Lesson 0: How to Buy Alpaca and Start Earning Yields for Beginners(Lending+Staking)

This lesson is for beginners to Alpaca and BSC in general.

(*Note: This article is not financial advice, nor does it make any value judgments or trend analysis of ALPACA. It does not consider high-end trading strategies, currency pairs, LP TOKENs or leveraged mining. This is just a tutorial for beginners. Investing involves risks, so please be cautious when you enter any new positions. Thanks to Quant-Lion from the Chinese community for putting this together)

Overall, the process of buying and using the ALPACA token is as follows: Deposit-Trade-Mine

Step 1: Deposit

  • Deposit fiat through the Binance Exchange:

As ALPACA has not yet been listed on larger exchanges like Binance, there are 2 easy ways of trading ALPACA.

The first one is using Gate.io or MXC exchange, but using centralized exchanges like these comes with a few disadvantages:

  1. The fee for withdrawing ALPACA tokens to Binance Smart Chain(BSC) is around 4 ALPACA tokens (equivalent to $4)

  2. The inability to use the token for yield farming on the exchange, which maximizes the value of the token.

  • So you can also use a decentralized exchange on Binance Smart Chain.

Because BSC itself is the smart chain of Binance Exchange, and Binance, as the world's largest exchange,

has higher security and volume than other exchanges, I recommend that you deposit funds through them. Below is how you do that:

  1. Register with Binance Binance website: https://www.binance.com/en

    Download link: https://www.binance.com/en/download

  2. Convert USD/EUR/etc. to BUSD in Binance's C2C* transaction The C2C transaction process is very simple, similar to the process of online shopping. a. First, go to the transaction column on the upper part of the Binance homepage b. Then select buy coin, select BUSD on the buy coin page, and enter the amount of USD/EUR/etc. you want to exchange. It is recommended that you deal with a relatively high transaction volume and transaction rate seller. c. After confirming the transaction, use a bank card or transfer to the merchant. (Note that you must confirm the BUSD is transferred to your Binance wallet before confirming the transaction. It is not recommended that you choose to convert to USDT, because BUSD and USDT are both stablecoins linked to the U.S. dollar, but BUSD is Binance’s token, so it has more use-cases pm the BSC smart chain. You may convert to USDT but It may require some handling fees.)

  3. Convert a small portion of BUSD into BNB on Binance. On the Binance homepage, select convert, then enter BUSD in the ‘from’ and BNB in the ‘to’ section, and then select how much you want to convert. (BNB is the platform currency of Binance, and it is used for the “gas fee” of Binance Smart Chain(BSC), which you need to make transactions. If you only have BUSD on BSC and no BNB for gas, you won’t be able to do anything. Thus, you need to have at least a little bit of BNB, around 0.1 BNB would be fine. That's about 30-60 USD at the time of writing.)

  4. Download Metamask wallet Metamask is an Ethereum-chain wallet that runs on Firefox/Chrome/brave/… browsers. You need to install a browser extension to use it and the official website address is: https://metamask.io/.

  5. Create a wallet in Metamask and add the BSC network to your Metamask Wallet By default, Metamask Wallet does not include the BSC network, you will need to add it manually. Follow the directions at the following URL: https://academy.binance.com/en/articles/connecting-metamask-to-binance-smart-chain When you’re ready to add the BSC network, enter the parameters of BSC below and press Save. Network name: Binance Smart Chain Added RPC URL: https://bsc-dataseed.binance.org Chain ID: 56 Symbol: BNB Blockchain URL: https://bscscan.com


  6. Withdraw BUSD and BNB to your private wallet After the prior step 5, you should have received a wallet address like ‘0xACD1f0827143502D0a763d2A23A24055DDD51023’ You will now need to transfer your BUSD and BNB tokens from Binance to your private wallet. You will have to pay attention to these settings: a. You need to choose “BEP20 (BSC)” when transferring assets on BSC. b. You may need to add the coin to the whitelist before withdrawing. c. You may need to pass KYC verification before withdrawing(Depending on your IP. Most countries on Binance can withdraw up to 2 BTC-worth of tokens per day.) *We recommend withdrawing a small amount for testing first. The withdrawal fee is just about USD 0.2, and takes about 10 minutes.

Step 2: Trade

  1. Convert BUSD to ALPACA on pancakeswap Once your funds have arrived in your wallet you are ready for your first steps on the blockchain. The next step is simple, which is to convert your BUSD or BNB to ALPACA on pancakeswap. which is the largest decentralized exchange on BSC, and only on pancakeswap can you trade other tokens for ALPACA. (Note: As of June 8th, 2021, https://app.wault.finance/# may be a cheaper option to trade for ALPACA) a. Visit exchange.pancakeswap.finance/#/swap, and select BUSD(or whatever token you are trading for ALPACA) on the top of the swap interface. b. Then select ALPACA on the bottom, and the exchange rate will appear at the “price” section. c. Now click confirm. (*The first transaction required is to allow pancakeswap to access your wallet, for future transactions this will not be needed.)


Step 3: Mine

Deposit Your ALPACA at Alpaca Finance for Mining(Lending and Staking)

After the earlier steps, you should now have ALPACA in your metamask wallet, and now you need to perform the last step, which is to farm on the official website using the ALPACA token. There are more advanced options for profiting with ALPACA tokens and Alpaca Finance’s platform, but lending+staking is the simplest, so for now, we’ll show you how to do that.

  1. Go to the official website of alpaca, https://app.alpacafinance.org/lend and select “Deposit” on the right of the row starting with ALPACA.

  2. Enter the amount you want to deposit and click ‘Confirm.’ You may have to accept several transactions in your metamask wallet. (If you have any trouble in this step, you can get more detailed directions here: https://docs.alpacafinance.org/our-protocol-1/step-by-step-guide/deposit)

  3. Your ALPACA tokens have now been added to the lending pool, and you will receive ibALPACA tokens which represent your % ownership of the lending pool.


4. Now, click on the ‘Stake button’ on the left hand menu of the website(or if on a mobile, click the menu icon at the top right). This will take you to the staking pool. 5. Select the ibALPACA pool, fill in the amount of ibALPACA you want to stake, and click the Stake button.

After metamask confirms the authorization, your ibALPACA will be mining and earning yields. You can claim the rewards at any time.

*By the way, lending and staking comes with no deposit fee. But a certain amount of gas will be charged for each transaction on BSC, ~.2 per transaction depending on BNB price.