Xiaomin has an Ethereum sitting in her wallet, purchased at around four to five thousand dollars. She is deeply fond of this coin and firmly believes it will be the foundational asset of future finance. No matter how the market fluctuates, she holds on tightly.

Trouble soon follows. Seeing her friends around her engaging in lending and liquidity mining, often showcasing annualized returns in double digits, Xiaomin starts to feel restless: "My coins are just snoring in my wallet every day. Should I also let them earn some money?"

She first tries staking directly on an exchange, but the annualized return is only 3%, which is hardly worth mentioning. Later, she hears that collateralized lending arbitrage is possible, so she visits a popular platform. When she checks the lending rates, it’s 7% annualized! She decides to use her four or five thousand dollars worth of ETH as collateral, borrowing three thousand dollars. She will pay the platform $210 in interest over a year. She then invests the borrowed $3,000 into a financial product with a 10% expected annual return, aiming to earn $300.

After completing the operation and doing the math, her net profit is only $90. She was stunned: "All this effort just to earn a bit of takeout money?"

The turning point comes in a certain chat group. Someone raises a question: Why insist on using mainstream coins for lending?

【Deep Logic】

Many newcomers ask: "Why do I have to borrow money if I already have some?"

It seems contradictory, but in the blockchain world, this logic is completely reversed. The act of "borrowing money" often creates greater returns than "using your own money directly."

Especially for the three major mainstream coins—BTC, ETH, and BNB—their position in the lending market is the most special—they are both the most stable collateral and the most liquid assets. This means higher borrowing limits, better interest rates, and more manageable risks.