Does anyone loop ONYC or strategies like it?

I’ve become interested in OnRe’s On Chain Yield Coin, ONYC. It gets a steady 10-12% APY from reinsurance underwriting. It can be looped/leveraged on Kamino by borrowing USDC/USDG against it.

Does anybody use this strategy or anything like it for RWA? I’m interesting in using DeFi to have a tiny sleeve of my portfolio achieve a 10% CAGR. Less than 1% though of course.

What additional risks would I be taking? Could it be worth it to loop, or would it be better to just hold the tokens outright?

What other RWA do you guys use in DeFi to get better than average returns? I’m not the most interested in holding majors, I don’t personally believe in the price of BTC or ETH going up.

But I think DeFi is really fascinating and probably had some good opportunities? I just don’t know what I’d personally do to pursue it, safely of course.

I was also interested in LPing for RWA like gold, tokenized ETFs, or tokenized stocks. Wouldn’t that be a benefit in flat or choppy markets, to essentially harvest volatility?

I would just be devastated to be drained or hacked somehow. I know these protocols can get hacked and that doesn’t sit right with me. I’d rather have most of my money in safer ETFs with actual insurance.