Azraciv23

Damn... I think this is becoming a series 😂
Started this experiment because I wanted to see:
What happens when a BTC backed loan goes wrong?
Remember my mission from the last post?
👉🖇️ Geting myself liquidated
Well... still trying 😂
I started with 0.025 testnet BTC
Dont want to be the girl that points out the obvious but the borrowing power keeps changing with the price of BTC.
And honestly... duh.
At around $64k BTC, that's roughly $1,600 worth of collateral.
Of course I cant borrow 100% of that. On @BabylonLabs_io the current Aave lending setup allows around 78% LTV.
The plan was simple:
Borrow max - wait for BTC to crash - liquidation.
Except BTC decided to ruin my experiment and went above $65k instead 🤦‍♀️
Then I noticed I made another newbie mistake.
I borrowed WBTC.
My collateral was BTC 🫣
I basically borrowed an asset moving with my collateral.
Not exactly the fastest way to test liquidation 😂
So I repaid and changed the setup.
Now I split it:
$1,000 USDC
$100 USDT
The rest in WBTC
I picked round numbers because I wanted to actually watch what happens.
I noticed USDC, USDT and WBTC all have diffrent borrow APRs, so the debt slowly changes depending what you borrow.
But if I cant get liquidated as fast as I want...
Time to explore the docs.
The question:
What actually happens when liquidation starts?
A BTC vault is a Bitcoin UTXO.
On a normal lending platform, people are used to thinking:
"My collateral drops, so a percentage can be taken."
But Bitcoin doesn't work like that
You cannot simply cut a UTXO in half!
A vault is a whole unit.
It can be claimed or not claimed.
This is why building with native BTC is different.
The rules of Bitcoin have to be respected.
I started this experiment thinking I was testing Babylon.
Turns out...
I thought I was testing Babylon, Babylon was testing my understanding 🤷‍♀️
#baby $BABY

$B

Is still not giving up ! We see it back among top gainers after a small cool off period.

Looks like they decided to build , let's see what happens, no guarantees on the market ,

NFA !
DYOR - and I mean it !

Look at the chart at 1h ,and at 15min period
- It looks like we are dealing with two different assets on the first glance 😅

What I can say for sure is that this coin is still not giving up , it's still in the top gainers race 🔥

$BANK
🔥 Damn, @Lorenzo Protocol is still going at it 😅

🚀 It just broke the ATH that it hit yesterday with a new ATH 😅

It even reached to the 0.6 for a moment!

It's in top gainers for days ,
just started falling back after touching the 0.6 !

Is it Cooling off before the next ATH or it's losing momentum , what do you say ???

Dealing with Gold, BTC , ETH and other valuables the Lorenzo protocol may show us a real growth

$PAXG
$BTC

#GoldRises

Sag nur GN!

$DEXE
$KAITO
$BNB

🚀🔥⚡ Neuer ATH für $BANK !
Wir sehen immer noch, wie die Münze von @Lorenzo Protocol ihre Grenzen ausreizt!
Sie hat ihr ATH gerade wieder gebrochen,
💋 küsste kurz den Kurs von 0,4!

Ich wiederhole das immer wieder – vergleiche nicht

BANK mit einem einzigen Schitcoin wie $RAVE oder $SIREN

Das ist einfach nicht vergleichbar!

BANK ist eine echte Coin, die rauf und runter geht – entsprechend der Marklogik,

während die Schitcoins steigen und fallen, je nachdem, wie sie manipuliert werden.

Darum wird BANK nicht von 0,3 auf 30 an einem Tag gehen, aber vielleicht im Laufe der Zeit...

$EUL sure enough,
after I entered long in the greenest green candle out there it had to go short and eat my dollar ,
and that was trading with only 3 leveradge ,
the price fell from 1.5007 to 1.4463 just for a moment while I was trading 😅
After that it skyrockets to $ 2.3 🚀

The questions like "what if " surely come to mind,

👉 if I kept my trade open it would be good plus , or
👉 it would liquidate me with this temporary falls .

But what I can't know is If I kept the trade opened would the market behave the same ?
Maybe something totaly diffrent would happened , so never cry over spoiled milk ....

What is done is done

👉 we can learn from it and became smarter
or we can cry about it and make the same mistakes over and over..

👁️‍🗨️ Looks like it started shorting now for real ,
so if you are long on $EUL check up your positions ✌️

And don't repeat my mistake - chasing green candles while they are on top, such a rookie mistake but we all done it sometimes 😅

#baby $BABY Remember my little brother?
The family testnet hero who decided to run the @BabylonLabs_io testnet before me on my own PC? 😂

If you missed that story, here it is:
The testnet Thingy

While I was thinking of creative ways to punish him , I realized something...
the little brat actually left the experiment unfinished 🥂
So I did what any reasonable person would do.
I hijacked his testnet
I jumped into the Babylon community and asked:
"Okay, what should I try next?"
The answer:
"Go crazy with it Try getting yourself liquidated."
Challenge accepted 💪
Because if I'm going to understand borrowing against BTC,
I need to know what happens when things go wrong. We learn by breaking things apart I guess
So I started pushing my position, borrowed max and wait for btc to dump under 61,254
Health factor: 1.05
Close,but still not under 1 🤷‍♀️
The market isnt cooperating with my experiment 😂
TBH, this made me understand something important- Trustless Vaults dont mean risk doesnt exist.
If your BTC collateral loses enough value, liquidation can happen.
Thats the deal from start
What is interesting is what happens after that.
The borrowed USDC is already in your wallet. The BTC was the collateral .
Noone is hiding the uglly parts ,the rules are clear from start. They even tell you to use the Double Vault strategy when possible
Instead of putting everything into one vault, you can split your BTC into two vaults, so one position can take more risk while the other stays more protected
A simple idea:
Dont put all eggs in one basket.

The more I explore BTCFi, the more I think safety isnt about finding somethIng where nothing can ever go wrong
Thats impossible
Safety is knowing what happens when it does. Anyone can explain a protocol on a good day
The real test is understanding it on a bad one.

Random cat jumped in my lap and hugged my Binance tote bag ,couldn't chase her away 😅.

The same day I received a very nice suprice , reward from a Binance Balkans competition .

Did the cat senced the luck coming my way ?
🐈‍⬛🐾😻 Or just a coincidence ? 🤷‍♂️

$BEAT

$LTC

#baby $BABY So I was finally getting ready to try the Babylon testnet thingy.
Yes, "thingy" is my official technical term because this was my first time doing it 😂
Then I discovered my little brother had already decided to become the family testnet pioneer and used my PC before me.
So I was stuck in testnet limbo. My computer kept showing network warnings, but luckily he stopped early enough that I could continue from where he left.
TBH I knew Babylon existed and it had something to do with BTC and DeFi. Thanks to CreatorPad Im learning.
Started the testnet thingy,my BTC is on Babylon and Im thinking:
"why is this button showing USDC Apy" like Im expecring yield back.
Then I understood.
Babylon is not a yield protocol, the borrow is the point!
@BabylonLabs_io is solving a different problem
Bitcoiners don't want to sell their BTC.
They don't want to wrap it into another version.
And many don't want to hand it over to someone else just to use its value.
So the question becomes:
How can you use your Bitcoin without giving up the reason you wanted to hold it in the first place?
That is where BTCFi becomes interesting.
Trustless Bitcoin Vaults (TBV) let BTC be used as collateral while keeping it native on Bitcoin.
You can borrow assets like USDC, USDT, or WBTC against your BTC instead of selling it
But the part that really caught my attention wasnt even the borrowing.
It was the question:
"What happens if Babylon disappears tomorrow?"
And that is where I finally understood the word "trustless."
The Babylon builders decided to extend the spirit of Satoshi. While you were signing that pile of dock while locking up the BTC? Some of those were saing that even if Babylon somehow dissapear tommorow,or everyone goes offline, Bitcoin has your back.
You don't have to hope a company is still there.
Bitcoin's own rules handle it.
I started this testnet just wanting to click around and see how it works.
I ended up understanding why Babylon was built.
And I am just getting started, One testnet is worth 1000 words.

If you are long on $DEXE be careful !

It just started going down , is it temporary or permanent move I don't know .

On the 1h chart looks like "no big deal"
but zoom in on 15 min and watch the real battle!

RIP all longs that entered at 5, cause it just went from 6 to under 5 !

Don't play with $DEXE while it's acting so crazy , my advice ,
NFA, DYOR !

$EUL yes, the chart looks great , the green light shooting for the stars and all that...

But if you do what I did, and that is breaking the most basic rule you still lose.

Don't chase green candles!
Never enter a trade in the moment when the chart is on its peak !
Patience is key , wait for moment to enter or DONT enter at all .

I know all this and still did all this mistakes, so no matter how green the chart looks I ended up losing one dollar in couple minutes 🤷‍♀️

Learn from other people mistakes ,instead of making even bigger ones.

Do not argue with the market because it does not care.
The moment you go in hot headed is the moment you will lose.
If I kept the trade open maybe it would bounce back, or maybe it would liquidate me .

For me it's better to lose small than to lose big ,
even with 3× leveradge I managed to lose by imply breaking the basic rules.

Lesson re- learned , market 🫡

And never forget the most important rule that I didn't mention cause it didn't had anything with this trade, but I broke it many times before :

NEVER ADD TO A LOSING TRADE !
NEVER ADD TO A LOSING TRADE !
NEVER ADD TO A LOSING TRADE !
NEVER ADD TO A LOSING TRADE !
NEVER ADD TO A LOSING TRADE !
$EUL

$APR
Ist das nur ich oder sehen wir jeden Tag immer wieder dieselben 5, 6 Coins in der Liste „Top Gewinner“ / „Top Verlierer“?
Fühlt sich inzwischen wie Déjà-vu an

Jeden Tag dieselben Coins
$ACE , $BANK , eSports , dodox ....

$ESPORTS
esports is going long for the 2000 time now.
looks like every 2 days it changes directions !

This movements are very normal for eSports, it can even go up to 0.5 than fall back to 0.01 ...

so volatile and so unpredictable ,
but for now the direction is up

$BANK
@Lorenzo Protocol ist zurück
und geht wieder auf sein eigenes ATH
was es vor ein paar Tagen erreicht hat, es hat es gebrochen und sieht so aus, als würde es es nochmal tun!

Gute Arbeit, $BANK

$DEXE
🌪️ Ich habe gerade gemerkt, dass dieser Absturz von Dexe sogar schlimmer ist als der, der am 10. Oktober weltweit passiert ist 😅. Für $DEXE ist dieser hier sogar noch größer.

👉 Als am 10. Oktober der komplette Krypto-Markt abgestürzt ist, rutschte der Preis von Dexe von 13 auf 1,5!

👉 In den letzten Tagen ging es von 42 auf 1,2!

Und dann fragen immer noch Leute: „Wann DEXE“

Lass uns kurz die Kirche im Dorf lassen. Entweder akzeptiere die Realität oder warte, bis das nächste „UpTober“ kommt, damit Dexe wieder auf 42 geht 🫡

Meiner Meinung nach geht Dexe niemals zurück auf 42, nicht einmal dann vielleicht… 🤷‍♀️

Muss das tiefer nachsehen, was den Crash verursacht hat, aber geh ihm jetzt nicht hinterher, lass es erstmal in Ruhe. Für dein Seelenfrieden ✌️

Nur zum Vergleich: Dexe am 10. Oktober
und DEXE heute.

$BEAT tobt wild 🪘
voll von Trader-Assets jetzt, die Liquidität ist spürbar, wenn du tradest 😅

Los, nimm dir einen $BEAT !

$RE
Geht so schnell zur Sache, dass es aussieht, als hätte es sich selbst ausgepowert 🫩🥱🛌 und jetzt ist es bereit, für eine Weile zu schlafen.
Gestern hat jemand gesagt: Setz 1 $ auf $RE und du bekommst mindestens etwa 4 $ Gewinn,
und ich hab über ihn gelacht,
so wie ich normalerweise keine Märchen glaube. 🧚‍♀️

Ich glaube, manchmal müssen wir doch daran glauben 😅, vielleicht würde mit hohem Hebel sein Vorschlag wirklich wahr werden, wenn man sich all diese grünen Felder auf RE anschaut 🤷‍♀️

$RIF gehört seit ein paar Tagen zu den Top-Gewinnern.
Meine Frage ist:
Ist der Aufwärtstrend schon beendet, weil ich auf dem 1-Stunden-Chart etwas sehe, das ziemlich nach einer Falle 🪤 aussieht.
Aber ist diese Falle eher bullisch oder eher bärisch – das kann ich immer noch nicht herausfinden. Also siehst du das genauso oder habe ich den Verstand verloren 😅
Nicht nur das klare „M“-Muster, nicht nur die drei Tops – da stimmt noch etwas anderes an diesem Ding nicht 😅
$RIF

#baby $BABY Ich habe das Wort „trustless“ so oft gehört, dass ich es inzwischen größtenteils einfach ignoriere.
Vertrauen ist nichts, das man behauptet.
Es ist etwas, das man verdient.
Als ich dann anfing, über @BabylonLabs_io Trustless Bitcoin Vaults (TBV) zu lesen, stellte ich mir nicht die Frage:

„Kann ich gegen mein BTC borgen?“
Ich stellte mir etwas viel Einfacheres:

Was haben sie gebaut, das es vorher nicht gab?
Diese Frage führte mich in ein tiefes Hasenloch. Das Problem bei BTCFi war nie nur „Bridges“.
Das schwierigere Problem war, dass Bitcoin nicht nativ verifizieren konnte, was auf einer anderen Chain passiert So haben die meisten Lösungen eine Zwischenschicht eingeführt: wrapped BTC, Bridges oder Custodians.
Babylon hat keinen weiteren Bridge gebaut.
Sie haben eine neue Grundfunktion (Primitive) entwickelt.

TBV schafft eine Möglichkeit, dass natives BTC als Sicherheit dienen kann, während die Eigenschaften von Bitcoin erhalten bleiben. Die Regeln des Vault werden von Anfang an festgelegt, und Bitcoin muss nicht an eine dritte Partei übergeben werden, damit das funktioniert.
Das heißt nicht, dass jedes Risiko verschwindet. Wenn ich gegen BTC borge, muss ich den Kredit- bzw. Lending-Mechanismus, die Liquidationsregeln und die Risiken oberhalb der Sicherheitsschicht dennoch verstehen.
Aber das ist das erste BTCFi-Design, das ich mir angesehen habe, bei dem meine Reaktion nicht war:
„Wie haben sie Bitcoin herumbewegt?“
Sondern:
„Wie machen sie Bitcoin nutzbar, ohne zu ändern, was Bitcoin ist?“
Und genau das hat meine Aufmerksamkeit geweckt.
$BABY
Würdest du trustless Vaults denen mit deinem BTC vertrauen?