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Is that the most profitable way to approach this? Or

would it be better to borrow UST and then change half of it into ANC and provide liquidity to the pool - hence getting additional tokens for borrowing + appreciation of collateral + apy reward for liquidity mining

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You have to calculate the most profitable strategies by yourself. Even there are many strategies, you can use. Either providing bLUNA as collateral to borrow UST and then use that UST in Anchor earn.

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