The ‘Ultimate’ ETH Farming Strategy
It has been one year since the FTX collapse, during which various significant developments have unfolded, including a highly fluctuating market and the SEC’s efforts to regulate the crypto industry. In this dynamic landscape, liquidity providers and degens are actively seeking high-reward earning strategies.
Nevertheless, the crypto space offers numerous opportunities for those who possess the necessary knowledge and know where to find them. If you’re just now discovering the KyberSwap Ultimate ETH Earning strategy, consider yourself fortunate, as you are among the early adopters.
KyberNetwork recently launched, arguably, the best ETH yield strategy with @LidoFinance, @axelarcore, @squidrouter, and soon @pendle_fi.
Well, I participated! And as a yield enjoyoor, also created a quick GUIDE. All you need is $ETH.
Why do I call this ‘arguably’ the best ETH earning strategy in DeFi? It is because this strategy combines several layers of yield protocols & effects starting from;
- ETH and wstETH bridging demand via Axelar’s cross-chain swaps & Squid routing — creating significant volume & fees for LPs
- ~4% yield on $ETH staking on Lido to get wstETH
- wstETH holders can participate in wstETH/axl.wstETH and wstETH/ETH pools on #KyberSwap to earn the LP fees.
- Stake the LP to earn farming rewards!
ALL FROM YOUR $ETH!!
Let me walk you through my farm set up
STEP 1
Stake some of your $ETH with @LidoFinance & get wstETH at ~4% APR.
Or
Swap $ETH to wstETH w/ KyberSwap (you might want to swap for more wstETH if you want to participate in the 2 pools like me).
Swap to axl.wstETH (axelar network wstETH)
STEP 2
Is the WETH & wstETH already on Polygon, #Optimism, or Arbitrum?
If NO, bridge or cross-swap in to any of them using @axelarcore or @squidrouter
PS: I’ll be farming on Polygon, but the steps are the same on any of the chains.
STEP 3
Let’s add LP to the wstETH — WETH pool.
Go to dynamic farm
Locate and select the wstETH — WETH pool.
Use the default range & fee tier, or select your preferred one (PS: this has their effect. Read docs to know more). I’m using the default.
STEP 4
Input the amount of wstETH or WETH you want to deposit.
The other will automatically adjust.
Approve use of the tokens.
Preview, Supply LP, and confirm transaction in wallet (make sure to have gas fees, in my case, $Matic)
STEP 5
Go back to the wstETH — WETH pool.
Approve farming contract to access your LP (the button is just at the top of the farm page)
Stake the LP tokens into the farm.
Now you’re earning both trading fees and farm rewards.
PS: Before moving on to the next step, you can choose to stop here if this is the only farm you want to participate in. You’re Gucci!
STEP 6
The wstETH — axl.wstETH pool
Go to static farm
NOTE: wstETH — ETH & wstETH — axl.wstETH belong to different pool sections.
The former is a dynamic pool as price correlation can diverge to an extent, while the latter is a static pool w/ little to no price divergence, hence immune to impermanent loss & LP management.
Back to adding LP;
Again, I’m using the default fee tier and range.
STEP 7
Exactly same procedures from STEP 4 to STEP 5.
Instead of going back to wstETH — WETH farm, you go back to wstETH — axl.wstETH farm.
Get it?
At this juncture, you should have set up and started earning on your 2 positions, Like me! You can see your positions in the ‘My Farms’ section.
Or on your earnings dashboard here
That brings us to the end of this yield enjoyoor’s journey.
Was this article useful to you? Have other strategies? I’m happy to hear them in the comments.
