A third-party vault has recently introduced an interesting access scheme, mainly targeting players who want to leverage their gains.

In simple terms, the core logic of this scheme is cyclical leverage—combining low-interest borrowing with high-yield investments, achieving an annualized return of 4%-18% historically. It sounds good, but the truly attractive part is the subsequent compound interest stacking.

Here's a specific example to make it clearer. Suppose you have $1,000 worth of BTCB as initial collateral. In the first round, you can borrow $700 stablecoins and directly invest in the vault to earn an 18% annualized return. Once the earnings are in hand, you use part of the gains to buy $300 worth of BTCB for secondary collateralization, which allows you to borrow another $210 stablecoins to continue investing. What’s the final result? The $1,000 principal can leverage $910 in investment funds to participate in earnings. After deducting interest costs, the overall annualized return can exceed 25%.

It sounds risky, but the platform has implemented several protective measures. First, an official risk fund will cover some risks. Second, the platform will publicly disclose the strategy and risk factor of each vault in real-time, allowing users to choose based on their risk tolerance. Most importantly, a collateralization ratio of over 200% must be maintained, significantly reducing the likelihood of liquidation.

Overall, this type of product is more suitable for experienced traders who can accept volatility. Beginners should participate cautiously.