Part 2 Llamand (Curve) vs xPOSITIONS (f(x) Protocol - @Diphunter18 x Royal - Investigation xPOSITONS / soon fx100 @protocol_fx introduces a different approach to leverage a lending position that prioritizes capital efficiency & still provides structural safety over classical liquidation mechanics. But first things first, how do xPOSITIONS actually work, and how could fx100 behave once it goes live? At its core, f(x) introduces what you could call “internal managed leverage.” Instead of relying on classical lending markets with liquidation thresholds and borrow rates, the system removes debt entirely and replaces it with internally structured exposure that gets actively rebalanced. When opening an xPOSITION, you deposit collateral and mint $fxUSD, f(x)’s own decentralized stablecoin, against it via a flashloan, as well there is a one-time entry fee, but no ongoing borrow APY, which makes the position easier to hold and reason about over time. The core mechanism here is continuous rebalancing. Rather than letting positions drift toward liquidation, f(x) dynamically adjusts exposure based on market movements. If price moves against you, the system reduces leverage to prevent a hard liquidation & if the price moves in your favor, exposure can expand again depending on the internal state of the system. So instead of hard liquidations, you get soft adjustments. Example: say you open exposure around $3. Price trends down into the $1.6–$1.9 range over time. In a traditional setup, you’re either getting liquidated or actively managing the position (adding collateral, deleveraging, etc.). With f(x), none of that is a must, the system continuously reduces your exposure as price declines. The position survives, but with lower exposure. That’s the trade-off, you’re not maximizing upside at all times, but you’re also not exposed to liquidation drama. If the market recovers, you participate, but from a reduced base, since leverage was scaled down on the way down. This makes the system structurally different from anything debt-based. To exit an xPOSITION, you first reduce or fully close the position by repaying the outstanding exposure. Once that’s done, the remaining collateral is released back to you, in other words, you unwind the position first, and only then withdraw the collateral. Looking ahead, fx100 (50x) will likely push a similar system into much higher leverage. There are no full details yet, but the key thing to watch is how aggressive the rebalancing becomes. If the current design holds, it could allow for very high leverage without classic liquidations, just with faster and more noticeable adjustments to your exposure along the way, will update on this fs. Next part, @Diphunter18 will continue with his final statement, on how he evaluates both facilities & maybe even what he prefers or what he suggests depending on the situation the potential user is in.

Hugeee opp on @llamalend with $sfrxUSD 👀 If the borrow APR holds itself & the setup gets further filled up, you get ~2% as your borrow APR. All that, while your collateral earns 4.1% rn & even historically never got under 3.85%. Do with that, what you want.

Bullish on these tokenholder update calls and something I expect to see published much more over the next few months across different kinds of protocols. Some are already announcing them, others are talking openly about them in generals, and some are already doing them. Because they know the next kind of investor in the market right now is likely very serious about their investment, and possibly even institutional. Right now, I am thinking about where I should dig deeper and continue my little Royal’s DeFi investigation series and I do think @maplefinance is a great fit, as I already follow them for a while & got some interesting insights about their way of approaching credit onchain & as well distributing value into their token, ethereum:0x643c4e15d7d62ad0abec4a9bd4b001aa3ef52d66. Let’s dig.

Interesting move. 🟩 Defitea Yield Fund has also been using a DCA strategy since 2025 and much more actively in 2026 to accumulate CVX @ConvexFinance , FRAX @fraxfinance , and a range of other assets with strong long-term potential that are still trading near historically low levels. • Interesting times create interesting opportunities. And by the way, the next personal digital company built turnkey by ⬜️ The Holding @theholding_ will have CVX on its balance sheet. More details soon. •

I dont like being liquidated, thats why I am already on the guestlist. If you dont like hard liquidations too, register for testnet and take a look on @FX100Perp with my referral code: Referal: CLR - B4C9 - B028

100x Leverage, but if done right = No hard liquidations?! 100x leverage is a mechanic that’s been brutal for most traders, but with @FX100Perp launching very soon, it could fast become the safest way to play the high exposure game. Built by the team of @protocol_fx, this setup provides an inbuilt mechanic, a timeframe of 15 min, that lets you save yourself from hard liquidations just in time.

100x Leverage, but if done right = No hard liquidations?! 100x leverage is a mechanic that’s been brutal for most traders, but with @FX100Perp launching very soon, it could fast become the safest way to play the high exposure game. Built by the team of @protocol_fx, this setup provides an inbuilt mechanic, a timeframe of 15 min, that lets you save yourself from hard liquidations just in time.

Royals DeFi Investigation - @ConvexFinance / $CVX - Part 1 - The liquidity management and governance powerhouse behind Curve, Frax, f(x) & Resupply Convex started in May 2021, right after the DeFi summer of 2020, with its core mission to find a way to make @Curvefinance easier and more efficient to use, and it quickly ended up becoming one of DeFi’s most impactful governance and incentive layers across some of the most influential protocols, then and now. At a basic level, Convex now solves simple but very important needs, as it creates very simplified access to the ve locking engines of Curve, @fraxfinance, and also provides improved earning opportunities for the assets of the mentioned ones, but as well @protocol_fx & @ResupplyFi. Let’s look closer at the setup of Convex in relation to Curve & how it looks in practice. Curve, a decentralized exchange, known for stable swaps with deep liquidity, is where users deposit liquidity into pools and earn rewards, Convex builds directly on top of it, to help users earn boosted rewards on their LP positions without having to lock CRV themselves for up to four years. Like mentioned, originally to receive these boosted rewards, you would have had to lock CRV yourself, but with about 53% of all veCRV, Convex holds the largest share of locked Curve existing. So instead of locking, users can deposit their supported LP tokens through Convex and receive for example $CVX as rewards (their own ecosystem token) for it. Similar setups also exist for Fraxfinance’s ecosystem token $FRAX (prev. $FXS) and the token from f(x), $FXN. The locked token supply of Convex across these ecosystems looks like this currently: - 29.6M veFXS - 52.15% of total - 158.3k veFXN - 52.66% of total - 5M $RSUP - 19.51% of total On top of that, it gives users liquid wrappers like cvxCRV, cvxFXS, and cvxFXN, which represent the underlying locked positions while staying liquid and usable across DeFi. Now that we’ve clarified the economic reason to use Convex for exposure to Curve, Frax, or f(x), there is another important layer to understand, in these ecosystems, as governance rights are tied to their locked tokens, so locking them translates into voting power. Means, when users choose to route their position through Convex, they are not only optimizing yield, but also effectively giving up direct governance control for as long as they use that setup. Convex then aggregates that governance power and has a strong incentive to use it in a way that supports the broader ecosystem, because the stronger those protocols are, the more valuable the entire Convex setup becomes. The way this works for users is clean, especially if you are an LP, you deposit your Curve, Frax, or f(x) position into Convex and let the protocol handle the boost, the emissions routing, and the reward flow. The rewards are partly distributed in CVX & if you hold them, you can also lock CVX for 16 weeks through vlCVX and use that voting power for gauge weights, DAO proposals, and fee and bribe share inside the protocol. Overall CVX has a fixed maximum supply of 100 million tokens, and new CVX is minted proportionally when CRV rewards are claimed through Convex itself. That is why Convex has operated at meaningful scale since the start, with roughly $585.9M in TVL, $222.1M in cumulative revenue, about $10.6M in treasury assets today & because of this massive importance when it comes to these mentioned protocols, that’s also the reason, Convex was also deeply tied into the Curve Wars back then. Personally, I like Convex because it solved one of DeFi’s most important capital efficiency problems & scaled that solution into an incentive machine that still rules several of the most relevant ve token systems in DeFi. What do you think, is Convex still one of the most important liquidity management hubs in DeFi, or are some voices right when they say the golden days of Convex are already over? Convex.

This one is specifically for creators, which already use AI for prompting, pictures & video creating on a regular: With @Pzero_ai you not only get the most advanced AI tools existing, but you actually get them at a huge discount. The @FraxForce already pivoted, so why not use your favorite model, build twice as much or only pay a small part of what you used to pay 💸

Royals DeFi Investigation - @AerodromeFi / $AERO in 2026 - The Protocol That's Printing Cash Flow Regardless If you caught my video on Aerodrome earlier this year, where I spoke about some core fundamentals like liquidity providing on the platform, I want to take it a step further today & keep it very similar to my recent @pendle_fi recap, as this is also an analysis of what actually happened in Q1 and Q2 2026 for the leading DEX on Base. The year started weak on paper. Q1 2026 came in at around $18.3M in protocol revenue, down 46% from $34.5M in Q4 2025 & Q2 followed with ~$16.1M, a further 12% decline quarter over quarter. While that looks significant, it definitely reflects broader market conditions rather than structural weakness within the protocol. TVL followed a similar trend, sitting around $345M in Q1 and declining to roughly $310M in Q2, but besides that, activity remained strong, with monthly volumes consistently above $9B showing that underlying demand for liquidity on Base held up most of the time. On the token side of things, AERO is currently trading around $0.51 with a market cap of $484M, but price action across Q1 and Q2 saw two notable drawdowns. The first occurred at the start of the year, the second in early June, where AERO dropped from around ~$0.45 to ~$0.30. Both moves looked very similar & were followed by relatively fast recoveries, with the token pushing back toward $0.50, which is roughly where it trades now. Structurally, Aerodrome’s position has not weakened, more the opposite, as it continues to dominate Base DEX liquidity in a way comparable to how durable Uniswap controlled Ethereum mainnet in earlier cycles. What is changing, are slowly the tokenomics & as well the expansion of the system is an ongoing priority. Especially the @VelodromeFi merge, which was announced in late 2025, seems to be part of this upcoming change. For now the legacy ve33 model remains fully active for now, with AERO locking for veAERO, weekly gauge voting, emissions distributed accordingly, with fee accrual and bribes continuing to flow to veAERO holders, but the already announced switch to sAERO, in relation to the merge with Velodrome, could very likely be implemented this month, so definitely something to look forward to & be excited about. On top of that, more than 190M AERO, which is more than 20% of the circulating supply, has already been bought back and locked through programs funded by protocol revenue such as the Public Goods Fund, Flight School, and Relay, which introduces not only a strong narrative for potential future investors, but as well establishes consistent mechanisms that remove supply directly from the market. The result is a shift away from purely emission driven tokenomics toward supply reduction backed by real cash flow, a narrative which @HyperliquidX definitely made big in the last months. Looking ahead to Q3 and Q4, there are some things which could push the needle much further for Aerodrome, as the mainnet expansion, which will test cross chain liquidity at scale, particularly with MEV internalization live and also very much the upcoming expansions to Circle’s Arc environment puts Aerodrome again into direct competition with Uniswap, that’s why I am personally excited to see how this will play out for them. But as mentioned, most importantly is the adoption of sAERO imo, which will determine whether the token fully transitions into a more active instrument or if the veAERO will be more sustainable in the end. As a frequent user of the Base chain, it is even more exciting to see, Aerodrome expanding beyond base & positioning itself as a unified liquidity layer across major chains, with clear mechanisms to capture and retain value at the token level. What do you think & are you bullish on $AERO further going into the future? Aerodrome.

Still got my eyes on $FXN right now, as we could be right before the next breakout 👀 Been posting about @protocol_fx a lot in the last months & I think it gets now again pretty interesting, as the token pulled back below $20 end of May/early June. Especially as the quick bounce on 7.6 and now the next dip on 9.6 feels not durable, so I’m jumping in with another DCA now (as I poorly missed the 6-7.6 move). For me it’s clear, my goal is, to be positioned for the next increase above $20+. DYOR lad.