From 2de5052d369dfbeb1de2260ec3f4c5c75ab3ae2a Mon Sep 17 00:00:00 2001 From: "dr. mia von steinkirch, phd" <1130416+mvonsteinkirch@users.noreply.github.com> Date: Fri, 10 Feb 2023 08:22:52 -0800 Subject: [PATCH] add notes on lending --- MEV_and_trading/lending/README.md | 2 +- 1 file changed, 1 insertion(+), 1 deletion(-) diff --git a/MEV_and_trading/lending/README.md b/MEV_and_trading/lending/README.md index 656d997..ead9adf 100644 --- a/MEV_and_trading/lending/README.md +++ b/MEV_and_trading/lending/README.md @@ -6,7 +6,7 @@
-* alice and bob deposit funds into a lending contract (e.g., Aave, Maker, Compound). while bob leaves his original collateral locked in the protocol, he can withdraw ~50% or more (depending on the protocol and asset) at some algorithmic rate that gets paid to alice (for providing the funds). +* alice and bob deposit funds into a lending contract (e.g., aave, maker, compound). while bob leaves his original collateral locked in the protocol, he can withdraw ~50% or more (depending on the protocol and asset) at some algorithmic rate that gets paid to alice (for providing the funds). * bob can then create a short position, reinvest for a levered long position, or withdraw money (without selling the underlying and being taxed). alice, on the other hand, generates a return on her capital.