Achieve Greater Returns On Bitget Launchpool With Strategic Borrowing From Bitget Crypto Loans

In this article, we’re diving into how Bitget Crypto Loans can be strategically used to maximise your Bitget Launchpool returns. By borrowing assets through Bitget Crypto Loans, you can boost your staking power for Bitget Launchpool events to increase your rewards as well as expand your passive income potential.

 

What Is Bitget Crypto Loans?

Bitget Crypto Loans provide a smart, flexible way to unlock extra liquidity from your existing crypto assets without needing to sell them. This service is ideal for traders and investors looking to maintain ownership of their long-term holdings while freeing up capital for other opportunities.

Bitget offers several loan options to suit different needs:

● Flexible Loans with adjustable rates based on the market,

● Fixed Rate Loans for 7-day or 30-day periods, with predictable repayment terms, and

● Key Account Loans for larger borrowers needing tailored options.

To access Bitget Crypto Loans directly from your mobile devices, please check our latest guide here: Bitget Earn Guide (2024 APP Version)

 

What Is Bitget Launchpool?

Bitget Launchpool is a dynamic platform that enables users to deposit specific tokens in exchange for valuable rewards. Unlike Bitget PoolX, which provides a constant continuation of pools, Bitget Launchpool centers around exclusive, limited-time, high-return events. These events often feature newly launched tokens or opportunities to earn yields that are higher than usual. By joining these events, you have the chance to access tokens, often at an early phase, so as to maximise your earnings and retain the security of your original assets simultaneously.

Bitget Launchpool also offers flexibility in that it holds earning events that align with your individual goals and interests. With the added borrowing power from Bitget Crypto Loans, you can significantly raise your contribution amount, which can lead to increased returns. This approach allows you to customise your strategy to suit specific opportunities for a tailored and effective approach to wealth accumulation.

 

How To Use Bitget Crypto Loans To Optimise Launchpool Arbitrage

Here’s the guide for using Bitget Crypto Loans to maximise returns with Bitget Launchpool:

1. Borrow assets with Bitget Crypto Loans:

Start by using your current crypto holdings, such as BTC, as collateral to borrow USDT or any other specific token required for staking. This extra capital can be used to stake in Bitget Launchpool events. Given that Bitget Launchpool events are usually time-sensitive, choose a loan term that aligns with the event duration. New borrowable assets are added frequently, so don't worry about Bitget Launchpool events that require specific tokens.

2. Lock borrowed funds in Bitget Launchpool:

With your borrowed assets in hand, choose a Bitget Launchpool event that offers attractive rewards. These events often feature new token airdrops or high-yield staking for you to accumulate new tokens or governance assets simply by staking your borrowed funds.

3. Collect your earning rewards:

As your assets remain locked, you’ll earn rewards over the duration of the event. These could be new tokens, governance tokens, or other staking bonuses. The borrowed funds give you an amplified earning power, so expect to achieve a higher yield.

 

4. Repay the loan and retain your earnings:

After the staking event concludes, withdraw your rewards and use a portion to repay your loan, including any accrued interest. You’ll keep the remaining rewards as profit, while your initial collateral remains untouched and ready for your next move.

 

Why This Strategy Works

● Enhanced staking power: Bitget Crypto Loans allow you to lock more than you could with just your available funds. This strategy lets you multiply your rewards without selling any of your long-term holdings.

● Adaptable loan terms: Bitget’s range of loan options aligns with both Bitget Launchpool events and longer-term strategies, so you can choose the best loan type for your situation.

● Key Account Loan for high-value stakes: For larger investors, the Key Account Loan offers custom terms, ideal for staking substantial amounts in Launchpool. This approach maximises returns with added flexibility.

● Early access to new tokens: Bitget Launchpool frequently hosts events featuring new tokens for access to these assets early on. By borrowing funds to participate, you can capitalise on their growth potential.

● Reduced risk exposure: By borrowing funds instead of selling, you avoid liquidating any of your core holdings. This means you can benefit from staking rewards without increasing your staple crypto exposure.

 

Example: Launchpool Arbitrage

Let’s say you own 10,000 BGB and want to increase your earning potential in the USDT Newbie Pool on Bitget Launchpool. You decide to use your 10,000 BGB as collateral to borrow 8,325 USDT and take advantage of the higher APR in the USDT pool during the L3 token event.(1) Loan details: You use 10,000 BGB as collateral to borrow 8,325 USDT at a flexible loan rate of 7.84% per annum. Since this Bitget Launchpool event lasts 10 days, you’ll borrow for that period.

Daily interest rate: 7.84% APR, or approximately 0.0215% per day.

Daily interest: 8,325 * 0.0215% = 1.79 USDT.

Total interest over 10 days: 1.79 * 10 = 17.9 USDT.

Total repayment: 8,325 + 17.9 = 8,342.9 USDT.

(2) Locking in Bitget Launchpool: With the borrowed 8,325 USDT, you participate in the USDT Newbie Pool, which offers an estimated APR of 68.38%. The total airdrop for this pool is 2,140,000 L3 tokens. Given the total USDT locked by all participants is approximately 8,492,345 USDT, your reward calculation is as follows:Your share of L3 tokens: (8,325 / 8,492,345) * 2,140,000 = 2,097.83 L3 tokens.

(3) Profit calculation: Assuming each L3 token is valued at $0.05, the value of your rewards is:

Total reward value: 2,097.83 * 0.05 = 104.89 USDT.

Total loan repayment: 8,342.9 USDT.

Net profit: 104.89 - 17.9 = 87 USDT.

By borrowing USDT against your BGB and participating in the higher-yielding USDT Newbie Pool, you leverage your collateral to earn a substantial reward, which results in an annualised ROI of 33% - almost three times higher than the return generated from locking BGB directly. This strategy allows you to maximise returns while keeping your initial BGB holdings unchanged.

Conclusion

By using Bitget Crypto Loans alongside Bitget Launchpool, you can increase your staking power and amplify your earnings. Borrowing funds to lock in Bitget Launchpool events allows you to maximise your returns without touching your core assets. With Bitget Crypto Loans' flexible loan options and frequent Bitget Launchpool events, this strategy is ideal for traders looking to increase passive income and optimise their returns in the burgeoning digital space.

 

Disclaimer:

Please be informed that all the interest rates and information contained in the illustrations within this article are for illustrative purposes only and are not to be taken as actual representations. To access the most current and accurate details regarding interest rates and other information, kindly visit the official Bitget homepage.

The opinions expressed in this article are for informational purposes only. This article does not constitute an endorsement of any of the products and services discussed or investment, financial, or trading advice. Qualified professionals should be consulted prior to making financial decisions.