Introduction to Everst

Welcome to Everst, a BlockStreet protocol! This guide will walk you through everything you need to know to start earning yields and borrowing assets on our protocol, embarking on your tokenized stocks DeFi journey.

What is Everst?

Everst is the world's first decentralized lending protocol designed specifically for tokenized stocks, where you can:

  • Earn yields - Generate continuous returns by supplying tokenized stocks and USDT stablecoin

  • Borrow assets - Use your tokenized stocks as collateral to borrow needed assets

  • Access liquidity - Obtain working capital without selling your stock positions

  • Hedge positions - Hedge your portfolio risk through borrowing mechanics

  • Trade 24/7 - Break traditional market hour limitations and participate around the clock

Think of it as a decentralized stock bank, but unlike traditional financial institutions, there are no intermediaries holding your funds - everything is automatically managed by smart contracts on the blockchain, transparent, secure, and efficient.

Before You Begin

What You'll Need

  1. A Web3 Wallet

    • MetaMask (recommended)

    • Trust Wallet

    • Coinbase Wallet

    • Any WalletConnect-compatible wallet

    • First-time users should choose MetaMask for its rich tutorial resources

  2. Native Tokens for Gas Fees

    • You'll need native tokens (ETH, BNB, MATIC, etc.) for transaction fees

    • Gas fees vary by network but are typically low ($0.1-1 per transaction)

  3. Assets to Supply or Use as Collateral

    • Stablecoin: USDT (primary trading pair)

    • Tokenized stocks: AAPL, TSLA, NVDA, MSFT and other popular stocks

    • More tokenized stocks continuously being listed

Your First Steps

Step 1: Connect Your Wallet

  1. Visit the Everst application

  2. Click "Connect Wallet" in the top right

  3. Select your wallet provider

  4. Approve the connection request in your wallet

  5. Select your preferred network from supported chains

Tip: First connection may require adding the network, just follow the prompts

Step 2: Explore the Markets

Once connected, you'll see the Markets page showing:

  • Supply APY: The annual percentage yield you'll earn for supplying

  • Borrow APY: The annual percentage rate you'll pay for borrowing

  • Total Supplied: Total deposits of each asset in the protocol

  • Total Borrowed: Current borrowed amount of assets

  • Utilization: Percentage of borrowed amount to supplied amount

Focus on tokenized stocks with high supply APY - these are usually hot market targets

Step 3: Try a Test Transaction

We strongly recommend starting small:

  1. Supply 50-100 USDT as an initial attempt

  2. Watch your balance grow in real-time

  3. Try withdrawing after a few minutes to familiarize yourself with the process

  4. Increase your investment amount once comfortable

New user bonus: First supply may have extra rewards, check official announcements

Understanding Key Concepts

Supply APY (Annual Percentage Yield)

The annual percentage yield you earn for supplying assets. This rate changes dynamically based on:

  • Utilization rate: Higher borrowing demand = higher supply yields

  • Reserve factor: A small portion goes to protocol reserves

  • Compound effect: Your interest continuously generates interest with snowball effect

Example: Supply 1,000 USDT at 5% APY → Earn ~50 USDT annually (paid continuously each block, visible in real-time)

Pro tip: Focus on markets with 60-80% utilization for optimal yields

Borrow APY (Annual Percentage Rate)

The annual percentage rate you pay for borrowing. This includes:

  • Base rate: Minimum borrowing cost (typically 2-3%)

  • Utilization multiplier: Rates gradually increase as more assets are borrowed

  • Jump rate: Sharp increase at high utilization to incentivize repayment (above 80%)

Example: Borrow 500 USDT at 7% APY → Pay ~35 USDT annual interest

Money-saving tip: Avoid borrowing when utilization exceeds 80%, rates jump significantly

Collateral Factor

The maximum you can borrow against your supplied assets:

  • USDT: 85% (supply 1,000 USDT, borrow up to $850 equivalent)

  • Blue-chip tokenized stocks (AAPL, MSFT): 75% (supply $1,000, borrow up to $750)

  • Growth tokenized stocks (TSLA, NVDA): 70% (higher volatility)

  • Small-cap tokenized stocks: 60-65% (higher risk)

Safety advice: Don't borrow more than 80% of maximum to maintain safety margin

Health Factor

Your account's safety score, calculated in real-time:

  • > 2.0: Very safe, can hold with confidence

  • 1.5 - 2.0: Safe, periodic monitoring sufficient

  • 1.0 - 1.5: Warning zone, closely monitor market changes

  • < 1.0: Danger! Subject to liquidation

Liquidation protection: Set price alerts, add collateral or repay when health factor approaches 1.3

Common Use Cases

Earning Passive Income

  1. Supply USDT or popular tokenized stocks for steady yields

  2. No lock-up period - withdraw anytime (subject to available liquidity)

  3. Interest compounds automatically, maximizing returns

  4. Suitable for long-term investors and conservative users

Yield optimization: Diversify across multiple assets to balance risk and returns

Tokenized Stock Leverage

  1. Supply tokenized stocks as collateral

  2. Borrow USDT to purchase more tokenized stocks

  3. Amplify your stock exposure and potential returns

  4. Suitable for investors bullish on specific stocks

Risk warning: Leverage amplifies both gains and losses, use cautiously

Hedging Strategy

  1. Supply USDT or tokenized stocks as collateral

  2. Borrow tokenized stocks for portfolio balancing

  3. Flexibly adjust positions based on market changes

  4. Suitable for professional investors needing risk management

Advanced strategy: Achieve portfolio risk neutrality through borrowing mechanics

Tax Optimization

  1. Access liquidity through borrowing without selling stocks

  2. Avoid triggering capital gains tax

  3. Maintain long-term positions while meeting funding needs

  4. Suitable for high-net-worth users

Safety Tips for New Users

Start Gradually

  • Start testing with 100 USDT

  • Increase investment after understanding the mechanics

  • Practice on testnet for free (no real fund risk)

  • Join the community to learn from other users' experiences

Monitor Your Positions

  • Check health factor daily

  • Set stock price alerts

  • Don't max out borrowing capacity (maintain 20% buffer recommended)

  • Follow market news and volatility

Understand the Risks

  • Smart contract risk: Code may contain vulnerabilities (audited multiple times)

  • Liquidation risk: Collateral value drops may trigger liquidation

  • Oracle risk: Price data may be delayed or incorrect (dual oracle protection)

  • Market risk: Stock prices can be extremely volatile

Read our Risk Management Guide for detailed information.

Testnet Practice

New to DeFi? Practice on testnet first:

  1. Switch to testnet in your wallet

  2. Get free test tokens from the appropriate faucet

  3. Visit the Everst testnet application

  4. Practice supplying, borrowing, and repaying

  5. Risk-free familiarization with all features!

Testnet address: testnet.blockstreet.money

Next Steps

Remember: DeFi protocols involve risk. Never invest more than you can afford to lose. Markets carry risk, invest cautiously.

💡 Pro tip: Follow our Twitter for market insights and latest feature updates.

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