> For the complete documentation index, see [llms.txt](https://stackfi-2.gitbook.io/stackfi-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://stackfi-2.gitbook.io/stackfi-docs/advanced-tips.md).

# Advanced tips

Advanced tips for skilled \[degenerate] farmers and traders using Stackfi Protocol

Understanding Collateral on Stackfi

* Collateral isn't idle, all assets on your Credit Account act as collateral.
* The composition of your Credit Account (farms, LP tokens, tokens) = active collateral.
* You can keep ETH idle to borrow stables and grow leverage power.

Borrow & Leverage Limits

* Min/Max leverage depends on DAO-defined contract-level parameters.
* Leverage max = 1 / (1 - LTV)
* Example: LTV 90% → 10x leverage
* Real-world risks suggest reducing max leverage by 0.5x or more for safety.

Maxing Out Leverage Safely

* Use the formula: N = 1 / (1 - LTV \* p)
* Where p = expected worst-case price dip of the collateral
* Example with FRAX @ $0.95: 6.896x max leverage
* Don’t go full degen unless you know how to use Etherscan “Write” functions!

Oracles

* Stackfi uses Chainlink and Redstone
* Custom price feeds based on Curve pool virtual price \* weakest asset price
* Safety ranges and LP share protections implemented

Slippage & Price Impact

* Slippage loss = real and comes from your own capital, not protocol funds
* MEV risk? Use MEV blockers
* Example: 0.05% on $1M = $500 instant loss. But recoverable with APY on leverage

Claim Farming Rewards BEFORE Closing

* Curve/Convex rewards may remain on Credit Account
* Claim them manually to ensure you collect

Reminder:

* Check slippage settings
* Monitor your HF
* Claim rewards before closing CAs
* Use Nansen/on-chain tools for real asset values