Apricot is excited to announce the release of our new feature, In-App Swap!
With the release of In-App Swap, users are now able to manage their deposited assets on Apricot with far more ease.
Users can swap any of our supported tokens with USDC in either direction. If the user has deposited more tokens than being sold, the sold amount is deducted from their Apricot account and the purchased tokens are credited to their account simultaneously.
In the case the user attempts to sell more tokens than their amount deposited on the platform, Apricot helps the user borrow the required tokens from our lending market and uses them to complete the swap.
The purchased tokens will be used to repay the user’s debt first if there is any outstanding borrowed amount of the corresponding asset. The excess is deposited into the user’s account, and the transaction details are shown at the bottom.
How to use:
- Click on “Swap” on the left.
- Choose the token you want to swap from.
- Enter the amount you wish to swap.
(You could check the real-time price reference and estimates. Price slippage can be customized. For details, check the bottom “Transaction details”)
How can Apricot users Leverage In-App Swap?
1 — Margin Trading 🍑
The formula next “You pay” shows the maximum amount you can swap counting all types of your deposits, tokens, LP tokens, etc., as your initial margin.
Clicking on Max means you maximize your borrowing power with all initial margin, including the swapped token, in this case, SOL, to be credited to your deposit. Again, scroll down to the bottom to see the details regarding how much value will be deposited into your account.
With In-App Swap, users are able to long or short any of the supported tokens with close to 3x leverage. Take long SOL as an example: deposit $100 worth of SOL, and use in-app swap to buy another $200 worth of SOL to increase long exposure.
Please note: When opening long or short leveraged positions, your account is exposed to a greater risk of liquidation. You may consider having Assist enabled to reduce this risk.
2 — Change and Consolidate Positions 🍑
As seen above, here are my current deposits. I wish to increase my USTw positions by converting my outstanding positions (USDT, ORCA, USDC) into USTw .
- Under Swap, choose USDT.
- Next to “You pay”, click on the underlined number, that is my current total USDT deposit. Or type in the amount.
- Then click Swap.
My USDT deposit has now been exchanged for USDC.
Repeat the steps the same steps for Orca-UDSC, then USDC-USTw.
3 — Repay outstanding debt with ease 🍑
I currently have outstanding debt in USDT, but my deposited assets only consist of USTw. I wish to repay this debt.
I go to the Swap tab, this time, instead of choosing the token type under “You pay”, I choose the token type “USDT” under “You receive”. I entered a little more USDC to make sure it will repay the full amount of my borrowed USDT. Then I click swap.
As you can see, I’ve now repaid my borrowed USDT. I can easily repay the USDC from my wallet and clear all my borrowing positions. I no longer have to manually leave the platform to swap for tokens I have outstanding debt in.
4 — Low-Risk Interest Rate Arbitrage 🍑
Interest rate arbitrage is a popular strategy for boosting yields on stablecoin deposits without taking on additional risk given the assets being swapped are both pegged to the same value amount. The opportunity presents itself when the deposit rate of one stablecoin is higher than the borrow rate of another.
Example: Arbitraging the interest rates between USTw and USDT
USTw DepositRate: 15%
USDT Borrow Rate: 2.75%
You may realize similar opportunities akin to this one for yourself as markets shift.
Have fun earning with Apricot!