Boosting avUSD

Boosting is an advanced strategy for users who want to earn a higher yield on their avUSD holdings. It involves staking your avUSD to receive avUSDx, a junior tranche token that offers higher rewards in exchange for higher risk.

1. Navigate to the Products Page: Go to the Products section of the app.

2. Choose the Asset to Stake: Click the Boost button under the avUSD section.

3. Enter the Amount: Input the amount you wish to boost. The app will show you an estimate of the avUSDx you will receive in return.

4. Approve and Stake: Just like minting, you may need to approve the protocol's access to your avUSD first. After approval, click Boost and confirm the transaction in your wallet.

Your boosted balance (avUSDx) will now appear on your dashboard. While the number of avUSDx tokens you hold will remain the same, their total dollar value will increase over time as the protocol generates yield.

To learn more about boosted tokens, visit the avUSDx (avUSD Max) page.

Boosting avUSD

How Boosted Tokens' Value Grows

You might notice that when you stake, say, 1000 avUSD, you receive a slightly lower number of avUSDx tokens, for example, 900 avUSDx. Don't worry, the total value is exactly the same at that moment. The key is that your avUSDx tokens (i.e., 900 avUSDx) will grow in value over time as yield is earned by the protocol, eventually becoming worth more than your initial deposit.

A sample diagram to show how the boosted tokens' value grows