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Yield Farming

A DeFi strategy where users provide liquidity to protocols and earn rewards. In Polkaswap, users can farm PSWAP tokens by providing liquidity to XYK pools, with rewards distribu…

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Core definition

What it means

A DeFi strategy where users provide liquidity to protocols and earn rewards. In Polkaswap, users can farm PSWAP tokens by providing liquidity to XYK pools, with rewards distributed through the platform's liquidity aggregation system. Polkaswap's unique infrastructure reduces impermanent loss risks while providing competitive yields through multi-source liquidity aggregation.

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Explorer coverage

Recent Soranauts articles tagged with this glossary concept.

Examples

Common scenarios where this concept appears.

  • PSWAP token rewards
  • XYK pool liquidity provision
  • Multi-source yield optimization
  • Reduced IL farming

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