Farm for incentives

Farm, specific on Liquidity Farming, is one of the essential step to enable community to earn $STND without the knowledge of hosting a validator node.

V1

Basic

Community members who has provided liquidity on our DEX (Swap) will be able to lock their LP token $LTR to earn $STND. Different LP pool may yield different numbers of $STND in each block. Members can select the right pool for parking their investment for earning $STND.

How much can I earn from LP Farming?

Depends.

Being chain-agnostic, Standard Protocol decides its farming reward based on the following factors,

  1. The total emission rate of our farming pool. defined in our Tokenomics.

  2. The chain you're locking your liquidity. This is because each chain will have different numbers of block generated per day

  3. Other strategic consideration. For some pools, in particular $STND/$Native and $USM/$Stablecoin are worth to set a higher reward to provide protocol stability.

  4. DAO vote. Which will be covered when DAO is ready.

Setting different reward among LPs

In Standard Protocol, each farmable LP will be governed by a parameter named Allocation Point. In each block, emitted $STND will be shared among all locked LP based on the weighted share of their AP, which then further dividend among all the contributors based on their locked value. Example as follow:

  • Says 100 STND will be issued per day for a particular chain.

  • Assuming we have the following LP will be farmable

    • USM / DAI : 50 AP

    • USM / USDC : 50 AP

    • STND / MATIC : 50 AP

    • MATIC / DAI : 25 AP

    • DAI / USDC : 25 AP

  • In the above scenario,

    • Total weighted AP = 50 + 50 + 50 + 25 + 25 = 200

    • Locking DAI / USDC will yield 100 x 25 / 200 = 12.5 $STND for entire LP stakers.

DAO

With the growth of the protocol, DAO function will be introduced later and the community will have a voice in adjusting the LP reward in the farm when the protocol becomes m

Last updated