing unborrowed assets into strategies built on top of Kashi. Additionally, money lent on Kashi gives you a km token that you can use to interact with other protocols like Gemstones Finance. This allows you to earn interest on your native coins, in the following example USDC, and get secondary rewards.
1. Visit https://gemstones.finance/staking and decide which pool you want to earn with. In these vaults you will be loaning out the blue asset. In this example you would be loaning out USDC, so that other Kashi users can borrow it with their MATIC as collateral. Make sure you are connected to the MATIC network. We have instructions on this in the previous medium article.
2. Go to https://app.sushi.com/bento/kashi/lend click on the pair with the asset you seek to lend and the appropriate corresponding collateral asset. Note: the order is reversed from the kmToken format.
3. Enter how much USDC you want to loan out. Click approve Kashi and confirm on your Metamask and sign the approval. Then once more hit approve USDC and confirm in Metamask. Finally, click the deposit button and confirm. At this point you will have kmMATIC/USDC tokens that are already earning you interest. Before you deposit them into our contracts they are also viewable through Sushi’s UI.
Note: km tokens will not automatically show up in Metamask. You can add the token to Metamask’s list of assets, but this step is not needed as our contracts will see them. Visit our docs page for token contract addresses and Metamask directions.
4. Visit https://gemstones.finance/staking, approve the contract and confirm in Metamask. After this transaction goes through, the approval prompt will be replaced with a “Stake” button. Click on this and enter how many of your km tokens you want to deposit and confirm in Metamask. At this point you will be earning rewards in both USDC and GMS.
There is a 24 hour harvest lock up on these km pools. You can still withdrawal your km tokens at any time, but you won’t be able to harvest the rewards until 24 hours after the deposit.
We have quite a few installments planned for this Kashi educational series. Make sure to follow our social media so you don’t miss the next article which will show you how to borrow on Kashi. This allows for advanced strategies where you deposit your borrowed asset into our contracts that will more than pay for itself.
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