$$$ KPO and CZM $$$

Sunday, October 17, 2021

DeFi - Terra Pylon Protocol Lossless Investments

I have blogged about Anchor Protocol which is a savings account giving ~20% interest and Mirror Protocol where one can implement Delta Neutral strategies to earn ~30-40%. 


Today, I am going to share another extremely innovative product/application on Terra - Pylon Protocol where one can make lossless investments (capital guaranteed) with yield/return >100%. Yes, you read that right. The only tradeoff is the vesting period which I will show/elaborate on further. You can probably get a rough idea of how it works from the above screenshot and this is only possible in Terra due to Anchor Protocol. Anyway, Pylon aims to do a lot more but let's just focus on Pylon Gateway for this article.


Pylon Gateway is a token launchpad for Terra projects. In traditional finance terms, it is a platform for companies to IPO/raise capital and issue shares. Within Gateway, there are 2 products:
1. Pylon Swap
2. Pylon Pool (lossless investments)

Why is Pylon Swap cool? Those that have been in crypto for a bit/while will know that there isn't any fair token launch no matter whatever new project/application claim their launch to be fair. This is a known issue/feature due to how the liquidity pool works. Shall not go into the details but basically, when a new token is launched, bots will always be the first to buy/drain the majority of the token's liquidity resulting in the price of the token shooting up. Typical users who use the UI will never be as fast as the bots, hence will be buying at a much higher price. In another word, users can almost never buy newly launch tokens at their launch price. Pylon Swap solves this problem by providing a platform where one can "swap" tokens at a fixed launch price which is unheard of in my short crypto journey. By getting tokens at launch price, it is almost guaranteed that one will be making money.


An example - I swapped US$1,500 for 150,000 Psi tokens at a fixed swap rate of US$0.01 on 5th Oct. 25% of them will be unlocked on 11th Oct (DEX listing = liquidity pool) and a 3 month vesting period for the remaining 75%.


Look at the long green candle on the 1st day of listing. The launch price is supposed to be US$0.01, it went to a high of US$0.161 (1,610% return) and the current price is US$0.121 (1,210% return). Using the current price, my initial investment of US$1,500 is worth US$18,150 :)

So far, there has only been 3 Pylon Swap and we can take a look at the return:
1. MINE swap price US$0.01 vs current price US$0.167 (1,670%)
2. Nexus swap price US$0.01 vs current price US$0.121 (1,210%)
3. Valkyrie swap price US$0.10 vs current price US$2.329 (2,329%)

Having said that, it looks like easy "guaranteed" money but swapping has become pretty competitive as well and unfortunately, I failed to swap for Valkyrie as it was gone in 16 seconds. Yes, due to bots. On the bright side, one will not be buying at a high price due to low liquidity and as a result, lose money. After the Valkyrie swap incident, Pylon is aware of those bot activities and will be making a few changes to future launches to make it fairer/ideally bots free which I am looking forward to.

Next, let's take a look at the Pylon Pools which are lossless investments (capital guaranteed). For each project launch, there will be 3 pools with different vesting periods/returns (the longer you locked your deposit, the higher the APR/return):
- Pool 1: 18 months, rewards claimable after 9 months
- Pool 2: 12 months, rewards claimable after 6 months
- Pool 3: 6 months, rewards claimable after 3 months

Let me explain why is it lossless/capital guaranteed. When one makes a deposit to any of the pools, the deposit will be routed/deposited into Anchor Protocol which gives ~20% interest. The interest from Anchor will be used to swap/exchange for the respective token. At the end of the vesting period, one will be able to withdraw the initial deposit, making it lossless/capital guaranteed + whatever tokens that were issued/awarded based on the size of the pool. The higher the total deposit, the lesser the number of tokens one will get which is why the APR gets lower eventually. You can take a look at this article which goes into more details - Pylon Pools – how much are you paying for the tokens?


Similarly, let's take a look at an example. The above is a screenshot back in August when Loop Finance decided to offer Pylon Pools before listing their token on a DEX (technically the token has no price/value because it is not traded yet). Let's just assume the swap price per LOOP token is US$0.035 based on the article above. When it went live/listed on a DEX, the price of each LOOP token was around US$1 and the current price is US$0.887.


With the new price, the APR of the pool shot up. If you are still following, this is essentially an ultra high interest fixed deposit equivalent because it is lossless/capital guaranteed with vesting periods. Based on the 5 launches on Pylon so far, no one has/can actually make a loss which is just mindblowing. In my opinion, this is probably one of the safest crypto dapp where it is almost impossible for one to lose money (probably only due to rug, smart contract bug) but still offer the opportunity for unlimited gains. Anchor would be the safer (insurance coverage) but the potential upside is just ~20%.


~553% for an 18 month fixed deposit. Anyone? lol.

Screenshot taken from MoneySmart

Oh. Not safe, you prefer fixed deposits from banks. Sure sure. We all have different risk appetites right :)

Anyway, I have blogged about different ways to leverage crypto to build wealth for people with different risk appetites:
The safer approach using stablecoins
Risky approach but more hassle-free
Highest risk and you are on your own
- DeFi apps on Binance Smart Chain (BSC) such as PancakeSwap and PancakeBunny
- DeFi - Terra Pylon Protocol Lossless Investments

If you are interested in the platform I am using, do sign up using our referral links for some bonus :)
BlockFi: Deposits US$100 or more into your BlockFi Interest Account (BIA), you will earn US$10 in BTC and we will earn US$10 in BTC too.
Celsius Network: Earn US$50 in BTC with your first transfer of US$400 or more and we will earn US$50 in BTC too.
CakeDeFi - Deposits US$50 or more into your CakeDeFi account, you will earn US$30 in DFI and we will earn US$10 in DFI too.
Gemini: We will both receive US$10 of bitcoin after you buy or sell US$100.

On a side note, Futu's moomoo app sign-up promotion is slightly different for this month (from SGD 200 stock cash bundle to iPhone and AAPL shares. Do read the T&C here for more information). If you have yet to open an account, you can do so using our referral link :)

Do like any of the following for the latest update/post!
1. FB Page - KPO and CZM
2. Twitter - KPO and CZM
3. Click here to subscribe using email :)
4. Instagram - KPO_and_CZM (Did you see those delicious food photos to the right --> Unfortunately, you can't see it on mobile.)

Saturday, October 16, 2021

Endowus - September 2021

If you have read my previous update (Portfolio - September 2021), you would have seen a small section on NFT (Non-Fungible Token). Long story short, I minted/bought 3 NFTs for 9 LUNA in total (3 LUNA each) which was around US$369 at the point of minting and sold the least rare one for 118 LUNA (~US$4,838) in just 5 days which translate to 3,933% return (not annualized). Crazy! I was also able to participate in a token issue/launch (IPO equivalent) where my initial investment of US$1,500 is now valued at US$16,500 at the point of writing (Pylon Swap for Nexus Protocol. Psi current price - US$0.11). Essentially, I made ~US$20k in just 2 weeks. How to go back to stocks/ETF? lol. Anyway, I will blog in detail about the above especially on Pylon Protocol. Imagine a fixed deposit equivalent (capital guaranteed) but with hundreds % of yield/interest, it is just mind-blowing.

Risk Profile
Goal type: General wealth accumulation
Risk tolerance: Maximise returns (loss tolerance -60%)
Monthly investment using SRS: $638


I have modified my monthly investment in order to max out my SRS contribution for the year.

Account Summary


Capital: $26,892.00 (SRS $16,892 and CPF $10,000.00)
Current: $30,827.27 (19.08%)

There are quite a few differences as compared to StashAway. Firstly, all the cash has been invested while StashAway keeps 1% of the portfolio in cash. Secondly, the fees are not deducted on a monthly basis. The Access Fee charged by Endowus will be deducted at the end of each quarter as stated in their FAQ.

As of 15 October 2021, the portfolio value is $30,987.30. The return shown in percentage is just a simple return (P&L divided by capital) including the $10k investment from CPF OA.


It will be clearer/more accurate if we look at the respective portfolio.



I blogged about using Fund Smart to invest my CPF here. On a side note, Endowus is performing much better as compared with StashAway given that both portfolios had the same capital/deposit and started around the same time (StashAway had a few months of headstart).


Asset Allocation


This shows that the number of shares for each fund that I owned:
CPF
- LionGlobal Infinity US 500 Stock Index Fund (4,017.6700)
SRS
- Dimensional Global Core Equity Fund (245.7770)
- LionGlobal Infinity US 500 Stock Index Fund (2,861.2100)
- Dimensional Emerging Markets Large Cap Core Equity Fund (107.7860)
- Dimensional Pacific Basin Small Companies Fund (95.4100)

Transactions


That's all! Overall, I think the statement is pretty straightforward and easy to read. On a side note, StocksCafe does not has the ability to track funds, hence unable to do any form of comparison/benchmark.

If you are interested in Endowus, do use our referral link for our readers! You will get S$10,000 managed free for 6 months ($20 equivalent) and we will get $20 too! 

On a side note, Futu's moomoo app sign-up promotion is slightly different for this month (from SGD 200 stock cash bundle to iPhone and AAPL shares. Do read the T&C here for more information). If you have yet to open an account, you can do so using our referral link :)

You might be interested in the previous monthly update too:
Endowus - December 2020 - $12,466.20
Endowus - January 2021 - $13,080.35
Endowus - February 2021 - $13,549.30
Endowus - March 2021 - $15,484.29
Endowus - April 2021 - $16,570.37
Endowus - May 2021 - $17,325.44
Endowus - June 2021 - $28,840.67
Endowus - July 2021 - $30,013.78
- Endowus - August 2021 - $31,198.92 
- Endowus - September 2021 - $30,827.27

Do like any of the following for the latest update/post!
1. FB Page - KPO and CZM
2. Twitter - KPO and CZM
3. Click here to subscribe using email :)
4. Instagram - KPO_and_CZM (Did you see those delicious food photos to the right --> Unfortunately, you can't see it on mobile.)

Tuesday, October 5, 2021

Portfolio - September 2021

Baby Ong is growing up so fast! She's getting more mischievous/playful every day and would rather not sleep so she can explore the world/have fun. She can pronounce "Papa", "Mama" and "Duck" now (random but probably because we have a few Donald Duck in the house. lol.) and can even stand by herself for a few seconds (randomly).

Infant care teachers brought her out to explore

I think all parents are biased. She looks cute to us even with that annoyed face. Hahaha. 

Me panicking, trying and bought shoes within 15 minutes 

On a side note, something ridiculous happened to me last month. We wanted to visit KOMA after we were both fully vaccinated and I made a reservation on a day we were both on leave while Baby Ong is in the infant care. The staff called a day before to confirm the reservation and specifically mentioned that no slippers are allowed. Guess what? We arrived on time only to realize I was wearing slippers. GG. In fact, we had already postponed it once back in August because CZM was vaccinated for about 1 week instead of 2 weeks then and she was really looking forward to it this time round. In order not to disappoint her, I googled for the nearest Nike/Adidas shop and bought the cheapest shoe (~$90 *facepalm*) I can find, all within 15 minutes. In CZM's IG post, we spent about $290 on KOMA but that meal actually cost us $380 >.<"

Anyway, our portfolio reaches another new high! It increased by 5.99% to $1,250,214 - $11,240.54 of capital injection and $59,394.00 of capital gain. This includes $206,177 of leverage/debt (gearing/debt ~19.75%).


If you prefer to look at numbers, this is the raw data used to generate the above bar graph. These numbers are as of the last day of the month.


"Cash Flow" is the amount of money being injected/withdrawn from the portfolio (buying stocks = +ve cash flow while selling stocks and collecting dividends = -ve cash flow)

SOLD
- Tuan Sing (30,400 units) @ $0.485
- Capitaland (17,434 units) @ $4.102 (Restructuring Offer)


In my opinion, Tuan Sing is still one of the more undervalued developers but I decided to sell it because I wanted to buy more crypto/LUNA before the Columbus 5 mainnet upgrade. After holding for about 2 years, the simple percentage return is 41.57% and the annualized return is 19.52%.


I blogged about CapitaLand at a Discount - CLIM, CICT and Cash before and it was indeed true that the market has discounted CLIM too much then. Congrats to all the CapitaLand shareholders even those that purchased after the restructuring news is out. I believe we all got a pretty decent profit given that CapitaLand Investment (CLI) price continued to appreciate after it was first listed. Similarly, after holding for about 2 years, the simple percentage return is 30.33% and the annualized return is 11.76%.  

BOUGHT
- CapitaLand Investment (17,434 units) @ $2.823 (Restructuring Offer)
- CapitaLand Integrated Commercial Trust (2,696 units) @ 2.12 (Restructuring Offer) 
- CapitaLand China Trust (8,000 units) @ $1.24

To be honest, I have not been reading up too much on stocks nowadays but I am guessing the fall in CapitaLand China Trust price could be due to the overall weak/worried market sentiment of china properties after the Evergrande news. Regardless, we see it as an opportunity to accumulate more.

Anyway, the idea of using leverage is simple, borrow the money, buy a good/excellent REIT/stock, use the dividends to pay the interests, and keep the difference while ensuring that we will never get a margin call/trigger. Once again, leverage has its risk and is definitely not for everyone. We see it as our way of buying a second property without incurring any of those taxes (ABSD, rental income tax, etc.). You can take a look at this - Leverage Performance 2020.

Given that it is a brand new year, I have adjusted my SRS contribution to $1,276 per month with the intention of maxing it by year-end. We have also decided to open another StashAway portfolio for Baby Ong. You can read about Our Insurance and Investment Plan for Baby Ong.

Our Monthly DCA for June - $1,376
$100 Cash for Baby Ong - StashAway Risk Index 36%
$638  KPO's SRS - StashAway Risk Index 36%
$638 KPO's SRS - Endowus Loss Tolerance -60%

Dividends
The total dividends collected this month is $5,295.00The breakdown is as follows:

Company                                              PayDate Shares Total
Cromwell European REIT                      28-Sep-21 10,000 EUR 560.2 (~S$883.47)
CapitaLand China Trust                              27-Sep-21 21,000 $888.30
Pacific Century Regional Developments    24-Sep-21 14,000 $494.20
First Real Estate Investment Trust              24-Sep-21 9         $0.05
Starhill Global REIT                              24-Sep-21 25,600 $529.92
OUE Ltd                                                      23-Sep-21 11,000 $110.00
AIMS APAC REIT                                      22-Sep-21 1,600 $36.00
City Developments Ltd                              14-Sep-21 2,400 $72.00
CapitaLand Integrated Commercial Trust   9-Sep-21 24,800 $1,284.64
Far East Hospitality Trust                      7-Sep-21 10,316 $113.47
Mapletree Logistics Trust                      7-Sep-21 8,000 $172.88
Keppel DC REIT                                      6-Sep-21 8,900 $438.23
Ascendas Real Estate Investment Trust      3-Sep-21 8,000 $162.40
Mapletree Industrial Trust                      3-Sep-21 9,600 $109.44

Total dividends collected for 2021: $24,594.74
Average dividends per month for 2021: $2,732.74

StashAway

KPO

CZM

Capital: $23,696.39
Current: $‭‭‭‭25,457.42

If you are interested in StashAway, do use our referral link. You get $10,000 free management fees for 6 months and we will get $16!

If you want to extract those transactions information from StashAway, do take a look at this article - StashAway Transactions Parser.

Endowus


Capital: $26,890.00
Current: $31,203.43

I decided to invest my CPF OA a few months back and blog about it here - Investing CPF OA Through Endowus.

If you are interested in Endowus, do use our referral link for our readers! You will get S$10,000 managed free for 6 months ($20 equivalent) and we will get $20 too! This access fee has no expiry date.

Crypto
Tracking crypto investment becomes very painful when the number of coins increases or when I move across to different networks. Hence, to simplify the tracking, I will just be tracking the capital I put in vs the current value at the end of the month.


Capital: SG$163,175.11 + US$3,127.73 (leverage) ~ SG$167,418.75
Current: SG$‭‭‭301,957.51 + US$3,127.73 (leverage) ~ SG$306,201.15


If you prefer a pie chart. 

Crypto - Binance


Last month, I allocated US$2k from my ADA profit to margin trade LUNA and lost almost everything when it got liquidated on one of the days when crypto got dumped hard last month. Oh well, I will just take it that I sold ADA at a lower price. Anyway, I have decided that I am not suitable to be a trader and have stopped margin trading. lol. Unfortunately, I still have some LUNA which I bought before the mainnet upgrade and could not transfer out as withdrawal is being suspended by Binance at the moment. I have transferred my RUNE to FTX and will be transferring everything away before the end of the month due to the Binance ban.

Crypto - FTX


I bought a bit more RUNE during the dip and have transferred all of them here from Binance. FTX is more flexible in the sense that USD wired to their platform can be withdrawn/converted to different stablecoins such as USDC, BUSD, HUSD, etc. The unfortunate part is native LUNA is not listed on FTX so I will probably have to explore other exchanges going forward. Likely to be Kucoin, shall share more once I figure things out.

Crypto - CakeDeFi


Sitting on a 42% profit with the majority of my DFI in the freezer until Dec. The initial plan was to try this for a year but have decided to move the fund here to Terra/LUNA once the DFI are out of the freezer because I have more faith in that performing well. In my opinion, CakeDeFi is still a good starting place for someone that is planning to try out DeFi/getting high yields in crypto without worrying about any rug and exploit.

CakeDeFi - Deposits US$50 or more into your CakeDeFi account, you will earn US$30 in DFI and we will earn US$10 in DFI too.

Crypto - Celsius Network


I still have a bit of BTC and Celsius token which I accumulated previously while earning high interest using GUSD. No plans on moving them at the moment.

Crypto DeFi - Terra


I blogged about it previously - DeFi - Terra (LUNA & UST) & Anchor Protocol (20% Interest) and DeFi - Terra Mirror Protocol Delta-Neutral Strategies. I have moved most of my money to Terra including CZM's initial investment because this is my high conviction crypto pick. lol. In my opinion, LUNA can easily go to 3 digits because it is based on the demand for UST which will only increase as time goes by where more projects are being launched (it is happening right now!), UST going cross chains, and getting listed on more exchanges. We have about 4.6k LUNA now with 55% of them staked, 21% as bLUNA, 20% in LUNA-bLUNA LP and 3% in the wallet/exchange. We will become a crypto millionaire once LUNA reaches ~$200 :)


I have also purchased my first NFT (Galatic Punks) on Terra too. The above 3 jpg cost 9 LUNA in total which was around US$369 at the point of minting. I was lucky enough to get 2 rare (top 10%) and 1 in the top 25%. The plan is to sell one of them (the least rare) and recover my "capital" first and the floor price now is around 70 LUNA (23x) for the common ones. Having said that, I am in no hurry because the roadmap states that there will be a spaceship NFT airdrop for the Galatic Punks holder.

To be honest, I never thought I would be spending money buying jpg and actually enjoy the process so much. During the mint, you do not know what you will be getting. After you have gotten it, you do not know how rare the jpg can be. Anyway, it is like going back to my childhood where I used to collect Pokemon cards. I decided to give it a try because the founder of Terra, Do Kwon changed his Twitter profile photo to one of the Galatic Punks which is the best endorsement any project can get. I guess I will be trying a few more NFT new launches such as LunaBulls and Terrapins. Shall update more next month!

For a more detailed breakdown, you can refer to our Terra portfolio on Ape Board below.
My Terra Address:

Anyway, I have blogged about different ways to leverage crypto to build wealth for people with different risk appetites:

If you are interested in the platform I am using, do sign up using our referral links for some bonus :)
BlockFi: Deposits US$100 or more into your BlockFi Interest Account (BIA), you will earn US$10 in BTC and we will earn US$10 in BTC too.
Celsius Network: Earn US$50 in BTC with your first transfer of US$400 or more and we will earn US$50 in BTC too.
CakeDeFi - Deposits US$50 or more into your CakeDeFi account, you will earn US$30 in DFI and we will earn US$10 in DFI too.
Gemini: We will both receive US$10 of bitcoin after you buy or sell US$100.
Crypto.com: Sign up using our link, stake SG$500 worth of CRO and we both get US$25 in CRO
FTX: We will receive 25.00% of your trading fees and you will receive a 5.00% fee discount on all of your trades.

If you are interested in the smart portfolio tracker (StocksCafe) which I am using as shown above, sign up using my link for a longer trial period :) Refer to our Referrals page for more information.

On a side note, Futu's moomoo app sign-up promotion is slightly different for this month (from SGD 200 stock cash bundle to iPhone and AAPL shares. Do read the T&C here for more information). If you have yet to open an account, you can do so using our referral link :)

You might be interested in these blog posts too:
2020 Net Worth
Portfolio - March 2021 - $866,309 
Portfolio - April 2021 - $946,521 $935,646
Portfolio - May 2021 - $952,839
Portfolio - June 2021 - $988,215
Portfolio - August 2021 - $1,179,579
- Portfolio - September 2021 - $1,250,214

Do like any of the following for the latest update/post!
1. FB Page - KPO and CZM
2. Twitter - KPO and CZM
3. Click here to subscribe using email :)
4. Instagram - KPO_and_CZM (Did you see those delicious food photos to the right --> Unfortunately, you can't see it on mobile.)