# Yield Matrix

**Introduction**

The Yield Matrix on Amply Finance helps you discover and maximize your yield opportunities through a powerful looping strategy. Using the Yield Matrix, it will display potential looping APRs based on different leverage levels and allows you to visualize and compare yield opportunities across various token pairs. This will help you make data-driven decisions to optimize your returns. The guide below will walk you through how to use the Yield Matrix and understand the concept of looping.

**What is Looping?**

* Looping involves:&#x20;
  * Supplying collateral,&#x20;
  * Borrowing against it, and&#x20;
  * Swapping the borrowed amount for the original collateral asset.
  * Depositing the swapped asset back onto Amply
* Essentially, looping amplifies your position by repeatedly borrowing, swapping and re-depositing, potentially increasing your yield.

**Example of Looping**

Let's say you want to loop with ETH as collateral and USDC as the borrowed asset:

1. **Supply ETH:** You supply a certain amount of ETH as collateral.
2. **Borrow USDC:** You borrow USDC against your ETH collateral, up to the maximum allowable LTV.
3. **Swap USDC for ETH:** You swap the borrowed USDC for ETH.
4. **Supply More ETH:** You add the newly acquired ETH to your collateral.
5. **Repeat:** You repeat steps 2-4, increasing your ETH position and potentially amplifying your yield.

**Important Considerations**

* **Risk:** Looping amplifies both gains and losses. Be aware of the risks involved, including liquidation risk.
* **Market Volatility:** Market volatility can significantly impact your looping strategy.
* **Fees:** Consider any transaction fees associated with borrowing, swapping, and supplying assets.
* **Leverage:** High leverage can lead to rapid liquidation if the market moves against you.
* **LTV:** Be mindful of the Max LTV and how it affects your borrowing capacity.

By using the Yield Matrix and understanding looping, you can effectively maximize your yield opportunities on Amply.Finance. Remember to always manage your risk and make informed decisions based on your individual circumstances and market conditions.


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