Low-Risk Return Strategies During Market Volatility

In April 2025, global financial markets experienced significant fluctuations due to tariff policies. Trump announced the implementation of "reciprocal tariffs" against major trading partners, setting a baseline tariff of 10% and imposing higher rates on specific countries. This decision led to a $5.8 trillion evaporation of market value in the S&P 500 within just four days, marking the largest single-week loss since the 1950s. Bitcoin's price also fluctuated sharply between $80,000 and $90,000.

Federal Reserve Chairman Powell stated that tariffs could raise inflation and suppress growth, but the Fed will not intervene in the market by cutting interest rates, and policy will focus on long-term data. Goldman Sachs and JPMorgan have respectively raised the probability of a U.S. recession to 20% and 45%. In this uncertain market environment, how should investors respond?

The following introduces four low-risk yield products based on stablecoins, which may be a good choice for stable investments during this turbulent period.

Spark Saving USDC (Ethereum)

Users can connect their wallets and choose the Savings USDC product to deposit USDC.

Source of Earnings: The earnings from saving USDC mainly come from the Sky Savings Rate (SSR), supported by income generated from cryptocurrency collateral loan fees, U.S. Treasury investments, and providing liquidity to other platforms. USDC is exchanged 1:1 for USDS through Sky PSM and deposited into the SSR treasury to earn returns, with the value of sUSDC tokens growing as earnings accumulate.

Risk Assessment: Low. USDC has high stability, and multiple audits reduce the risk of smart contracts. However, attention should be paid to the potential impact of market volatility on liquidity.

Berachain BYUSD|HONEY (Berachain)

Users can connect a compatible wallet on the Berachain official website, select the BYUSD/HONEY pool on the Pools page, and deposit assets to provide liquidity. The obtained LP tokens can be staked to the rewards vault to earn BGT.

Sources of income: Mainly from BGT rewards (3.41% APR) and transaction fees within the pool (0.01% APR). BGT is the non-transferable governance token of the chain, which can be burned 1:1 for BERA (irreversible), and shares the fee income from core dApps.

Risk Assessment: Low to Moderate. BYUSD and HONEY are stablecoins with relatively stable prices; the smart contract risk is low. However, BGT rewards may fluctuate due to emission adjustments.

Uniswap V4 USDC-USDT0 Liquidity Provision

By connecting your wallet, deposit USDC or USDT into the relevant products to provide liquidity for Uniswap V4.

Source of income: mainly from UNI token incentives.

Risk assessment: Low to medium. The USDC/USDT pool is a stablecoin pair, with lower price fluctuation risks, but attention should be paid to smart contract risks and the potential decline in returns after the incentive period ends.

Echelon Market USDC (Aptos)

Users can connect to Aptos-compatible wallets on the official website and choose the USDC pool to participate in the supply. Obtain supply certificates, and the earnings accumulate in real-time.

Source of income: includes USDC supply interest (5.35%) and Thala's thAPT rewards (3.66%). thAPT is Thala's deposit certificate, which can be exchanged for APT at a 1:1 ratio.

Risk Assessment: Low to Moderate. USDC has high stability, but attention should be paid to the risks of smart contracts and the impact of thAPT redemption fees on returns. Market volatility may affect the value of thAPT rewards.

Summary

During market turbulence, the aforementioned stablecoin yield products may offer investors a relatively safe option. However, each product carries its specific risks, and investors should choose carefully based on their risk tolerance and investment objectives. Remember, all investments carry risks, and past performance does not guarantee future returns.