"No single price feed should have the power to liquidate the portfolio." That's where Wednesday's live call went when we walked through how a leveraged on-chain fund is built to handle a bad day. In this clip, I break down: - Composite oracles. Pull prices from several sources (Chainlink, Redstone, Pendle's own time-weighted price) and combine them, so one broken or manipulated feed can't trigger liquidations on its own - The unwind ladder. A normal health factor target, a lower level where you sell collateral to de-risk, a level where deleveraging bots step in, and below 1.0 any Euler liquidator can take the position - The loss waterfall. Equity investors take the first loss, then idle cash, then the manager's reserve and other first-loss contributors. Lenders lose last - Why it matters. Where you sit in that line decides how much risk you're really taking, no matter what rate is on the screen Before you deposit into any vault, ask: how do prices get in, what happens when the health factor drops, and who stands in front of me when there's a loss? Want to be on the live calls with me? Join the membership for the live calls, direct access to me, and Q&A on your own portfolio positions and general crypto/DeFi questions. Join here: https://www.skool.com/defiuniversity Educational only — not financial advice. You keep self-custody of your assets. No guaranteed outcomes.

"You've got to make sure that your collateral is super solid." That's where Wednesday's live call landed when we broke down what a Pendle principal token (PT) actually is. In this clip, I break down: - What Pendle does. It's a yield-stripping protocol: it takes a yield-bearing dollar and splits it into a principal token (PT) and a yield token (YT) - Why a PT works like a zero-coupon crypto bond. You buy it for less than it's worth at maturity, and that difference is your fixed yield, set by the price you pay - Pull to par. As maturity gets closer, the PT's price converges on its full value - Where the risk really lives. A PT is a derivative of whatever sits underneath it, whether that's Bitcoin, ETH, dollars, treasuries or a token backed by some business's cash flows A fixed rate tells you what you earn if everything holds. It tells you nothing about whether the underlying will hold. Before you look at any PT, ask: what is this a claim on, and who has to stay solvent for this to pay out at maturity? Want to be on the live calls with me? Join the membership for the live calls, direct access to me, and Q&A on your own portfolio positions and general crypto/DeFi questions. Join here: https://www.skool.com/defiuniversity Educational only — not financial advice. You keep self-custody of your assets. No guaranteed outcomes.

"The house almost always wins, but the house can also go bankrupt." That's where Monday's live call landed when we dug into the counterparty vaults on perp DEXs, the ones advertising yield for simply depositing cash. In this clip, I break down what you're actually signing up for: - Where the yield comes from. Your deposit is used to take the other side of traders' positions, so you become the counterparty and the market maker - How that compares with being an LP on Uniswap. There you hold two assets, so if prices crash you eat impermanent loss. That's directional risk - The different risk in a vault. You deposit cash only, but if most traders are on one side and the market runs their way without correcting, the vault takes a drawdown and depositors lose money, not just miss out on yield - The question to ask before you look at any vault's APY: who's on the other side, and what happens to me when they're right? The risk doesn't disappear when you swap an LP position for a cash vault. It just changes shape. Want to be on the live calls with me? Join the membership for the live calls, direct access to me, and Q&A on your own portfolio positions and general crypto/DeFi questions. Join here: https://www.skool.com/defiuniversity Educational only — not financial advice. You keep self-custody of your assets. No guaranteed outcomes.

"It's one to watch rather than to use." That's where Friday's live call landed after a member brought up a brand-new stablecoin on Canton. Instead of guessing, I had my research bot pull the facts and we walked through them live, one question at a time. In this 3-minute clip, I go through the checklist: - What backs it, and is the backing at least 1:1? Check the issuer's own reserve dashboard, not just the headline - Where the yield actually comes from. Holding cash and T-bills is interest, not a "trading strategy," even if a data site labels it that way - Who issues it and under what license. A regulator's pilot tier is not a full license - Who holds the reserves and who administers the fund (custodian and fund administrator) - How big it is. A tiny supply that "nearly doubled" is still tiny - Red flags: who can actually redeem it for a dollar, and whether you could exit if you needed to A stablecoin is only as stable as its backing, its redemption path and its liquidity. If you can't answer those three, it stays on the watch list. Want to be on the live calls with me? Join the membership for live Q&A on how to think through risk, entries and exits, and general crypto/DeFi questions. Join here: https://www.skool.com/defiuniversity Educational only — not financial advice. You keep self-custody of your assets. No guaranteed outcomes.

On Wednesday's group coaching call, a member asked a smart question: if stablecoins barely move against each other, couldn't you put them in a liquidity pool and skip impermanent loss altogether? Great question. Answering it shows how concentrated liquidity actually pays you, and why there's no free lunch in a pool. 🧩 Your CLP is an option The way I think about a concentrated liquidity position (a CLP) is as an option. It's a derivative, and it comes with the same Greeks: Theta = your fees. What you collect for keeping liquidity in range. Gamma = your impermanent loss, your cost of volatility. The only way you win as a CLP is if your theta is greater than your gamma. Your fees are literally what you get paid to take on impermanent loss risk. 🪙 Stablecoins still move a little Even two stablecoins like USDC and USDT drift against each other by a few basis points. So in a stablecoin pool, a typical range is super narrow, just a hair either side of 1.00. A couple of basis points wide. ↔️ What happens when you go wide Can you make that range wider? Sure. But when you widen your range, you shrink your gamma. Less gamma means less impermanent loss, and it also means less theta. Fewer fees. In the clip I walk through a deliberately extreme example: a stablecoin range from 0.9 to 1.1. That is stupid wide. You'd have almost no gamma risk, and you'd earn almost nothing in fees. 📊 Why the fees dry up Look at the liquidity shape of most stablecoin pools. Nearly all the liquidity is bunched tightly around the current price. The price only moves by basis points, so trades happen right there. If your range is spread far out to the sides, most of your capital sits where trading never happens, and the fees go to the LPs who are concentrated where the action is. ✅ The takeaway Risk and reward in a CLP are the same dial. Narrow range: more fees, more gamma. Wide range: less gamma, fewer fees. You don't get compensated for risk you aren't taking. So before you set a range, decide how much gamma you're actually willing to carry, then judge whether the fees make that worth it.