How It Work?

Multiply lets users open leveraged positions by borrowing the underlying asset to boost exposure to a yield-bearing asset—for example, borrowing SUI to increase exposure to STSUI. This is enabled by two Current-Lending mechanisms: eMode and flash loans.

A user earns yield whenever the APY on the yield-bearing asset exceeds the borrow APY. While the user’s Net APY is positive, the position’s SUI balance should increase.

Example

A user has 1000SUI,They deposit their SUI into a HASUI/SUI Multiply vault. They set an 8x Multiplier.

Now, let's say:

• HASUI/SUI price ratio = 1.1

• HASUI APY = 3%

• SUI borrow rate = 2%

Thus, user's position:

User made a 1000 SUI Deposit, with 8x leverage

• Total SUI Exposure: 1000 * 8 = 8000 SUI collateral

(Note: 8000 SUI = 7272 HASUI)

• Total SUI Debt = Total Exposure - Initial Deposit Total SUI Debt = 8000 - 1000 = 7000 SUI debt

• LTV: Debt / Collateral LTV: 7000 / 8000 = 87.5% LTV

HASUI APY = 3% :: 8000 * 3% = 240 SUI - Earned from Staking APY

Borrow APY = 2% :: 7000 * 2% = 140 SUI - Paid in Borrow Rate

Net SUI Earned = 240 - 140= 100SUI

Net APY = Net SUI Earned / Initial Deposit = 100 / 1000 = 10%