Meme Insider
What Is Loopscale? A New Era for Solana DeFi
On April 10, 2025, a user named fabiano.sol shared an exciting update on X: Loopscale, a decentralized finance (DeFi) protocol on the Solana blockchain, has officially launched after its closed beta phase. The post, which you can check out here, highlights Loopscale as a potential game-changer for onchain borrowing and lending. Backed by heavyweights like Solana and Coinbase Ventures, Loopscale aims to redefine how DeFi works on Solana with higher yields and innovative features.
But what makes Loopscale stand out? Let’s break it down.
Higher Yields and Flexible Lending
Loopscale introduces a modular lending infrastructure that offers significantly better annual percentage yields (APYs) compared to competitors. For example, while platforms like Kamino offer 5-6% APY on stablecoins like USDS, Loopscale delivers double-digit returns—sometimes as high as 10% or more. This is a big deal for DeFi users looking to maximize their earnings.
The secret sauce? Loopscale lets you choose your collateral. You can lend stablecoins like USDS and accept safer collateral like USDC with a 95% Loan-to-Value (LTV) ratio, or take on more risk with memecoins at a lower LTV. This flexibility ensures your funds are always working for you, even if borrowers don’t immediately take your loan.
Looping for Advanced DeFi Strategies
Loopscale isn’t just about lending and borrowing—it also offers a “looping” feature for advanced DeFi users. Looping involves borrowing against a yield-bearing asset to buy more of that asset, amplifying your returns. For instance, you can loop PT-fragSOL (a token from RateX) on Loopscale to earn a whopping 26.2% APY while farming points from both RateX and Loopscale.
Here’s a quick step-by-step from the thread:
- Restake SOL for fragSOL on RateX.
- Buy PT-fragSOL with fragSOL on Loopscale to earn a 4x RateX multiplier.
- Leverage your position on Loopscale, keeping an eye on liquidation risks (the platform shows a health factor to help you manage this).
This strategy can yield up to 60% APY, but it’s not without risks—higher leverage means a higher chance of liquidation if prices move against you.
A Massive Airdrop Opportunity in 2025
One of the biggest draws of Loopscale, as highlighted in the thread, is its upcoming airdrop—potentially one of the largest on Solana in 2025. By using the platform, you can earn points that may qualify you for free tokens. For every $1,000 you lend, you earn 51.84K points, with multipliers (3x or 4x) for lending SOL or USDC. Plus, you can earn MarginFi points on top of that.
The thread suggests starting with Loopscale’s Genesis Vaults, which offer the highest points at 25.92K per $1,000, but you’ll need to act fast—they’re almost full! You can also complete community quests on the platform to earn more points without spending a fortune.
Why Solana and Why Now?
Loopscale’s launch comes at a time when Solana’s DeFi ecosystem is booming. According to DefiLlama, Solana’s total value locked (TVL) in DeFi was $6.376 billion as of early 2025, showing steady growth. Solana’s high-speed, low-cost transactions make it an ideal blockchain for DeFi protocols like Loopscale, which can offer more efficient lending and borrowing compared to Ethereum-based platforms.
Mary Gooneratne, Loopscale’s co-founder, told Blockworks that many existing DeFi architectures were built around Ethereum’s constraints. By building on Solana, Loopscale can unlock new possibilities, like using DePIN payment streams as collateral or enabling speculative looping strategies.
How to Get Started with Loopscale
Ready to jump in? Here’s how to get started, based on the thread:
- Visit Loopscale and use the referral code SAWc5.
- Lend assets like SOL or USDC to earn high APYs and points.
- Explore looping opportunities with tokens like PT-fragSOL for even higher returns.
- Check the “Points” section on Loopscale to complete quests and maximize your airdrop eligibility.
The thread emphasizes acting quickly—some opportunities, like the Genesis Vaults, are time-sensitive. Plus, with Solana’s DeFi scene heating up, early adopters might reap the biggest rewards.
Final Thoughts: Is Loopscale Worth It?
Loopscale is shaping up to be a major player in Solana’s DeFi ecosystem, offering better yields, flexible lending, and advanced strategies like looping. The potential for a massive airdrop in 2025 only sweetens the deal. However, as with any DeFi protocol, there are risks—looping can lead to liquidation, and airdrops aren’t guaranteed. Always do your own research and only invest what you can afford to lose.
What do you think about Loopscale? Are you jumping in for the airdrop? Let me know in the comments!
