How to Use Alchemix v3: Deposit, Borrow and Repay Checklist

Before using Alchemix Finance, read the official v3 Quick Start and open the app through alchemix.fi. This educational checklist is not a claim that we performed wallet transactions. Interfaces, supported markets and settings change; the app's current transaction preview takes precedence over screenshots or old tutorials.

1. Choose a market and understand its collateral

The current v3 documentation identifies ETH and USDC deposits, held as Mix-Yield Token collateral. Check the selected chain, underlying asset, vault exposure, current yield and fees. Do not assume a token supported by v2 remains a direct v3 deposit option. Keep funds for network transaction costs and consider a small initial amount rather than beginning with your entire position.

Before approving a token, inspect the spender, approval amount and chain in your wallet. A connection request is different from authorizing a transfer. Never provide a seed phrase to a website. Our security checklist covers phishing, approvals and strategy risks.

2. Calculate borrowing capacity, then choose your own buffer

For a hypothetical 2,000 USDC position, the documented 90% ceiling corresponds to 1,800 alUSD at face value. Choosing 1,000 alUSD instead starts at 50% LTV. If collateral later falls 10% to 1,800 with debt unchanged, that smaller loan has approximately 55.56% LTV. The maximum loan starts at 100% in that same simplified loss scenario. These are stress calculations, not forecasts or personalized recommendations.

Confirm the app's actual collateral valuation and available borrowing capacity. Check the alAsset you will receive and the terms attached to your position. The repayment examples explain why the old constant-yield timeline is not a v3 repayment schedule.

3. Check the net proceeds before selling

Minting 1,000 alUSD does not guarantee $1,000 cash. At a hypothetical $0.99 exchange price, gross proceeds are $990 before fees, gas and slippage. Compare the quote's minimum received amount with your actual liquidity requirement. If you prefer redemption to a swap, inspect the Transmuter maturity date, fee and bad-debt conditions first. Read the pricing and early-exit guide for examples.

4. Monitor collateral and debt separately

Check MYT value, current LTV, debt and any earmarked portion. Scheduled redemptions reduce both debt and collateral; yield offsets collateral outflows. A smaller debt number does not by itself mean your net position value rose. Save your transaction records and compare the resulting balances with the transaction preview.

5. Understand manual repayment before signing

The official loan documentation distinguishes unearmarked debt, which can be repaid with alAssets, from debt including earmarked amounts, which can be settled with MYT or the underlying asset. Repayment of earmarked debt can incur the borrower redemption fee. Check the accepted asset, debt split, amount and fees in the app; do not assume an old “repay with anything” instruction still applies.

For example, settling 500 units of earmarked debt at the documented Ethereum 0.25% fee implies a 1.25-unit redemption fee on that portion. The live transaction may involve additional costs. Confirm what collateral remains withdrawable afterwards rather than assuming debt repayment automatically withdraws everything.

6. Recheck the position after confirmation

Verify the transaction succeeded, your position balances updated, and your intended withdrawal or repayment actually occurred. If a wallet transaction fails, do not repeatedly sign without understanding why. Return to the beginner's guide for terminology and use official support links for current interface questions.

Prepare an exit plan before approving the deposit

Write down the asset you expect to borrow, what you intend to do with it and how you would obtain an accepted settlement asset later. Check whether that plan requires an exchange trade, a redemption term or several transactions. Having an exit plan does not guarantee future availability, but helps identify assumptions before collateral is committed.

Review the conditions for withdrawing remaining collateral after settlement. Do not assume that selling the borrowed tokens, paying some debt or seeing a confirmed transaction completes the entire exit. Each action should have a clear expected result in the position. The loan overview explains why repayment and principal recovery need separate checks.

Distinguish approval, submission and completion

A token approval authorizes a spender; it is not necessarily the deposit itself. A submitted transaction is not necessarily confirmed, and a confirmed transaction may perform only one part of the intended sequence. Read each prompt and verify the action, destination and amount rather than assuming the next signature repeats the previous one.

After confirmation, inspect the transaction status and the relevant balances. If an action appears incomplete, identify whether a separate transaction is required or whether the app is displaying old information. Avoid sharing private keys or recovery phrases with anyone offering to resolve the issue. When asking official support for help, public transaction details are different from wallet secrets.

Handle changed conditions without guessing a button sequence

A failed or unavailable action can have several explanations, including an incorrect network, insufficient transaction funds, an approval requirement or a position-specific constraint. This guide does not diagnose every failure from a generic symptom. Read the error and transaction preview, check the selected market and consult current official instructions before retrying.

For repayment in particular, inspect earmarked and unearmarked debt and the currently accepted asset. Do not apply instructions for an old interface to a new version merely because the button names are similar. The official loan documentation explains the settlement distinction; the app determines the actual action available to your position.

Keep a review record after opening the position

Record the starting collateral, debt, selected market and relevant transactions. During later reviews, compare both balances and identify additional deposits, withdrawals, fees and debt cancellations. That record helps explain changes without treating every decrease as a loss or every increase as yield. Revisit the repayment accounting guide and the monitoring checklist when interpreting an unexpected movement.