Exercise 6: Cross-Protocol Analysis and Selection
⏰ Time Investment: 60 minutes 🎯 Goal: Compare protocols and build a multi-protocol strategy
📚 Required Reading Integration 📖 Primary: Lesson 6: Multi-Protocol Strategy Development 📖 Supporting: Lessons 4-5 (position setup and V3)
🔍 Phase 1: Protocol Comparison (20 minutes)
Protocol Feature Matrix
Exercise 1: Compare protocols for ETH/USDC pair
Chain
_____
_____
_____
_____
_____
Fee Rate
_____%
_____%
_____%
_____%
_____%
Capital Efficiency
_____
_____
_____
_____
_____
Complexity
_____
_____
_____
_____
_____
Best Use Case
_____
_____
_____
_____
_____
Protocol Selection Exercise
Scenario: You want to provide ETH/USDC liquidity
Option A: Uniswap V3 (Arbitrum)
TVL: $50M
Daily Volume: $10M
Fee Rate: 0.05%
Gas: $0.50 per transaction
Option B: Aerodrome (Base)
TVL: $5M
Daily Volume: $2M
Fee Rate: 0.05%
Emissions: 500 AERO/week to pool
Gas: $0.30 per transaction
Analysis:
Option A:
Your share (if $10k): _____%
Daily fees: $_____
Monthly fees: $_____
Gas costs: $_____
Net monthly: $_____
Option B:
Your share (if $10k): _____%
Daily fees: $_____
Weekly emissions: _____ AERO = $_____
Monthly total: $_____
Gas costs: $_____
Net monthly: $_____
Which is better? Option _____ Why? _________________________________
📊 Phase 2: Multi-Protocol Strategy Design (20 minutes)
Portfolio Allocation Framework
Your Capital: $50,000
Allocation Strategy:
Chain Distribution:
Ethereum/L2s: $_____ (_____%)
Base: $_____ (_____%)
Solana: $_____ (_____%)
Reserve: $_____ (_____%)
Protocol Distribution (within each chain):
Uniswap V3: $_____ (_____%)
Aerodrome: $_____ (_____%)
Raydium: $_____ (_____%)
Other: $_____ (_____%)
Pair Distribution:
Stablecoins: $_____ (_____%)
Correlated: $_____ (_____%)
Volatile: $_____ (_____%)
Risk Limits
Per Position: Max $_____ (% of portfolio) Per Protocol: Max $ (% of portfolio) Per Chain: Max $ (_____% of portfolio)
Your Limits:
Single position: _____%
Single protocol: _____%
Single chain: _____%
💰 Phase 3: Aerodrome Strategy (15 minutes)
ve-Token Participation Plan
Scenario: You provide $10,000 to Aerodrome WETH/USDC pool
Step 1: Provide Liquidity
Amount: $10,000
Pool: WETH/USDC sAMM
LP tokens received: _____
Step 2: Stake in Gauge
Staked: _____ (Yes/No)
Weekly emissions: _____ AERO
Step 3: Lock AERO (Optional)
AERO earned: _____ per week
Lock duration: _____ years
veAERO received: _____
Step 4: Vote Strategy
Pools to vote for: _________________________________
Expected bribes: $_____ per week
Total weekly return: $_____
Bribe Efficiency Analysis
Current Epoch Data:
Total emissions: 10,000 AERO/week
Total bribes: 2,000 AERO/week
Bribe efficiency: _____ (emissions ÷ bribes)
Interpretation:
Ratio > 1: _____ (Sustainable/Unsustainable)
Should you participate? _____ (Yes/No)
Why? _________________________________
🎯 Phase 4: Complete Multi-Protocol Plan (15 minutes)
Your Multi-Protocol Strategy
Portfolio Overview:
Total capital: $_____
Number of positions: _____
Number of protocols: _____
Number of chains: _____
Position Details:
Position 1:
Protocol: _____
Chain: _____
Pair: _____ / _____
Capital: $_____
Strategy: _____
Position 2:
Protocol: _____
Chain: _____
Pair: _____ / _____
Capital: $_____
Strategy: _____
Position 3:
Protocol: _____
Chain: _____
Pair: _____ / _____
Capital: $_____
Strategy: _____
Expected Returns
Monthly Projections:
Position 1:
Fees: $_____
Emissions: $_____
IL: -$_____
Gas: -$_____
Net: $_____
Position 2:
Fees: $_____
Emissions: $_____
IL: -$_____
Gas: -$_____
Net: $_____
Position 3:
Fees: $_____
Emissions: $_____
IL: -$_____
Gas: -$_____
Net: $_____
Total Monthly: $_____ Annual APY: _____%
📚 Next Steps
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