Woof

Users looking to maximize yield on Compound, particularly with Liquid Staking Tokens (LSTs) like wstETH, often seek to leverage their positions. Currently, achieving this leverage loop (supplying, borrowing, swapping, and supplying again) is a manual, capital-inefficient, and gas-intensive process.

To solve this, we propose the Compound Multiplier, powered by a new SupplyMultiplierAdapter smart contract. This feature adapts the popular multiply mechanism found in integrations like Morpho/Velora directly for Compound. The Multiplier Mode allows users to seamlessly increase their supplied collateral using borrowed funds in a single atomic transaction. This mechanism enables higher yield exposure and efficient capital usage while ensuring full compatibility with existing Compound V3 markets and UIs.

Maximized Yields: Users can significantly boost supply-side APY by leveraging native yield-bearing collateral (e.g., wstETH) or maximizing reward token accumulation. Capital Efficiency: Condenses complex looping strategies into a single, gas-efficient transaction. Full Compatibility: Built to work within constraints of Comet; user positions remain fully visible and manageable via the standard Compound interface. Flexible Borrowing: Despite the leverage, users increase their total collateral size, potentially retaining the ability to borrow other base assets against the new, larger position.