Earn on Compound + ibETH

Earn on “Compound + ETH” is an integration between Compound and Alpha Homora (the first leveraged yield farming product in DeFi and the product by Alpha Finance Lab). Through Alpha Homora frontend, users will be able to lend assets on Compound, have those assets be used as collateral, borrow ETH from Compound, and lend ETH borrowed on Alpha Homora.

Since Compound is distributing COMP to both lenders and borrowers, users using this feature through Alpha Homora will also receive COMP tokens.

This means your net gain will come from 3 different sources at the same time while only paying the borrow APY on ETH to Compound.

  • + deposit APY of assets lent on Compound

  • + deposit APY of ETH on Alpha Homora

  • + Actual COMP APY

  • -borrow APY of ETH on Compound

How would this work for users who have already lent assets on Compound?

  1. First, connect wallet on Alpha Homora and click on “Earn on Compound + ETH” tab

2. Click on “Start earning on Compound + ETH” button

3. Since you have already lent assets on Compound, you should see non-zero Collateral Value on the pop-up modal. In this case, you can either click Next OR you can lend more of any of the supported assets, which will be lent on Compound.

4. For the 2nd step of this pop-up modal, you will be prompted to enable the deposit asset as collateral. If the asset is already enabled, you can click Next. Otherwise, you can click Enable then click Next.

5. For the 3rd step on this pop-up modal, you can choose how many ETH you want to borrow from Compound. Note that by borrowing ETH from Compound, you are paying the borrow APY on Compound.

Since the deposit APY on ETH on Alpha Homora is higher than the borrow APY on ETH on Compound, users will already earn from this difference in addition to the deposit APY of other assets that you lend on Compound.

6. For the 4th and last step on this pop-up modal, you need to confirm the transaction to lend ETH on Alpha Homora. The total number of ETH that you can lend includes those you already have in your wallet AND ETH you borrow from Compound. By lending ETH on Alpha Homora, you will be earning lending interest.

How would this work for users who have not lent assets on Compound?

1.First, connect wallet on Alpha Homora and click on “Earn on Compound + ETH” tab

2. Click on “Start earning on Compound + ETH” button

3. Enter which asset and how many you want to lend on Compound. The percentage next to each asset (e.g. DAI) is the Deposit APY for lending that asset on Compound.

4. For the 2nd step of this pop-up modal, you will be prompted to enable the deposit asset as collateral. Click Enable then click Next.

5. For the 3rd step on this pop-up modal, you can choose how many ETH you want to borrow from Compound. Note that by borrowing ETH from Compound, you are paying the borrow APY on Compound.

Since the deposit APY on ETH on Alpha Homora is higher than the borrow APY on ETH on Compound, users will already earn from this difference in addition to the deposit APY of other assets that you lend on Compound.

6. For the 4th and last step on this pop-up modal, you need to confirm the transaction to lend ETH on Alpha Homora. The total number of ETH that you can lend includes those you already have in your wallet AND the ETH you borrow from Compound. By lending ETH on Alpha Homora, you will be earning lending interest.