🏘️AlienFi Farms
LP Farms or Yield Farming provides the opportunity to earn rewards by staking your liquidity provider (LP) tokens in the Yield Farms. The rewards you receive depends on the APR of the Yield Farm you're staking in.
Quick Summary:
Increases liquidity on AlienFi
$ALIEN token emissions are distribution to Yield Farmers as rewards
A higher multiplier means higher $ALIEN rewards for staking
LP tokens staked in Yield Farms earn both trading fee rewards and $ALIEN tokens from emissions
Farmers can stake earned $ALIEN tokens in AlienFi Staking Pool which will provide them even more rewards
AlienFi Yield Farms are designed to incentivize users to provide liquidity for their preferred tokens pair. Once an investor provides the liquidity, they get LP tokens as the receipt of their liquidity provision. Those LP tokens earn them trading fees of that specific pair and investors can stake those LP tokens in AlienFi Yield Farms to earn additional $ALIEN tokens alongside the trading fee.
For information on creating LP tokens and the role they play in the AlienFi ecosystem, please visit the Liquidity section.
Farm Multipliers
The farm multipliers are a tool for managing $ALIEN token emissions that are distributed to Yield Farms on a per-block basis. Altering the multiplier of a specific yield farm affects the amount of $ALIEN tokens rewarded to users who are staked in that farm, relative to other Farms.
For instance, if other factors such as total value locked and token price remain constant, a Yield Farm with a 2x multiplier will earn you double $ALIEN rewards than the one with 1x multiplier.
To make the money work, investors can harvest $ALIEN tokens from farms and stake them into any staking pool available on AlienFi to earn even more rewards.
Key Considerations
When it comes to Yield Farms, the Annual Percentage Rate (APR) is influenced by three key elements: the price of the liquidity provider (LP) token, the price of the reward token ($ALIEN), and the amount of LP tokens staked in the farm. Understanding how these factors impact the APR of a Yield Farm is crucial in maximizing your earning potential.
A rise in the price of the LP token leads to a decrease in the APR.
Conversely, a decrease in the price of the LP token results in an increase in the APR.
An increase in the price of $ALIEN leads to a higher APR, as the total value of reward tokens for the same number of LP tokens has gone up.
Conversely, a decrease in the price of $ALIEN leads to a lower APR, as the total value of reward tokens for the same number of LP tokens has gone down.
A surge in the number of LP tokens staked in a Yield Farm decreases the APR, as the same reward tokens are distributed among more LP tokens.
Conversely, a decrease in the number of LP tokens staked in a Yield Farm increases the APR, as the same reward tokens are distributed among fewer LP tokens.
How To Stake In Farms
Connect your wallet to AlienFi.
Navigate to the Farms page by clicking on the Farms option from the navigation bar.
Select the desired yield farm and click on it. For example, let's choose $ALIEN-$ETH farm
Make sure you've $ALIEN-$ETH LP tokens which you can get by providing liquidity.
Click on the Deposit button. If you are staking in this specific farm for the first time, you will need to enable the farm first by clicking on the Enable button and confirming the transaction in your wallet.
Enter the desired amount of LP tokens to stake. You can use the Max button if you want to stake all of the LP tokens which are available in your connected wallet.
After selecting an amount, stake the tokens by clicking the Stake/Confirm button.
Approve the transaction in your wallet and done!
Your $ALIEN-$ETH LP tokens are now staked and earning rewards in $ALIEN.
Note: Harvest button only withdraws accumulated rewards while keeping the staked LP tokens in the farm and the Unstake button withdraws both accumulated rewards and staked LP tokens.
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