Farms
What are Farms?
Yield farming is one of the most important things Croswap has done to make the platform more liquid. By offering various rewards and incentives to LP token holders, yield farming encourages users to stake their LP tokens and contribute to the overall liquidity of the platform.
Croswap offers a variety of ways to gain rewards. One variety is based on how many LP tokens a holder has staked, compared to how many LP tokens have been staked across the ecosystem for a specific farm. These rewards not only help to incentivize LP token holders to remain committed to the platform, but also promote the growth of the overall liquidity pool of Croswap.
Why is Having More Liquidity Important?
There are several benefit to having more liquidity in our ecosystem:
- Better Price Discovery: When there is more liquidity on a DEX, it becomes easier to determine the fair market price of assets being traded. This is because more buyers and sellers are present in the market, resulting in a more efficient market price.
- Reduced Slippage: Slippage is less likely to happen when there is more liquidity because traders can buy or sell more assets without significantly changing the market price. This is because the depth of the order book increases, which means that there are more orders available at different price levels, reducing the chances of slippage.
- Increased Security: When there is a lot of liquidity on a DEX, price manipulation and other forms of market manipulation are less likely to happen. This is because it becomes more difficult for one or a few traders to manipulate the price of an asset when there are many other traders present in the market.
- Better Trading Opportunities: With more liquidity, traders have access to a larger pool of assets to trade and can benefit from more trading opportunities. Due to the increased liquidity, traders can get into and out of positions more easily. This can help them take advantage of market changes and make money from trading.
Farm Types And Rewards
Please note:
- The base ratio is based off the $esCROS:$CROS ratio.
- The NFT Staking is based off the maximum boost (Obsidian + 5 QMs)
- The % for multi-stake NFTs may vary depending on special programs for partner tokens.
| Core Farm Types | Base Rewards Ratio | Time Lock Bonus (Min) | Time Lock Bonus (Max) | NFT Staking (Generic) | Optimizer (Min) | Optimizer (Max) |
|---|---|---|---|---|---|---|
| CROS - Native Token | 80:20 | 0D Lock: base ratio | 180D Lock: -10/+10 ratio change | +11% max to expected CROS output | 0D Lock: 60:40 | 180D Lock: 40:60 |
| CROS - USDC | 80:20 | 0D Lock: base ratio | 180D Lock: -10/+10 ratio change | +11% max to expected CROS output | 0D Lock: 60:40 | 180D Lock: 40:60 |
| CROS - Partner Token | 80:20 | 0D Lock: base ratio | 180D Lock: -10/+10 ratio change | +11% max to expected CROS output | 0D Lock: 60:40 | 180D Lock: 40:60 |
| Native Token - USDC | 80:20 | 0D Lock: base ratio | 180D Lock: -5/+5 ratio change | +11% max to expected CROS output | 0D Lock: 60:40 | 180D Lock: 50:50 |
| Native Token - Blue Chip | 85:15 | 0D Lock: base ratio | 180D Lock: -5/+5 ratio change | +11% max to expected CROS output | 0D Lock: 70:30 | 180D Lock: 60:40 |
| Blue Chip - Stable Coin | 85:15 | 0D Lock: base ratio | 180D Lock: -5/+5 ratio change | +11% max to expected CROS output | 0D Lock: 70:30 | 180D Lock: 60:40 |
| Stable Coin - Stable Coin | 90:10 | 0D Lock: base ratio | 180D Lock: -5/+5 ratio change | +11% max to expected CROS output | 0D Lock: 80:20 | 180D Lock: 70:30 |
Staking in a farming pool can provide rewards in the form of CROS and esCROS tokens. By activating the optimizer, you can double your CROS to esCROS ratio and receive more CROS tokens as a reward. For example, if the base rewards ratio of the farming pool was 80% esCROS and 20% CROS, activating the optimizer could change your rewards ratio to 60% esCROS and 40% CROS.
In addition to the optimizer, a second tier of NFTs may be introduced for staking, which could provide even more benefits to users. By staking in this second tier, users could potentially boost the CROS to esCROS ratio even further, and receive higher rewards for their participation in the farming pool. Overall, these mechanisms can provide a powerful incentive for users to stake their liquidity and earn rewards in the form of both CROS and esCROS tokens.
When you enable the optimizer, your esCROS tokens will automatically start vesting. After 30 days, you can start receiving liquidity from your locked tokens, which can provide additional benefits and flexibility for your investments.