spNFT farming tips
Pools that are fueled by both YUM and DSP emissions act as an independent incentive layer for spNFT holdings. If your spNFT pair is among those incentivized, your position will automatically accumulate rewards from farming emissions.
When you navigate through the Pools section (V2 and V3 Vaults, respectively), to find the farming opportunity, simply look for the icon below, situated beside the pair. This icon indicates the pool that receives incentives through YUM and DSP emissions.
Creating an spNFT entitles you to receive LP swap fees and farming incentives automatically.
You can boost your farming rewards by utilizing locks and YUM's yield enhancer.
In addition to trading fees and farming incentives, you can deposit your staked position into the Nitro pool for extra rewards.
spNFT represents wrapped V2 or V3 AUTO LP.
Only the existing APR from farm incentives is increased by the boosts. Time lock and Yield Booster do not affect LP trading fees and Nitro pools APR
Examples of spNFT farming mechanics (V2 or V3 Auto):
A
A user establishes a spNFT position for the DSP/USDC pair.
The DSP/USDC pair is incentivized, allowing the staked position to generate yield through farming emissions.
Consequently, the user earns rewards from the active yield farm and a portion of the fees collected from each DSP/ETH transaction.
B
A user forms an XYZ/USDC spNFT position, although the XYZ/USDC pair lacks incentives.
The user identifies the corresponding XYZ/USDC nitro pool and transfers their position into it.
This action results in the user earning rewards from the Nitro pool and a share of the fees generated by each XYZ/USDC transaction.
Example of optimizing spNFT farming:
A user initiates an ETH/USDC spNFT position, which benefits from emissions incentives provided by DonutSwap.
The user employs a yield booster to enhance the existing APR% of the spNFT position from farming incentives.
To further boost APR, the user locks their spNFT position.
The user then deposits their position into an ETH/USDC nitro pool.
Consequently, the user's LP token automatically receives a portion of the fees earned from each ETH/USDC transaction, while the spNFT position yields increased returns from farming emissions. Additionally, the user earns rewards from the Nitro pool.
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