Exchanges do not support USDT and USDC withdrawals on the Sui chain. What should I do? What are the stablecoin yield opportunities on Sui? This article will cover it all!
Written by: Alex Liu, Foresight News
Sui is undoubtedly one of the mainstream public chains with the highest heat and the best token performance in this cycle. The rapidly expanding ecosystem and wealth effect have attracted crypto users to participate. However, the SUI token has risen more than 10 times from its low, making people "unable to get their hands on it". By participating in the Sui ecosystem through stablecoins, you can avoid the risk of token price declines, but major exchanges do not yet support USDT and USDC withdrawals on the Sui chain, causing many people to miss out on earning opportunities.
This article summarizes the various ways to transfer stablecoins to Sui, as well as the stablecoin earning opportunities on Sui, hoping to help readers better "strike it rich" on Sui.
Transferring Stablecoins to Sui
Exchanges like Binance and OKX do not support direct USDC and USDT withdrawals to Sui, and many people's solution is to buy SUI tokens on the exchange, transfer them to the Sui chain, and then exchange them for stablecoins on the DEX. This solution carries great risk: the market fluctuates violently, and the delayed withdrawal may result in a loss of 3% or more, so it is not recommended.
Direct USDC Withdrawal
Exchanges like Kucoin and Coinbase can directly withdraw native USDC to the Sui chain, but most Chinese users cannot use these exchanges.
Direct FDUSD Withdrawal
Although Binance cannot withdraw USDC and USDT, it can directly withdraw FDUSD, with a fee of 0.2 FDUSD. If you need to use USDC and USDT, you can exchange them on DEXes like Aftermath, Hop, and 7K.
Circle CCTP Cross-Chain USDC
You can use the Portal Bridge and Circle's CCTP function to cross-chain native USDC from mainstream chains like Arbitrum and Base to the Sui chain.
Sui Bridge Cross-Chain USDT
You can use the Sui Bridge launched by the Sui official to cross-chain USDT from Ethereum and obtain suiUSDT (also called sbUSDT) on Sui. The liquidity of suiUSDT on Sui is currently in the initial stage and is receiving incentives.
Stablecoin Earning Opportunities on Sui
Bucket
Bucket Protocol is the native CDP stablecoin protocol on Sui, with the stablecoin BUCK pegged to the US dollar and the governance token BUT. By exchanging stablecoins for BUCK and depositing them in Bucket's Savings pool, the current annualized yield is 22.44%. (Most DeFi yields on Sui come from SUI token subsidies from the Sui Foundation)
Additionally, you can deposit stablecoins into the Bucket Farm (second season airdrop) to receive Drops. Drops can be directly exchanged for Bucket's governance token BUT or exchanged for SUI on the DEX. The current exchange ratio is unknown, which is equivalent to blind mining.
Lending Protocols
Deposit AUSD on Suilend for a 19% annualized yield + second season airdrop points
Deposit sbUSDT on Scallop for a 34% annualized yield
It's worth noting that the SUI token subsidies on Scallop are mainly distributed to the borrowing pool (allowing for negative interest rate borrowing), and reaching the yield cap shown in the image requires locking SCA tokens as veSCA. Readers are encouraged to explore more advanced strategies on their own.
Deposit suiUSDT on Navi for a 16.97% annualized yield
Due to the compensation of borrowing rates by multiple lending protocols, you can combine multiple protocols for advanced operations like circular lending.
Providing Liquidity
On Cetus, providing liquidity for multiple stablecoin pairs can earn over 20% annualized yields.
On Aftermath, locking Wormhole version stablecoin pairs as LP can achieve over 25% annualized yields, with a maximum lock-up of 14 days, and the rate will reset to the highest level upon each renewal.
