Yield farms allow users to earn additional LOOP and other tokens in exchange for staking their LP tokens.
Estimated yield from yield farming is shown on the farm page.

Farming Reward Distribution

Farming rewards are rewarded to farmers hourly from a daily pool of rewards. The amount token rewards each farming position receives depends on the:
  • amount of daily rewards allotted for the farm (varies, and is subject to change)
  • percent of the farm you hold (i.e., a farmer whose staking position consists of 20% of the farm receives 20% of the farming rewards)

Farming Yield Calculation

Farming yield is calculated as Annual Percentage Yield (APY) and is the sum of the Annual Percentage Rate (APR) from transaction fees and farming rewards, assuming weekly compounding.
  • APR from transaction fees, based on 7-day volume.
APR from txn (%) = (7-day txn fees * 52) / TVL
  • APR earned from LOOP and other tokens for farming incentives, based on total amount of tokens rewarded per day (varies) and total value locked in the farm.
APR from farm (%) = (Reward/day in UST) / (TVL in farm in UST) * (365 days)
  • Annual Percentage Rate, assuming weekly compounding (52 weeks per year)
APY (%) = [1 + (APR from txn + APR from farm)/52] ^(52) - 1
Until auto-compounding is enabled, users are assumed to manually compound their yields every 7 days.