Still pondering how to make idle money more valuable? Instead of sticking to fixed-term bank deposits, why not try a combination of DeFi and CeFi strategies.

Actually, this logic is not complicated at all. Borrow stablecoins at low cost, then deposit them into a leading exchange’s financial product to earn the interest spread—similar to taking out a low-interest loan from a bank and then transferring it to an account with a higher interest rate. Sounds a bit like "matryoshka" (nested dolls), right? But the key is that this interest difference can really be steadily pocketed.

**Let's lay out the numbers first**

On DeFi lending platforms, using BTCB or ETH as collateral, the annualized interest rate for borrowing stablecoins is as low as around 1%. A top exchange’s stablecoin financial product can offer an annualized return of about 20%. After deducting a 1% borrowing cost, your net profit is roughly 19% per year.

Recently, the platform also adjusted its interest rate model, capping the maximum borrowing rate at 30%, which provides some security for borrowers.

**How to operate specifically**

Taking BTCB as an example, it involves three core steps: First, deposit BTCB as collateral and apply to borrow stablecoins; second, transfer the borrowed stablecoins to a leading exchange; third, deposit them into a financial product and wait for the returns.

The entire process is manageable in terms of risk—your collateral remains on-chain, and the source of income is very clear. The only points to watch out for are the collateralization ratio and the liquidation price—don’t let sudden market changes catch you off guard.