Understanding Vaults and Strategies on DefiChain


  • Vaults are a financial product that allow you to lock up your crypto as collateral to take a loan against it
  • In this video, we will go through three simple strategies step by step that anyone can use to leverage up their position

Strategy 1: Short DFI and Go Long a dToken

  • Click on “Borrow” and select “DUSD”
  • Choose your vault and mint DUSD
  • Swap your DUSD to a dToken (e.g. Tesla) using the Swap section
  • Fulfill the first strategy by shorting DUSD as you swapped it against dTesla and therefore long dTesla

Strategy 2: Short a dToken and Go Long DUSD

  • Click on “Borrow” and select “Tesla”
  • Borrow dTesla
  • Swap your Tesla to DUSD using the Swap section
  • Fulfill the second strategy by shorting Tesla against the DUSD

Strategy 3: Mint DUSD and dToken to Put in Liquidity Mining Pool

  • Click on “Borrow” and select “DUSD”
  • Mint 20 DUSD
  • Click on “Borrow” and select a dToken (e.g. Tesla)
  • Mint 2ß$ of dTesla
  • Put the DUSD and dTesla into a liquidity mining pool to participate in liquidity mining and earn some APRs


  • Vaults on DeFiChain are a powerful tool to leverage up your position
  • The three strategies we covered today are simple but effective ways to use vaults to your advantage