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Thank you guys for the clarification. One last question: - Let’s

say I have 1000 aUST. It seems that I can swap it for UST on loop.
- Then I’ll deposit in Anchor for 19% return. I get aUST and I loop it again in Loop.
Where is the tricky part that I am missing?

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You are not missing anything imo.

The 1000 aUST is not yielding anymore for you when you swap it to UST. Take note that aUST increases in value over time while UST does not. Therefore, you're just swapping back and forth making the yield process much more inefficient and losing money on all transactions.

It took me a while to realize this, but the “interest” you earn on Anchor is really just the price appreciate of aUST. That’s why it’s counterproductive to swap your aUST for UST and re-deposit into Anchor. Sure, you’ll have more UST in anchor, but that’s not really doing anything for you. What’s making you money is the amount of aUST in your wallet, which decreases with successive looping

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