Does the $1k USDT i put up as collateral generate

an income to?

The $1k usdt put up as collateral will not earn you yield BUT with your arUSD you will earn 90% of fees generated by our DEX. You can also take the minted arUSD and contribute it to an unbalanced arUSD/usdt pool and earn rewards on that as well. Soon you will be able to provide liquidity at pangolin and stake the LP tokens on arable to earn even more $ACRE rewards as well

so what happens to the USDT ?

ok, so i could put $1000 USDT in this pool , or i could mint arUSD and put $500 arUSD in the pool. if 1 investors put 1,000 USDT and 1 investor put 500 arUSD in to the pool would they both earn the same amount of rewards in $ amount ? and then the arUSD earns a bit more for the minting rewards?

Thank you for your question, I am seeking clarification on the exact rewards calculations for you so i can give you the best answer possible

ok thinks , can you also get an answer for using FPIS over FPI as collateral , it just seems odd

any update ?

Hi yes, what minter doe and what farmers do are counter parties, and you can learn more here: about.arable.finance Also about collated $FRAX is our desired collateral but we also have the ability to make FPI and FPIS collateral

how is this related to the numbers you where going to get ? the question is > if 1 investors put 1,000 USDT and 1 investor put 500 arUSD in to the pool would they both earn the same amount of rewards in $ amount ? and then the arUSD earns a bit more for the minting rewards?

This message is not accurate statement, there are two types of users (both are investors). 1st type is farmer investor. He purchases 500 arUSD and do farming on Arable, he gets same yield as he get on farms of multichains e.g. Solana, Osmosis, Cosmos etc. but not paying bridge fees since everything is managed on a single chain. 2nd type is minter investor. He put 1000 USDT, mint 500 arUSD and sell arUSD to 1st type investor, and he gets minter rewards for that in ACRE + protocol fees.

but there has to be a pool for both the investors to trade with each other, so does 500 arUSD earn the same rewards as 1000USDC in that pool ?

There's a collateral pool where 2nd type of investor (minters) interact with. 1st type of investor is interacting with the collateral pool - and it's indirectly interacting with minters (2nd type of investors). You will be clear on how it works if you are familiar with Synthetix.

also if 500 arUSD is backed by 1,000 USDT .. why cant i just buy the 500 arUSD for $500 and then use it to redeem the 1000 USDT backing it.

The probability of getting more rewards is bigger for minters since mintner is counter party of farmers and there's additional rewards allocated for minters. But based on token price change and etc, things change.

but the rewards for that would have to be at least double the % the USDT is paid just to match USDT because your holding half the amount of arUSD

i dont want to , i just want to know if 500 srUSD earns more rewards than 1000 USDT when they are in the same liquidity pool.

There's no mechanism of liquidity pool on our ecosystem. 500 arUSD is getting rewards in synths, and 1000 USDT is getting rewards in fees + ACRE.

but you just said "There's a collateral pool where 2nd type of investor (minters) interact with." ... so this is not a liquidity pool for trading ?

why cant i just use the 1000 $USDT to buy 1000 arUSD and earn reward in synths with 1,000 arUSD rather then only 500 arUSD ?

You won’t earn platform fees by buying arUSD only by minting

so why would people buy arUSD ?

It's different from what liquidity pool does, to understand the mechanism you will need to check the document and should have basic understanding of synthetics.

You can do that, it's what farmers do, farmers buy 1000 arUSD from 1000 USDT and do synthetic farming.

is there any reason to use arUSD for this ? why did the protocol not just use a stable coin thats already liquid ?

arUSD can be minted from backed collateral assets, but USDT or other stable assets are not able to be minted. If you have chance to test out https://mvp.arable.finance, you should get some basic overview of the project.

i understand it can be minted / redeemed, ect .. but is a new stable coin needed?

Yeah, you can check common synthetic assets protocols that supports synthetic trading. e.g. synthetix