I am paid in USDC and have 1.5 years salary on hand because I'm dumb and procrastinated putting it into sensible investments after the last thing it was in dried up. Today, seeing the USDC depeg and realizing that if it evaporates my future payroll also disappears and I'm turbofucked, I opened a $100k long at 7x leverage. If/when I sell the rest of my USDC for something else*, I'll take a 3%+ haircut, which will be offset by the $20k profit if USDC returns to $1 and I sold for no reason. But if USDC falls below $0.85 I lose $100k. I think it's likelier than not that USDC returns to peg on Monday. But it's possible that the irrational market goes really low, wiping me out, and then comes back Monday. So here goes. Gonna be shitting myself all weekend.
Liquidation: $0.8555
Break-even: $0.9694
Profit at $1: $19,609
Truly atrocious timing on the open, I woke up when it was at 94c but as soon as I had finished testing this out with a small position Circle made an announcement that temporarily pushed the price up to 97c and generated so much volume that KuCoin shut down USDC inflows. Every time there's an unusual market event somebody seems to hit the "no buys" button. I should have spaced it out over a couple hours though.
*problem being of course there's really no safe asset to flee into - all the stablecoins are garbage and the offramps I have access to are slow because I mostly used Coinbase
edit: i set up a thing to call my phone if it hits my $0.87 stop loss so I can sleep. i'll post update Monday or whenever i'm out of the trenches. fuck wallstreetbets i need you idiots to keep fighting with me so I don't think about the nauseating amount of capital technically under my control
Okay, but why would you accept payment in a stable coin? I can understand taking it in BTC or some other actually crypto-currency (the risk is high, but the reward is also high). Taking it in like tether is just high risk, no reward?
In short, get the hell out. You might win 20% or you might lose everything. Like, go big or go home. Put that shit on something wild like cardano or some other top 10 if you wanna go nuts like that. Shoot for the moon if you're gonna shoot for anything. Don' just shoot for the lower branches of a maple, when missing will leave you paralyzed
I've had a lot of shit to do recently and just haven't bothered investing it properly after returns dried up on the last thing I had. Don't want crypto price risk which is how I've avoided losing my shirt so far. Before recent bear market I was moving it around to various things earning 10-15% APR. Payment in USDC is not a big deal because it is normally quick and costless to convert to real dollars, it's keeping it in USDC that became an issue.