# Leveraged Looping Strategy

### With our looping mechanism, you can leverage your GMD Delta-Neutral Vault mechanisms with very minimal risks, and get 195% of the $GLP yield. 

You can deposit gmdTOKENS and withdraw 80% of your collateral value. Knowing that fact, you can enable the looping mechanism **by following these steps:**

1. <mark style="color:orange;">**Deposit into GMD Delta-Neutral Vaults, receive receipt gmdTOKENS**</mark>
2. <mark style="color:orange;">**Deposit gmdTOKENS into money-market**</mark>
3. <mark style="color:orange;">**Borrow Corresponding Assets**</mark>
4. <mark style="color:orange;">**Deposit Corresponding Assets into Delta-Neutral Vaults**</mark>
5. <mark style="color:orange;">**Repeat until you cannot anymore**</mark>

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Taking into account the $GLP's 0.5% converting fees, the total looping amount will look as follow if we start with a $1000 initial deposit:&#x20;

| No. Loop | Collateral | Borrow |
| -------- | ---------- | ------ |
| 0        | $1,000     | $800   |
| 1        | $796       | $637   |
| 2        | $634       | $507   |
| 3        | $504       | $403   |
| 4        | $401       | $321   |
| 5        | $320       | $256   |
| 6        | $254       | $204   |
| 7        | $202       | $162   |
| 8        | $161       | $129   |
| 9        | $128       | $103   |
| 10       | $102       | $82    |
| 11       | $81        | $65    |
| 12       | $65        | $52    |
| 13       | $52        | $41    |
| 14       | $41        | $33    |
| 15       | $33        | $26    |
| 16       | $26        | $21    |
| 17       | $21        | $17    |
| 18       | $16        | $13    |
| 19       | $13        | $10    |
| 20       | $10        | $8     |

### The total borrowed amounts will be as follow:&#x20;

| Total Collateral                  | $4,861.27                                |
| --------------------------------- | ---------------------------------------- |
| Total Lent out                    | $3,889.01                                |
| Total Lent out / Original Deposit | <mark style="color:red;">**3.89**</mark> |

### The total yield from the original $1000 deposit:&#x20;

| Original yield from initial collateral | $198.99                                     |
| -------------------------------------- | ------------------------------------------- |
| Original APY                           | 19.90%                                      |
| Max net yield after loops              | **$387.88**                                 |
| Max Boosted APY                        | **38.79%**                                  |
| % of original yield                    | <mark style="color:red;">**194.93%**</mark> |
| % Increase                             | <mark style="color:red;">**94.93%**</mark>  |

## <mark style="color:green;">Conclusion</mark>

* By looping your original position 20 times, you can borrow almost 4 times your initial deposit and almost DOUBLE your original GLP Yield.&#x20;
* As such, our products enable users to safely stake USDC while getting 195% of the usual stable $GLP yield, while also only being exposed to minimal risks